A situation has thrown you for a loop, and you need cash – fast. You can’t get a bank loan, which would take too long anyway, so you’re unsure what to do. Well, if you own a vehicle outright and have income, you can likely get what’s called a vehicle title loan, and in short order.
Here’s how to get emergency cash in Florida, and other states.
What are Title Loans?
They’re loans that come due in around 15 to 30 days, although you might be able to get longer terms.
Getting such a loan calls for you to turn over to the lender your vehicle’s unencumbered title, but only until the loan is repaid. You do get to keep your vehicle during the entire repayment period, which is a big advantage title loans have over vehicle pawn loans.
Do understand, though, that your vehicle – car, truck, RV, boat, or motorcycle – will serve as collateral, which means it could be seized and sold to cover losses should you not make timely payments. So, be 100% sure you can repay the loan, and only borrow as much as you need.
What About Bad Credit?
As we suggested up top, the title loan industry is a good alternative for those who either can’t, or don’t have the time, to try for a bank loan. Such loans are usually unsecured, and thus require good to excellent credit. Not so with title loans.
Some title lenders will look at your credit, but because the loan is secured, they won’t focus on it. In fact, for car title loans in Florida, you may be able to improve your credit by consistently making timely payments. Further, you might be able to get more from a title company than you could from a bank.
How Much Can I Borrow?
What you’re offered largely depends on your income – the higher, the better, of course – and your vehicle’s value. The latter is determined by factors such as the vehicle’s make, model, mileage, condition, and age, and possibly style, trim level, and any modifications.
Rather than having to take your vehicle in for an appraisal, you’re required to send in photos of it from all angles. Also take shots of the VIN and odometer reading.
Generally, though, you’ll likely be offered between 25-50% of the vehicle’s determined value. Most loans are for around $1,000, although they can range between $100 and $10,000 and even more. In addition, loans can be repaid in installments.
What Else is Required for a Loan?
The industry is under state purview, so in Florida you’ll need to be at least 18 years old and have proof of residency (lease agreement, utility bills, etc.) as well as a Florida-issued ID.
You also need to show that you have the means for loan repayment. If you have a 9-to-5, that proof could be pay stubs or bank statements. If you do not have a job but have other steady income — Social Security, disability payments, Worker’s Compensation, a pension and the like – that works, too.
How Fast Can I Get a Loan?
If you’re even eligible for one, bank loans can take forever to get done. That’s not the case with title loans, for which you can apply totally online, from your home or office. Once you apply, you can expect an answer that day, sometimes within minutes. After you’re approved, you’ll probably have cash in hand the very next day.
In Florida, you’ll have options in terms of how you get your funds. Those may include getting an overnight check or wire transfer, or having the funds directly deposited. If you’re interested in the latter, make sure ahead of time that your account is enabled for ACH transfers.
It’s relatively easy to get emergency cash in Florida and everywhere else title loans are available. Just be certain before you get such a loan that you can pay it back.