Internet Title Loans
Several title loans companies offer online application processing . The companies listed below do not require in state residency. It is advised that before you transmit your information over the web that you check if the site is secured. It would also be prudent that you read the website privacy policy while applying for your title loan. The list below is by no way comprehensive and there are other companies out there. We will not be posting the links to these companies as we aim to remain impartial and leave due diligence up to the title loan applicant.
Online Title Loan Companies
Apple fast Cash Personal Loans
Autopawn of California
Carbucks
Equity 1 Auto
Fast bucks
Houston Finance
Loans of America
RPM Lenders
Vehicash
The following title lenders require in state residency
1800 Loan Mart
Advanced Credit & Title Loans
AM Financial
America First Financial Auto Title Loans
Carolina Title Lending
Coastal Carolina Cash
Easy Money
Loans of America
Trading Financial Credit LLC
Remember that title loans are short term and high interest.
Wednesday, July 2, 2008
Friday, June 13, 2008
Title Loans
What is a car title loan?
A car title loan is a high interest short term secured loan. The loan is usually for 30 days. The collateral is specifically a car or vehicle. The lender holds the title to the vehicle for the duration of the loan. Very often the lender will request the spare keys for the vehicle in case he has to effect a repossession. The borrower will still have custody and use of the vehicle. In case of default on the loan , the lender takes possession of the vehicle. Because of this, a clear title is required to apply for such a loan.
Costs
Title loan costs are comprised of interest and fees.
Interest rates on loans vary from state to state with a median of 25% per month. Fees on the loans average $25.00 per loan. Online title loans range from 2 % to 54% per month. Title loan interest rate caps are guided by the legislation of the state. These range from 17% in Arizona to 40% in Illinois which has no rate cap. Online lenders may claim choice of legislation contract terms.
Title loans are generally over secured, with the average loan amounts at 50% of the cars value.
Note that an interest rate of 25% is monthly and therefore translates into 300% per year.
Amount Loaned
The maximum loan amounts are normally state regulated. These range from $2500 to $10000.
Georgia does not have a limit on loan size. The loan cannot exceed the fair market retail value of the vehicle.
Renewals
Several states limit the number of times the loan can rollover or be renewed. The average is six with some states going as high as eleven. Often the payments will be interest only, with a balloon payment at the end of the loan, equaling the original loan sum. For example a $500.00 loan can consist of 5 payments of $125.00 with a final payment of $500.00.
Risks
The collateral and high interest rates that characterize title loans, result in their being high risk. As such there is the risk of paying high interest rates and failing to pay the balloon payment. This results in loss of the vehicle and loss of all payments. Despite their convenience in emergencies and their rapid approval process, due diligence is important before contracting an auto title loan.
A car title loan is a high interest short term secured loan. The loan is usually for 30 days. The collateral is specifically a car or vehicle. The lender holds the title to the vehicle for the duration of the loan. Very often the lender will request the spare keys for the vehicle in case he has to effect a repossession. The borrower will still have custody and use of the vehicle. In case of default on the loan , the lender takes possession of the vehicle. Because of this, a clear title is required to apply for such a loan.
Costs
Title loan costs are comprised of interest and fees.
Interest rates on loans vary from state to state with a median of 25% per month. Fees on the loans average $25.00 per loan. Online title loans range from 2 % to 54% per month. Title loan interest rate caps are guided by the legislation of the state. These range from 17% in Arizona to 40% in Illinois which has no rate cap. Online lenders may claim choice of legislation contract terms.
Title loans are generally over secured, with the average loan amounts at 50% of the cars value.
Note that an interest rate of 25% is monthly and therefore translates into 300% per year.
Amount Loaned
The maximum loan amounts are normally state regulated. These range from $2500 to $10000.
Georgia does not have a limit on loan size. The loan cannot exceed the fair market retail value of the vehicle.
Renewals
Several states limit the number of times the loan can rollover or be renewed. The average is six with some states going as high as eleven. Often the payments will be interest only, with a balloon payment at the end of the loan, equaling the original loan sum. For example a $500.00 loan can consist of 5 payments of $125.00 with a final payment of $500.00.
Risks
The collateral and high interest rates that characterize title loans, result in their being high risk. As such there is the risk of paying high interest rates and failing to pay the balloon payment. This results in loss of the vehicle and loss of all payments. Despite their convenience in emergencies and their rapid approval process, due diligence is important before contracting an auto title loan.
Monday, June 9, 2008
Title Loans
Welcome to The Titles Loan Guide. This site provides information and tips on car title loans. It also provides an insight on state legislations on title loans. If you have questions not covered in the auto title loan guide, feel free to email your question to ptdis1@yahoo.com.
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