With so many people taking advantage of car collateral loans in Calgary, it shows how this industry has changed. It’s not like in the ’80s when car collateral loans made you feel like that old school typical loan shark situation. That’s the impression it used to have. Fortunately, things have changed.
They are widely accepted and don’t carry the stigma they used to. The biggest thing that has changed is that they don’t want to try to take your car from you. Quick cash lenders have no intention of wanting to take your vehicle, so they have made it very easy for you to make your payments.
Car collateral loans are legitimized and there is no reason to mistrust anymore. Just ensure you understand how it all works so you can make an informed decision whether a car collateral loan is a good match for you.
Here are some of the most important things you should keep in mind when applying for a car title loan.
You don’t need credit or a credit check.
- If you have no credit, bad credit or your debt to credit ratio is no longer allowing you to qualify for loans, or you might be an entrepreneur and the typical lenders won’t recognize your income quite yet, car title lenders are a great option.
- Simply all you need to do is fill out the 20-minute application and own your vehicle with proof of a clear title from the bank.
You get to keep your car.
- The best thing about handing over your car title? You get to keep your car. As long as you are making the necessary payments on time, you will be able to keep your car.
You can pay the car title loan off at any time.
- Would you believe it if I told you that you could pay the loan off at any time and you can avoid the interest? These loans are longer terms to keep the payments smaller, although the interest rates are higher than that of a typical lender.
You can use all kinds of vehicles.
- When you go to apply for a car title loan, you can use almost any type of vehicle as long as you have it paid off.
- The vehicles you can use towards your loan are cars, trucks, SUVs, CTV’s, crossovers, RV’s, and even camper trailers and ATVs.
The terms keep the payments affordable
- The big thing to keep in mind is that these loans are affordable and allow you to be able to make the small payments over a longer-term length.
- Car collateral lenders will ensure you can make these payments by giving you the lowest payment possible and the longest time to pay it off.
- Always ensure you have a backup plan when you take out a loan such as another type of income or a friend or a family member to help you out.
When it comes down to it, these loans are incredibly easy to get, safe because of the terms, and easy to pay off.
Be sure next time you need money for anything in life that you consider car title loans for your solution and use this as a guide for understanding the basics before you choose your quick cash lender.