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. With an online title pawn, you can borrow money against your vehicle’s value without worrying about a poor credit score or the other typical requirements for personal loans. Title pawns are typically much more accessible to qualify for than traditional loans and usually have much shorter repayment terms.
Another benefit of car title pawns in Texas is that you can borrow more cash than unsecured loans. These online title loans are secured by a paid off vehicle, and lenders are more willing to lend out more significant amounts when they know there’s collateral attached to the loan amount.
There are currently few to no credit requirements for car title pawns in Texas. You don’t need good credit to be approved, and any lien free vehicle can qualify for same day funding.
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. You may also need proof of vehicle insurance that covers your car’s or truck’s total replacement value if it’s ever damaged.
Like car title loans, title pawns’ interest rates or “APR” are high. Most lenders will offer 24 hour funding with rates starting at around 50% and going up well over 100%. The repayment terms are negotiable based on how much you want to pay monthly. Some customers will repay their loan in a few weeks, while others will look at a 1 to 2-year repayment term.
It’s essential to pay off your loan quickly and never put yourself in a situation where you can’t afford the monthly payments. The worst case scenario for a borrower would be losing a vehicle to repossession if the title pawn loan isn’t repaid on time. To avoid default, anyone in this situation should consider a car title loan refinance or alternative payment arraignment.
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 entirely online from the comfort of your home. Anyone who applies online with Texas Title Loans will have the benefit of being able to submit all the documents and paperwork online. Others who apply with a local lender in person can get their cash that same day and do the vehicle inspection and document signing in just a few hours.
When you’re ready to apply for auto title pawns, finding the best pawn companies near me in Texas is the best place to start. 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 can 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 credit access businesses. This means these pawn companies may not be offering the loan directly. They will process your paperwork and handle the underwriting. Still, 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 terms they’re offering you and ask if they’re funding your loan.
When you’re ready to take out a title pawn in Texas, review the different fees associated with your loan. A title pawn can be a viable alternative to payday loans, but you must still use your vehicle’s pink slip as collateral! 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 its use.