We Loan 50% MORE & charge 70% LESS!
Salt Lake City (801) 485-9585   Ogden (801) 399-9477
Title Loans / Personal Loans

Alternative Ways to Get Out of Title Loans

Written by Seo Werkz on . Posted in Uncategorized

No one takes out a loan without planning to pay it back, but as we all know, things happen. Maybe an emergency rears its head, or maybe you lose a source of income during your repayment of a title loan – at Loans for Less, we understand that not everything in life happens exactly as scheduled. Coming up late or short on car title loan payments can be damaging to finances, but there are a few options at your disposal for getting things paid off in an orderly fashion without getting into too much trouble. Here are some tips.

Paying it Off

By far the simplest and most preferable option, of course, is simply paying the loan back on time. Some lenders may drag their feet if you pay the loan off too early, so if this is a possibility, lay it out up front and find out what your options will be. In cases where you don’t have the funds immediately on hand, you could also look into selling the vehicle to free up cash flow.

Refinancing

Converting the title loan into a different kind of loan is another approach if you’re short on cash. If you qualify for a basic fixed loan from a bank, this will often come with a much lower interest rate and lower payments than your title loan – you can use the money to pay off the title loan and avoid the repossession of your vehicle. If you’re having trouble finding a good loan, visit smaller banks and credit unions.

Negotiation

There are many situations where your lender will work with you – they want the money to be repaid just as badly as you do, after all. You might be able to lower your payment in exchange for a longer loan term, or lower interest rate in exchange for other concessions. This may damage your credit in many cases, but that’s often preferable to getting your car repossessed.

Default and Bankruptcy

Defaulting on a loan is when you stop paying, and this is the last of your options – it will damage your credit and potentially lose you your car. There are situations where simply surrendering your car might be the best option. There are also situations where bankruptcy will get you some relief from certain title loan debts. Want to learn more about title loan repayment tactics, or any of our other services? Speak to the brokers at Loans for Less today.

Basics to Know Before Applying for Title Loans

Written by mrcash on . Posted in Uncategorized

For people in need of brief financial assistance or quick cash for an emergency, a car title loan is a great option. At Loans for Less, we’re here to help you capitalize on any equity you may have in your car to get you a great rate to help boost your financial flexibility. Title loans are much easier and simpler than many other types of loan, but this doesn’t mean there aren’t still several things to keep in mind and be diligent about. Let’s look at a few basics to be aware of before you begin the process.

Car Condition Matters

When you receive a title loan, you’re borrowing against the value of your car. As long as you owe less on the car than its current value, you have equity in the car which you can capitalize on for the loan. It stands to reason, then, that the condition of your car will matter a great deal. The better it is, the more your car is worth and the more you can likely get back in a title loan.

Short Repayment Period

Keep in mind that while several details of title loans are indeed much simpler than most other loans, there are trade-offs. Title loans have much shorter repayment periods, so you won’t have as much time to recoup the money – which is fine in most cases when you’re just using it for an emergency or brief financial flexibility. It’s still good to remain aware, though.

Clean Title

You can only take out a title loan on a vehicle if you are the clear and clean titleholder for that vehicle. If you still owe too much money on the car and the title remains in the name of your original lender, there’s a chance you won’t be eligible.

Rollover

There are practices in place for if you’re unable to repay the money in the short window, and this is called rollover. The debt is carried forward to a future date, but again, there’s a trade-off here: Your interest rate will increase every time you have to roll a title loan debt over. Make sure you’ve planned out your finances well enough to avoid any crippling recurrences here. Want to learn more about this or any of our personal loan programs? Speak to one of our brokers at Loans for Less today.