Do you need a loan but cannot qualify for one because of less-than-perfect credit? If this is the case, you are not alone.

Most people in this situation end up borrowing money from a payday lender at an interest rate of 300 percent. Needless to say, this is not the best solution for people who need to borrow money.

VIP Finance of Texas — The Alternative

VIP Finance is offering car title loans to people who need money but may have a foreclosure or a bankruptcy on their credit report.

At VIP Finance, no credit report is run.

A Car Title Loan Explained

A car title loan is an amount of money borrowed and secured by the value of your vehicle. They will loan you 100 percent of what your car is worth for up to two years at an interest rate of 6 percent.

You Retain Ownership

You retain the ownership of your car. VIP Finance puts a lien on your vehicle’s title, and when the loan is paid in full, the lien is removed.

Car Title Loan Versus Payday Loan

A payday loan is for two weeks only. If you want to extend payback of the payday loan amount, you can. But another round of interest and charges are added to the loan balance.

With some people, payday loans become a never-ending downward cycle of repeatedly paying interest/charges only and never being able to pay off the loan balance.

Affordable Payments

With a Car Title Loan, VIP Lending requires an affordable weekly payment. If you have to be a little late on a payment, they will work with you when you notify them of this problem. VIP is not a huge lending institution with loan committees and rigid loan requirements. The people at VIP understand good people can have bad credit for many reasons, such as medical bills, job layoff, unexpected car repairs or some other emergency.

Affordable Interest

With the interest on a car title loan from VIP, you will see your loan balance go down every time you make a payment. This is encouraging. Other loans are far less generous in their payoff policies.

Often times, borrowers may only be able to make minimum payments on their loans, which results in interest payments only. The balance takes forever to go down.

Prepayment Penalty

If you decide to pay off your car title loan early, VIP will not penalize you in any way. There is no prepayment penalty. Many borrowers end up paying off their title loan with a windfall in the form of their tax refund.

No Credit Check

Remember that VIP Finance performs no credit check on its borrowers.

They don’t need to because the borrower’s credit rating has no bearing on the loan. Every aspect of obtaining a loan from VIP Finance revolves around the value of your vehicle.

A Better Alternative

The next time you need a loan in Euless, try VIP Finance.