Do Certain Factors Contribute to Your Title Loan Amount?
Have you ever been in a scenario where you needed fast cash? Your financial situation can change unexpectedly, and you may require a sudden amount of money to alleviate your problem. Fortunately, a title loan can come in handy when you are down on your luck financially. But how much can you get for a title loan?
Unless your state laws say otherwise, there is usually no minimum or maximum loan amount with a title loan. In fact, with most car title loans, the average amount a person could borrow is usually between 5% to 50% of their vehicle’s value; that means you could earn anywhere from $1,000-$10,000! However, the cash total you’d receive is dependent on the following factors:
- The Available Positive Equity in Your Vehicle
- Your Level of Income
Keep in mind that those same elements are pivotal if you’re seeking a considerable loan amount! The more equity your vehicle has, the more money you could potentially obtain! But that’s only possible if you have the income to support that total. So if you want enough money to cover an unexpected bill or expense, you must maintain your car in good condition. Try a few resources to calculate your vehicle’s equity, like Kelley Blue Book, to find a rough estimate. Once you acquire it, you could determine if it’s sufficient to justify your desired loan amount.
Will a Vehicle Inspection Determine How Much You Can Get for a Car Title Loan?
As you may already know, your auto title loan amount will depend on the value of your car and your ability to repay loans. Because of these factors, a vehicle inspection is necessary during the approval process!
This inspection will help title loan lenders determine the condition of the vehicle and its value. While some lenders will require an in-person inspection, others could give you the option of doing it all online! If you have the opportunity to do the latter, all you would need to do is submit some pictures of your car. Take photos of:
- The Hood, Rear, Driver’s Side Door, and Passenger-Side Door of the Vehicle
- The Odometer Reading (Usually Located Beneath the Steering Wheel)
- The Vehicle Identification Number (Usually Located on the Dashboard)
A title loan lender will evaluate your vehicle’s information and condition with this car inspection. Your vehicle’s current condition and available equity will determine your potential loan amount!
How to Start the Approval Process for a Title Loan
Now that you know how title loan lenders determine your loan amount, you may be ready to acquire one. There are plenty of title loan options available, and choosing the right one can be difficult- but with a title loan serviced by LoanMart, you don’t need to leave your home to inquire about the cash you need. Even the vehicle inspection can be completed online!
Typically, the process to apply for a title loan is simple and straightforward. With car title loans serviced by LoanMart, you can expect the approval process to be just three easy steps:
- Start Your Title Loan Inquiry: Borrowers could either begin their title loan process online or over the phone. Both options can generally take no time at all and help you get prequalified to the next step.
- Submit Some Required Documentation: No matter which title loan option you choose, you would likely have to submit a few documents. While it sounds daunting, you may already have them lying around your house. In addition, when you opt for a title loan serviced by LoanMart, you could send your paperwork from the comfort of your home. Some of the documentation requested will include:
- A Clear Vehicle Title in Your Name
- Proof of Income: that can include many different forms of income, such as bank statements, Social Security/Supplemental Security Income, pay stubs, worker’s compensation, settlement income, retirement income, a letter of employment from your employer, and more.
- Government-Issued ID: like a passport, for instance.
- Proof of Address: You could use utility bills, mortgage statements, credit card statements, etc.
- Collect Your Cash: If you’re approved for a title loan, you could get money in no time. Qualified borrowers could choose to receive them with a direct deposit, a check sent in the mail, or to pick up their funds at a participating money transfer location near them.
But even if you choose another title loan option, it’s important to educate yourself about them before getting one. As soon as you feel confident, you may be ready to get the cash you need for an unexpected bill or expense! Apply for a car title loan at your earliest convenience.