Loans are hard to get as they require a lot of paperwork and thorough analysis of the financial status of the borrower. Things become even more complicated when the borrower has bad credit score. Then it becomes next to impossible for the borrower to get a loan from any of the bank or other financial institutions. Because of all this an individual in need of money has to opt for other means which are mostly very risky and have high rate of interest. So, overall a person with bad credit score and who is going through an emergency cash crunch, there are not much mediums available from which he can get the loan to overcome his financial crisis.
But not many people know that instead of going for the high interest rate loans from private lenders they can get quick cash and that too with very low interest rate. You must be wondering how? Well this is not something new as car title loans are helping people to meet their emergency cash requirement from a long time. So if you are unaware of car title loans then it’s a must read for you.
Car title loans model was not much appreciated by the media and public when it came into existence but slowly it made its reputation as a fair medium to get quick cash with no cheat records. So how do people going through cash crunch can be benefitted from car title loans California, let’s have a look at the points:
No credit Score Required: Many people become defaulter unintentionally and it reflects in their credit score. But not to worry as car title loans doesn’t consider credit score as an important factor for sanctioning the loan. This is because the loan is provided in exchange of the title of the car which the lender holds as collateral in case the borrower doesn’t pay the loan amount. So there is no requirement of the credit score as the loan is based on the title of the car which if the borrower is unable to pay back the lender will sell the car to recover the loan amount.
Less Paperwork: Not everybody has all the documents that are required to apply for a loan. This is the reason people find it hard to get loan from financial institutions and banks as they do a lot of paperwork before approving the loan amount. But this is not the case with car title loans because they require less paper proof to sanction the loan. Things like car title owner document, residential proof, income proof which should be minimum $1200 per month and other minor details are only required to be eligible for the loan.
Fast Loan Approval Rate: Not like other banking and financial institutes the car title loans companies approve loan at a faster rate and hence the cash crunch stricken individual has not to wait for months to get loan approval notification. If an individual meets the entire requirement to be eligible for the car title loan the loan amount is generally sanctioned within a day or two so that the individual can handle the emergency situation better.