It is not impossible to get a cheap auto title loan and not only does it help you save thousands of dollars in the long run, you can use the money and repay it quickly. Auto title loans are no credit check loans usually taken by people with no credit history or poor credit who are unable to qualify for the traditional bank loans. The vehicle or car is kept as security or collateral and that is why it is a secure loan.
Generally, the title loan company provides short-term loans using the title to your vehicle to secure the loan while you are able to continue driving your car. However, there are 90-day auto title loan also available but you need to discuss it with the lender. There are online calculators to help you get an idea about your interest rates so you can negotiate a better deal. In case you default on the loan or unable to make regular payments, the lender can renew the loan or you lose your car to repossession. However, to fully enjoy the flexibility of a title loan, it is best to calculate your repaying capabilities and pay it back quickly.
One of the best ways to negotiate the best interest rate is to research all possible sources. You’ll need to look over at least 5 to 8 lenders to know the average interest rate and then get the best deal. Take time out to know more about the basic requirements to be approved for the loan. Talk to the title loan company representative or the loan officer about the total amount payable, and whether it is an interest only loan or fully amortized loan. To ensure that you are not behind on the interest, make small payments throughout the month. This helps you pay off the loan quickly and get the lien electronically released.
If you have a particular issue at hand or can negotiate a better rate, it is up to the individual lender to lower the interest rate. Additionally, there are two types of title loans based on the repayment options, which are the interest-only loans and the fully amortized loans. However, the fact is that you have to repay the interest and the principal within the specified time period. The loan amount varies depending upon the value of your vehicle that has been kept as collateral. It is necessary to repay the loan on time, to save on the interest.
If you are looking for a cheap auto title loan or looking to refinance your current car title loan into a much lower interest rate with more comfortable payment terms, please call us at 602-317-6950. Auto Title Loans USA is here to help and we want to hear from you.