4 Key Considerations to Ensure the Eligibility for a title loan
Here are some of the important things that you should have in order to get the loan.
Financial problems can lead to a lot of stress and anxiety. It is possible to face financial distress in face of an emergency especially if it is totally unexpected. There are several ways of getting quick cash when faced with a financial emergency. There is always an option of loans such as payday or the installment loan.
If you are an owner of a vehicle then you can solve the problem of quick cash by handing over the title of the vehicle in exchange for getting quick cash. It is an excellent option for getting quick loans and it can help in getting you out of a tight financial situation. People prefer to take advantage of these loans because they are easy to acquire.
Before applying for the title loan it is important that you are confident that you are eligible for getting the loan. You will save a lot of time and energy by making sure that fulfill the eligibility criteria of the loan. Here are some of the important things that you should have in order to get the loan.
Steady Income:
You can easily get this loan also known as the pink slip loan if you have a steady income. It is important that you have a job so that you can show that you have a steady source of income. The loan does not require the checking of credit score. It is not concerned with the financial history. You do not have to worry about the absence of good credit score because it is not an important or relevant issue. The lenders are only interested in the current income.
Ownership of the Vehicle:
Another important thing required for the pink slip loan is that have the ownership of the vehicle. You cannot take this loan if the vehicle you are driving is under the ownership of another person. You cannot borrow a car and take a loan to solve your cash problem. You can only get this loan if the vehicle is registered under your name.
Important Documents Required:
If you want to make sure that you get the loan without any hurdle or delay then it is essential that there is nothing wrong with the documents. You should have all the important documents that are required for the loan in place as you apply. Without the proper documentation, you will end up wasting a lot of time and delaying the process.
You can always check for the required documents on the web sites of money lenders. But the documents which are mostly considered essential for the loan application include.
• The original title of the vehicle as it is the proof of your sole ownership of the vehicle.
• Identification matching the title of the vehicle that is issued by the government.
• Proof of residency that matches the name present on the title. You can use utility bills as the proof.
• Current registration of the vehicle.
• You also need to provide the proof of insurance of the vehicle.
• You also need to provide the proof of steady income to show that you have the ability to repay the loan without any difficulty.
• You have to provide at least two valid references and provide their contact information such as addresses and phone numbers.
• Make sure that you have copies of the keys to the vehicle.
Checking Specific Requirements:
You should check the specific requirements of the lender that you are choosing because it is possible for different lenders to make special demands. There are some lenders that also ask for GPS tracking device in the vehicle. The demand of GPS tracker is demanded as security insurance. It allows the lender to claim ownership of the car of the borrower defaults.
Conclusion:
Before you take the loan it is important that you have a clear idea of the total cost so that you know whether you can afford the loan or not. These loans are considered expensive as compared to other loans and the interest rates can vary. You should also consider fees of documents, process fee, origination fee and other small fees as well.
