Anybody owning a vehicle could have a convenient line of credit available to them in the form of a title loan. This is a very special type of loan that really doesn't focus too much on a borrower's credit score. That's good news for the many consumers out there who have trouble being approved for a traditional loan.
When it comes to traditional loans, it's important to make note of the fact that credit is a very important consideration that lenders take into account. It's good to know that car title loans in Texas are standing by for you to be there when you need them.
The way these title loans Athens work
Although this type of loan offers some distinct advantages to traditional loans, it also does share some similarities to traditional loans. One of the most basic things title loans share with traditional loans is that they require an application to be filled out and submitted. However, the application for those looking to get title loan in Dallas is different in quite a few ways from the standard application for a traditional loan.
The most basic way that it is different is that it requires details to be entered about the borrower's vehicle. The value of the borrower's vehicle is a determining factor regarding whether or not the loan can be approved. Questions on the application for those looking for financed car title loan help will center around the vehicle. Details that need to be entered are the make, model, and mileage of the vehicle.
Once the application is submitted, it's quickly evaluated to see how things can go from there. If a loan is possible, a loan offer will be sent back to the client detailing the most important details of this loan. These details include the loan amount, how much interest will be charged, and how soon the loan needs to be paid back.
It's not necessary for the applicant to commit to any loan offered. The client can look over the offer and decide if it's right. Then, the client can finalize things by sending in a loan agreement and the vehicle title and beginning to make payments on the loan.
Title loans Athens and the Texas laws you should be aware of
The state of Texas makes laws regarding title loans Athens just like every state makes laws determining the terms of title loans in that state. If you're wondering what is a title loan, you should know that it's a type of loan that is regulated on a state level.
In Texas, there are laws that minimize how much interest can be charged on a title loan. The maximum interest rates for these loans is 10 percent. There is also a law limiting the loan term for title loans Athens to 180 days.
Ways you stand to benefit from this unique type of loan
There are some unique benefits to this special type of loan that consumers need to be aware of in order to evaluate whether it's right for them are not. The following are five of the major benefits to consider:
- These loans don't require great credit- Just about anybody can be approved.
- These loans are generally quickly to pay back- Loan amounts are small
- These loans don't require employment- The unemployed are often approved.
- These loans allow the borrower to multitask with his or her vehicle- Only the title is submitted to the lender to be held as collateral.
- You can drive while taking out a title loan, so don't worry about having no transportation while taking out a loan.