Car Title Loan Requirements

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You’re in a fix and you need cash – fast. However, a traditional bank loan is out and would take too long, besides. What to do? Well, there’s a good chance you can get a title loan to tide you over if you own a car outright and you have regular income. You may now be asking, what are car title loan requirements? Keep reading for that and more.

What is a Vehicle Title Loan?

These are short-term loans usually due in 30 days or less, although longer terms are sometimes available.

Your vehicle – car, truck, recreational vehicle, motorcycle, or boat – will serve as loan security, which means you could lose it to seizure if you fail to make timely payments. However, you do get to keep and use your vehicle as you normally would – all you temporarily relinquish is your title.

What Amount May I Borrow?

That depends on your lender and where they’re located, as the industry falls under state purview. It also depends on your income, as well as the make, model, age, mileage and overall condition of your vehicle.

Having said that, while you might get an offer of up to $10,000; most loans are for around $1,000. Another way to look at it is, title loans typically yield between 25%-50% of your vehicle’s value.

However, the amount you can borrow will not depend on your credit history. While some lenders might pull your credit, they won’t focus on it. They have your vehicle as collateral, which mitigates risk and keeps approval rates high.

How Much Income Do I Need?

That depends on how much you wish to borrow and the quality of the vehicle you’re putting up. In any case, you’ll need to provide proof of regular income for a loan. If you’re employed, you’ll have to submit pay stubs or bank statements with your application. Alternative forms of income – Social Security, a pension, self-employment, rental property, or worker’s compensation – work as well.

What Else Do I Need?

That, too, depends on the loan company, but most require proof of residence (utility bills, etc.) and a government-issued photo identification. Some car title loans also require proof of vehicle insurance and personal or professional references.

You’ll also need to submit recent, quality photos of your vehicle from all angles. Take some shots of the interior as well, making sure to include the odometer reading as well as the vehicle’s identification number.

How Fast is the Process?

You can apply online, from the comfort of your home or office, which expedites the process.

Once you’ve completed the application and turned in all required materials, you can expect a decision the same day, often within minutes. If everything looks good, you can usually have the cash in hand by the next business day.

You’ll usually have options, in terms of loan receipt. Some lenders have brick-and-mortar locations and will allow you to pick up your money in person. Other lenders will offer a wire transfer, overnight check, or direct deposit. If you’re going to go with the latter, be sure your bank account is set up beforehand to receive ACH transfers.

Ultimately, car title loan requirements chiefly consist of a vehicle you own, it’s clear title, and the income for loan repayment. Just be certain you can repay the loan before signing the dotted line.


SND Team

We are a team of writers passionate about entrepreneurship and innovation. We cover anything else that our readers may find interesting. This includes trending news, lifestyle and finance topics, consumer guides, and much more.


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