If you want to take out a car title loan, you’ll need to have the right things in place to do so. There are specific requirements that must be met. There are many reasons you may need to borrow a certain amount of money. However, if you wish to qualify for a loan of this type, you’ll want to know specific things that are necessary for you to do so.
1. Age of car
One to the rules you’ll need to follow when it comes to this loan is having a car that’s a certain age. It’s recommended that your vehicle isn’t any older than six years.
However, if you do have a luxury model, such as a BMW or Cadillac, it may be a bit older. It’s always a good idea to check with your lender to ensure this is the case.
2. Paid in full
It’s necessary to have your car fully paid off if you wish to get a car title loan. There shouldn’t be any liens in place because this can prevent you from securing the money you need.
It’s ideal to have proof that you’ve paid your vehicle off if you wish to get the money you want to have from this loan.
3. Prove ownership
You’ll need to prove that you are the only owner of the car. This is one of the essential methods for obtaining the money you want from the loan.
If you aren’t the rightful owner of the automobile and you’re trying to get a loan, you’ll need to have the person that is co-signed for you. It’s in your best interest to consult with this individual before you apply for this.
It’s necessary for the person that owns the car to be willing to co-sign for you to get the cash you need with a car title loan.
4. Insurance policy
Keeping your car properly insured is one thing you’ll always want to do. This can protect you in the event of an accident and will allow you to feel better while driving it.
Additionally, most states require that you have this coverage in place if you wish to drive a car legally. You’ll need to have an insurance policy in your name only when it comes to getting a car title loan.
5. Driver’s license
Being able to prove that you can legally drive a car is one of the necessary rules you must follow. The ideal way to do so is by showing your driver’s license when you apply for this loan type.
You’ll want to have these on hand if you visit a financial location to make this process an easier one.
6. Proof of your address
Showing the lender where you live by way of evidence is one thing you’ll need to do when seeking a loan of this type. You’re sure to have some documents that will state this as a fact and bringing one of these with you when applying for the loan is ideal.
Some things you can use include a W-2, past tax return, photo identification and many others, as well.
Getting a loan can allow you to meet many of your financial obligations. However, it’s essential to have the right paperwork with you, and the necessary rules and regulations followed. Doing this can help you secure a car title loan when this is something you need to do.