Title loans are often a fast way to get cash if you’re looking for a non-traditional lender in Provo. Experts at Utah Money Center explain applying for cash loan is easy as long as you have the necessary documents prepared. But not all companies say yes to everyone.
What makes a title loan application successful?
Know Your Asset’s Value
Applying for a title loan, like a car title loan, is easy. There are even some companies that don’t mind if you have bad credit. But your asset’s value matters a lot. After all, it’s the proper collateral for the money they will lend you.
The value of, for example, your car should at least match the amount of money you’re asking from the company. The lender could loan up to 25 percent of your vehicle’s total value. Taking out a loan for more than the actual value of your car could make a title loan company turn down your application.
Some companies, however, can give you a smaller amount, but that would still depend on the value of your vehicle. It would be wise not to set your expectations too high; be realistic and find out how much your car is worth so you won’t get disappointed with the results of your title loan application.
Your Income Matters
Your vehicle’s value and title status can help you with your application, but it might not be enough. Your ability to repay the loan also matters. A title loan company could ignore a bad credit, but your income is something they will look into.
Being self-employed or unemployed does not necessarily mean they will turn down your application. But it will take a lot of proof and convincing that you can fulfill monthly payments. If your gross monthly income makes them confident that you can make the necessary payments, there’s a high chance the company will approve your title loan application.
There are title loan companies that will be very easy to work with, while others may give you a difficult time and put you through a tricky process. But, in sum, your car’s value and your gross monthly income can make all the difference in getting your cash loan approved or rejected.