If you’re struggling with a financial emergency and need to borrow cash in the short term, then a title pawn could be a good option for you. With an online title pawn, you can borrow money against the value of your vehicle without having to worry about a poor credit score or the other typical requirements for personal loans. Title pawns are typically much easier to qualify for than traditional loans, and they usually have much shorter repayment terms.
Another benefit of car title pawns in Texas is that you can borrow quite a bit more cash versus unsecured loans. These types of online title loans are secured by a paid off vehicle and lenders are more willing to lend out larger amounts when they know there’s collateral attached to the loan amount.
In Texas, there are currently little no credit requirements for car title pawns. This means that even if you have bad credit, you may still be able to qualify for a title pawn using a car as collateral. The amount that you can borrow will depend on the value of your vehicle. In general, you can expect to borrow up to 50% of the value of your car.
Besides having a car that’s completely paid off the other requirements can include a valid copy of your current vehicle registration which shows the car is currently registered. Some companies may ask for a driver’s license, CDL, or valid ID to verify your identity and proof of insurance on the vehicle. You can also expect a requirement to provide some form of proof of income which shows information from your employer and details on how much money you make each month. The main requirement here for title pawns is the paid off vehicle and to prove that you need to show a valid car title or pink slip to the lender.
When you’re ready to apply for a title pawn, the best place to start is by searching online for a title pawn company near me. This will help you compare interest rates and terms from different direct lenders in Texas so that you can find the best deal possible for the amount you’re looking for. Online Title pawns can be a great way to get quick cash when you need it, but only borrow what you can afford to repay.
Much like car title loans, the interest rates or “APR” for title pawns are quite high. Most lenders will offer 24 hour funding with rates starting at around 50% and going up well over 100%. Because title pawns are considered short-term loans, the repayment terms can be short if that’s what you’re looking for. You will have anywhere from 3 months to 3 years to repay the loan in full plus interest and fees. If you can’t repay the loan within that timeframe, you may be able to extend the loan for an additional fee or other provisions that will be detailed in your loan agreement.
It’s important to note that rolling over a title pawn or extending the payment term can quickly become very expensive and put you in a cycle of debt that’s difficult to break free from. The worst case scenario for a borrower would be losing a vehicle to repossession if the title pawn loan isn’t repaid on time and anyone in this situation should look towards a car title loan refinance or alternative payment arraignment to avoid default.
There are two ways to apply for title pawns. The first is by visiting a title pawning company near me in person and the second option is to apply completely online from the comfort of your own home. Applying online has become increasingly popular over the past few years because it’s more convenient and can often be cheaper than going into a store. When you apply online, you’ll typically be able to get a decision on your loan within minutes and have the cash deposited directly into your bank account by the next business day. Another benefit of applying for title loans online is that you can shop around and compare offers from different lenders in Texas without ever having to leave your house.
When you’re ready to apply for auto title pawns, the best place to start is by finding the best pawn companies near me in Texas. Many of these title pawn services have offices in larger parts of the state like Dallas and Houston and they should be willing to let you borrow a good amount of cash while you’re able to keep driving the car by making timely payments.
The top title pawn places near you will also likely be licensed by the Office Of Consumer Credit Commissioner and some will be operating as a credit access business. This means these pawn companies may not actually be offering the loan directly. They will process your paperwork and handle the underwriting, but ultimately your loan will be issued by a company that offers car title loans, and the loan terms and contract details will function much the same as an auto title loan. Check with your lender before reviewing the loan contract to see what type of terms they’re offering you and ask if they’re actually funding your loan.
When you’re ready to take out a title pawn in Texas, go over with your lender the different fees and charges that may be associated with your loan. These costs can add up quickly, so it’s important to understand exactly what you’re responsible for based on the contract and lending documents.
You’ll also want to make sure that you’re able to keep driving your car while you’re making payments on your title loan. Some lenders will require you to surrender your keys when you take out the loan and won’t give them back until the loan is paid off in full, but most will allow you to keep driving as long as you’re making on-time payments. That’s the beauty of an online title pawn! There’s no need for any financing company to keep your car and a pawn shop or direct lender will hold the car’s pink slip as collateral. You can keep the vehicle and there are no restrictions on it’s use.