A car title loan company in Arlington can provide you with the financial relief that you need. If you have ownership of your car, truck or motorcycle, then you have collateral for a title loan. This type of loan has many advantages, especially for those people who have limited credit, bad credit or no credit at all. Because a lender has collateral and is guaranteed to get their money back in case of default, a borrower does not need good credit. A borrower can have a bankruptcy on a credit report and it won’t matter. In fact, it is common for a lender to not even run a credit check. A lender will need the borrower to demonstrate a means to pay back the loan, but this requirement is satisfied with a steady job.
If you are in a situation that requires you to borrow money, then this is probably your best option. For someone with limited resources, there are not many places to turn to. Often, you may be able to borrow from family or friends, but this will usually create more problems down the road.
Pawn stores have had a long tradition as being a place for people to get quick cash, but there are problems associated with a pawn store.
The first is that you may not have something of value to get the money you need, and even if you do have something of value, it may not be an item that a pawn store is interested in loaning money on. The result is that you may not be able to get the money you need or at least only a part of the money you need.
When you do get a loan from a pawn store, they will keep the item you are pawning in their possession as collateral.
If this item is something you need for your work, such as tools, you will not be able to pawn it. With a title loan, you are using your vehicle as collateral, but you are only leaving the ownership title with the lender. You can continue to use the vehicle.
This is important if it is needed to get to work, or in some cases, it may be used as a part of your job.
The most popular way for a working person to get a loan is with a payday lender. These loans are most commonly for short-term periods such as one to four weeks.
The fees are high and since they take the form of a cash advance on your paycheck, they are limited to a certain percentage of your pay. Many times the amount will not be enough, and the loans need to be rolled over into a new one. The borrower can easily get trapped into a cycle of borrowing over and over again.
A title loan is different from a cash advance.
In general, there are more options for the borrower. It is true that the loans are limited to a certain percentage of the value of the car, but depending on how much your vehicle is worth, it is possible to get larger loans than what is seen with a payday loan.