There’s a lot you need to know when it comes to getting a Florida Title Loan.
Not only is it hard to find a direct lender in Florida, but you also need to know what to look for in terms of a quality company. You can always go the online route and find a legitimate company that provides online auto title loans.
But many prospective borrowers feel more comfortable meeting with a lender face to face at retail lending location. In an ideal situation, an applicant will have researched their financial options and decided that auto equity loan is the best option for them. Beyond that, they need to feel comfortable with their lender and loan terms.
Getting A Title Loan In Florida
If you are facing a financial emergency and need to borrow $1,000 or more, you should consider using your automobile as collateral for one of two short-term loan options. These are typically referred to as auto equity loans or title loans, and though some people use the phrases synonymously, they aren't exactly the same. There are a few variables that set the two apart, the biggest of which is the issue of vehicle ownership. Here is a closer look at the details of each loan type.
Auto Equity Loans
These loans are for borrowers who are still making payments on the vehicle and do not yet own it in the eyes of the law. The legal owner is the lien holder-usually the bank or credit union that originally financed the purchase of the car. Regardless, you may still qualify for equity loans if you have sufficient equity in the vehicle.
The minimum amount of equity needed varies from lender to lender, but a general rule of thumb is that you will only be able to get a loan in the amount of 50% of your equity. That means in order to qualify for a $1,000 loan, you'll need to have at least $2,000 worth of equity in the vehicle.
Other important points to keep in mind regarding auto equity loans include the following:
- You must be at least 18 years old, employed, have a valid driver's license, and show proof of insurance on your vehicle.
- You will have to provide documents detailing the remaining balance on your original loan, as well as your payment history.
- One condition of the loan contract will be that you agree to let the new lender take a security interest in the car, allowing them to seize the vehicle if you do not repay the debt on time.
- You will be able to continue driving the car as usual for the duration of the loan.
- People with very poor credit ratings may have trouble getting approved for loans.
Title loans are similar to auto equity loans in many respects. For instance, the minimum requirements concerning age, employment, and vehicle insurance are typically the same, as is the risk of repossession as a result of nonpayment. The main difference is that in order to qualify for title loans, you must own your car outright. If you are still making monthly payments on the original loan or if there is any other type of lien on the vehicle, your application will not even be considered.
Other important points regarding title loans are:
- The vehicle must be less than 10 years old, drivable, and have a minimum wholesale value of $2,500 or more, depending on the lender.
- The loan amount will be determined by your projected ability to make timely payments, your car's overall value, and other criteria of this nature.
- If approved for the loan, you will be required to hand over the vehicle title-and perhaps even a spare key-when you sign the contract.
- You will have full access to the vehicle as long as you do not miss any payments.
- Many people with bad credit or no credit may still qualify for title loans.
As you can see, the general terms, conditions, and qualification criteria for auto equity loans and title loans are the same. The only differences you need to be aware of before applying involve vehicle ownership and approval rates for people with less than perfect credit. If you're still unsure of which type of loan you should apply for, you can ask the lender to review the specifics of your case before deciding whether or not to move forward.
Since a title loan is a short-term loan, it wouldn’t be reasonable to expect to receive a loan worth 100% of the vehicle’s resale value. One of the most crucial issues is the actual resale value of your car or truck. The average maximum amount available for such loans tends to be about 50% of a vehicle’s resale value. However, sometimes that figure is up to 75% of the vehicle’s resale value.
Differences Between Auto Equity Loans and Title Loans
Car title loans are a short-term loan solution for people needing cash fast. These loans take the borrower's vehicle title as collateral on a relatively high interest loan. These are a good last resort decision for people who need cash very quickly and have a clean title to their vehicle. These loans usually use almost any vehicle for the collateral, including boats, motorcycles, and even personal watercraft. The lender evaluates the worth of the car, the ability of the borrower to pay, and other factors to decide if the loan amount need is viable.
These are a few of the reasons why a person may take advantage of this type of loan:
Emergencies: Many times people who incur emergencies do not have the money at hand to be able to deal with the situation. These emergencies can include medical, home, legal, and other unforeseen issues that may arise in a person's life. The quick processing time is what leads people to these loans most times.
Quick Cash: The processing on these loans is usually less than a day and gives the ability to adapt quickly to a situation. The thing to borrower's should keep in mind is to pay attention the terms of the loan and not rush to make a deal based on the immediate need for cash. These loans are readily available and process so fast that it is easy for the borrower to assess whether or not they are making the right decision.
Distressed Economy: America suffered a recession officially from 2007-2010 with a peak national unemployment of 10% according Economagic, a company that tracks this data. Many people found the need to bridge gaps between jobs and stay solvent. This is the reason many people turned to the title loan industry to stay afloat when they found a new job. The point to keep in mind is that if you do not anticipate an increase in incoming cash, these loans may not be the best option.
No Credit Check: Most of the people who utilize a loan of this nature lack a sufficient credit score to borrow from a more traditional lender, such as a bank or credit union. By using a vehicle title as collateral, there is no need for an assessment of the credit score. The lender instead uses the equity of the vehicle to decide a proper amount to loan. With the ability to get the cash fast without a credit check, it is understandable why many people would seek this option.
Ease of the Process: Many companies offer title loans and most make this process quick and painless. The lack of hassle is another reason why many people turn to this sort of loan. When someone has been dealing with an emergency and do not have credit, there is not a lot more stress needed. As said before, most of title loan providers can have the loan processed within a couple hours.
For many people who have little to no credit, lending options can be very scarce. There is a definite risk that people should take into account when seeking a title loan. However, for a person who is trying to get back on their feet and can manage a short-term debt, these loans can be a very viable solution. Always make sure to research the lender and understand the terms of the loan before borrowing money in any respect.
- Closest Title Pawn Jacksonville – Networth Direct
- Title Credit Loan Miami – Networth Direct
- I Need A Title Loan Tampa – Networth Direct
- No Title Car Loan Orlando – Networth Direct
- Same Day Title Loans St Petersburg – Networth Direct
- Title Loan Payments Hialeah – Networth Direct
- Money Title Loan Tallahassee – Networth Direct
- New Deal Title Loan Fort Lauderdale – Networth Direct
- Title Loan Default Port St Lucie – Networth Direct
- 1 Hour Title Loans Cape Coral – Networth Direct
- Title Loan Agencies Pembroke Pines – Networth Direct
- Clear Title Loan Hollywood – Networth Direct
- Title Loans Miramar – Networth Direct
- Same Day Title Loans Gainesville – Networth Direct
- Money Title Loan Coral Springs – Networth Direct
- Closest Title Pawn Miami Gardens – Networth Direct
- Title Loan Process Clearwater – Networth Direct
- Closest Title Loan Pompano Beach – Networth Direct
- New Deal Title Loan Palm Bay – Networth Direct
- I Need A Title Loan West Palm Beach – Networth Direct
- Title Loan Office Lakeland – Networth Direct
- Same Day Title Loans Davie – Networth Direct
- Buy My Title Loan Miami Beach – Networth Direct
- Non Title Loans Plantation – Networth Direct
- Car And Title Loan Boca Raton – Networth Direct
- Title Loan Fast Sunrise – Networth Direct
- Title For Cash Now Deltona – Networth Direct
- I Need A Title Loan Palm Coast – Networth Direct
- Title Loan Fast Largo – Networth Direct
- Title Loans In Deerfield Beach – Networth Direct
- I Need A Title Loan Melbourne – Networth Direct
- Small Title Loans Boynton Beach – Networth Direct
- Car Title Loans In Fort Myers – Networth Direct
- No Title Car Loan Lauderhill – Networth Direct
- Title Loan Agencies Weston – Networth Direct
- Cash Title Pawn Kissimmee – Networth Direct
- Cash And Title Homestead – Networth Direct
- About Title Loans Delray Beach – Networth Direct
- Title Loan Default Tamarac – Networth Direct
- Bank Car Title Loans Daytona Beach – Networth Direct
- Speedy Title Loans Wellington – Networth Direct
- About Title Loans North Miami – Networth Direct
- No Title Loans Jupiter – Networth Direct
- Title Loan Companies North Port – Networth Direct
- Title Loans Port Orange – Networth Direct
- Title Loan Laws Coconut Creek – Networth Direct
- Getting A Title Loan Ocala – Networth Direct
- Make A Car Title Sanford – Networth Direct
- Car Title Lenders Margate – Networth Direct
- Title Loan Process Sarasota – Networth Direct
- Car Title Lenders Doral – Networth Direct
- Cash Title Pawn Pensacola – Networth Direct
- No Title Car Loan Bradenton – Networth Direct
- Money For Car Title Palm Beach Gardens – Networth Direct
- Pawn Your Car Title Coral Gables – Networth Direct
- Bank Car Title Loans Pinellas Park – Networth Direct
- Define Title Loan Bonita Springs – Networth Direct
- Title Loan Default Apopka – Networth Direct
- Closest Title Pawn Titusville – Networth Direct
- Title For Cash Now Cutler Bay – Networth Direct
- Pawn Your Car Title Oakland Park – Networth Direct
- No Title Loans North Miami Beach – Networth Direct
- Car Title Loan Help Fort Pierce – Networth Direct
- Cash And Title North Lauderdale – Networth Direct
- Speedy Title Loans St. Cloud – Networth Direct
- Title Loan Direct Altamonte Springs – Networth Direct
- Car Title Pawn Shop Ocoee – Networth Direct
- Car Title Loan Rates Greenacres – Networth Direct
- Us Money Title Loan Ormond Beach – Networth Direct
- Buy My Title Loan Hallandale Beach – Networth Direct
- Speedy Title Loans Winter Garden – Networth Direct
- Title Loan Fast Oviedo – Networth Direct
- Auto Car Title Loans Panama City – Networth Direct
- Loan On My Car Title Aventura – Networth Direct
- Auto Title Lender Lake Worth – Networth Direct
- Getting A Title Loan Royal Palm Beach – Networth Direct
- Car Title Pawn Shop Plant City – Networth Direct
- Local Title Loans Winter Haven – Networth Direct
- Easy Car Title Loans Dunedin – Networth Direct
- New Deal Title Loan Cooper City – Networth Direct
- Cash And Title Lauderdale Lakes – Networth Direct
- Auto Car Title Loans Winter Springs – Networth Direct
- Title Loan Companies Riviera Beach – Networth Direct
- Title Loan Relief Dania Beach – Networth Direct
- Money Title Loan Miami Lakes – Networth Direct
- Title Loans Clermont – Networth Direct
- Car Title Loan Help Winter Park – Networth Direct
- Car Title Loan Quote DeLand – Networth Direct
- Make A Car Title Parkland – Networth Direct
- Best Car Title Loans Casselberry – Networth Direct
- Title Loan No Income Rockledge – Networth Direct
- Title Loan Default Key West – Networth Direct
- Title And Loan Temple Terrace – Networth Direct
- Us Money Title Loan Palmetto Bay – Networth Direct
- Title Loan Terms Tarpon Springs – Networth Direct
- Title Loan Apr New Smyrna Beach – Networth Direct
- 1 Hour Title Loans Hialeah Gardens – Networth Direct
- Title Loan Services Sebastian – Networth Direct
- Title Loan Center Crestview – Networth Direct
- Title Loan Office Jacksonville Beach – Networth Direct
- Small Title Loans Haines City – Networth Direct
- Car And Title Loan Sunny Isles Beach – Networth Direct
- Car And Title Loan Venice – Networth Direct
- Car And Title Loan Palm Springs – Networth Direct
- Us Money Title Loan Fort Walton Beach – Networth Direct
- Title Loan Default Leesburg – Networth Direct
- Title Loans In Edgewater – Networth Direct
- Simple Title Loans Naples – Networth Direct
- Title And Loan Sweetwater – Networth Direct
- Define Title Loan West Melbourne – Networth Direct