In this age, there is absolutely no point in denying that money makes the world go round. We take jobs, even those that we don’t love, just to earn money. We use it to afford for ourselves the basics and a little of the luxuries. Simply pur, everything that we see around us can be considered a monetary transaction.
Even with its ubiquity, money does not always come in as much amount as we want. Sometimes, we need to loan specific amounts from others so that we will be able to do major purchases such as buying a refrigerator, paying for the kid’s tuition, and others.
Loans come in many types. In this article, we discuss the benefits that you get from getting secured loans using your car’s title as collateral.
Title loans have a no-fuss application process.
Many people are drawn to apply for title loans because of the fact that they are so easy and so fast to process. You don’t really need to wait for days just to get the approval of a lot of people in the lending company’s hierarchy. You just have to turn in the form, understand and agree to the figures displayed in your lender’s title loan payment calculator, and get the money just moments later!
But how is it done? Why are title loans so easy to process? For one, this type of loan is secured. This means that the lender already has some form of assurance– the car title is a valuable collateral– that they can retrieve their money even if you fail to pay on time or do not pay at all. Hence, there is no need for the usually meticulous credit score check and verification process.
You will be motivated to pay.
As mentioned, title loans get your car title as collateral. This simply means that the lender takes ownership over the vehicle once you fail to pay as agreed. Now, if the car is such an important item for you, you will most probably do everything to keep it in your possession.
Most of the time, the internal drive to do things is what helps us succeed in pursuing our goals, whatever those goals might be. Many people fail to settle their debts because they suddenly cease to see the point in doing so, especially if having a bad credit score is something that they can afford not to mind.
But busy individuals like you will surely feel the inconvenience of losing a car. The stresses of commuting is just too great, especially now that traffic jams are just everywhere. So a lot is at stake if you don’t take payments seriously.
They don’t get the car immediately.
Title loans do not work as if the item in question is pawned. The lender only gets the title and a copy of the car keys, but you still get to keep the vehicle for the duration of your agreement. Hence, you won’t feel any significant change in the way you live you life; except, of course, for the fact that you now have a new debt to pay. But as the previous point asserts, this new liability shouldn’t be that difficult to take care of.
Even if getting a title loan is advantageous in many ways, you still need to think the decision through. After all, the move still involves money, and money matters are facts of life that no one should take lightly.