If you need quick access to cash, pawning your car title may be a good idea. Also known as a title loan, a title pawn is usually easy to get as long as you own your car. Below, we’ll explore what a title pawn is and how it works.
What is a title pawn?
A title pawn is a secured loan that uses your car as collateral. If you own your car, you can exchange it for a lump sum of cash. Since your car allows the lender to take on less risk, you’ll likely receive a lower interest rate than you might if you took out an unsecured loan.
How does pawning your car title work?
After you apply for a title loan, the lender will appraise your vehicle before approving you. If you get approved, the lender will hold onto your car title until you fully repay the loan. The lump sum of cash they’ll give you will be based on the value of your car.
Fortunately, you’ll be able to continue to drive your vehicle while you repay your loan. You could get approved for a title pawn right away and may be able to receive your money the same day you apply.
How to get a title pawn
If you’re interested in getting a title loan, follow these steps:
1. Gather all necessary information
Get a hold of your car title and do some online research to figure out how much your vehicle may be worth. This will prepare you for the application process.
2. Fill out an application online or in person
You may be able to apply for a title pawn online or in-person, depending on the lender. You’ll need to share basic details about yourself as well as information about your car, like its make and model.
3. Get your car appraised
The lender will direct you toward an appraisal location. You’ll bring your vehicle there so that they can determine its value and how much money to lend you.
4. Fill out and sign the loan paperwork
Once you receive an offer, fill out and sign all the documents. Read all paperwork carefully and ask the lender questions in case you need further clarification.
5. Receive your funds
In many cases, you can receive your money that same day, shortly after your car has been appraised and you’ve filled out the loan paperwork. You won’t have to wait weeks or months. Once you get the funds, you can continue driving your vehicle as you repay the loan.
Advance America offers fast title loans
Advance America offers title loans that can get you the funds you need quickly. You can apply and get your car appraised at one of our many locations. Best of all, you don’t need good credit to get approved. Visit Advance America today to learn more about our title loans.