How much cash can i get
Find out now. It's fast, secure & free!
If you’re in financial trouble, the decision to get a loan may be a wise one since it will allow you to get ahead on payments easily. There are many types of loans out there but for those with low credit scores, the options tend to be limited. That’s where title loans come in- they are convenient, fast loans that use your car as collateral. These loans are common in many states and are simple to apply for when you need extra cash.
When a person decides to take out a car title loan, one of the first questions that pops up is how much money can I get with a car title loan? Unfortunately, this isn’t a one-line answer since the amount you will get depends on several factors including the lender you chose and the value of your car. But broadly speaking, the range for title loans in most states is usually in the thousands. Before deciding how much to borrow, make sure to examine how much you really need, and choose a lender that will provide you with terms that are comfortable for your situation. If you want to understand more about how much you can get, continue reading below.
How Much Can I Get For a Title Loan
You probably started reading this article because you are wondering “how much can I get on a title loan”. Well you came to the right place. First of all, our loans in California range from $2510-$20,000 and when you apply with us we ask that you choose how much you want to borrow in this range. We recommend only applying for the amount you need and not for anything extra because you will be accruing interest throughout the loan. The exact amount you will be approved for depends on two main criteria which we expand on below:
The value of your car
Since title loans use your vehicle as equity on the loan, the value of the car is a big factor in determining how much you qualify for. In most cases, you will not be able to borrow more than the car is worth. Remember, the value of your car gets determined by multiple factors including mileage driven, overall condition, and year, so these details will be looked over during the application.
Your ability to repay the loan
The second very important factor in determining your loan amount is your ability to show that you are able to repay the loan. This can be done by providing recent income, bank statements, or proof of disability payments. All these help the lenders evaluate your specific situation in order to ensure the loan can be paid back. Don’t forget that most title loan lenders do not rely on your credit score for approval, so how much you can borrow does not depend on that.
Title loan estimation
Your car title loan process begins when you fill out the online application or complete it by phone. At this step, you will be asked to provide basic details that help to evaluate the equity of your vehicle as well as mention how much you are looking to borrow. Once you complete this step, you will be told if you pre-qualify for the loan amount you requested. Following this, you will be asked to provide important documentation such as an ID, the title of your car, and proof of ability to repay the loan. After evaluating all these, the loan underwriters will be able to provide you with a final qualification and loan amount.
The actual amount you are approved for gets determined by professional loan underwriters. Their job is to review your application and provide you with the loan offer. They will take into account the amount you requested and the value of your car when deciding the loan amount. They also deeply examine your ability to repay the loan and provide you with an amount that they are confident you can pay back successfully. In order to make this process as quick and efficient as possible, make sure you have all the requirements outlined below ready.
Loan To Value Ratio
If you’re wondering how much money can I get with a car title loan, an important term you should know is loan-to-value. The loan-to-value (LTV) describes the ratio between the loan amount you are getting and the collateral of the loan. LTV is not unique to title loans and is used in other types of loans such as mortgages. In the case of title loans, the loan-to-value ratio is calculated using the appraisal of your car and the loan amount you are requesting and approved for.
While the LTV is important, we always suggest being mindful to only borrow the amount you actually need. Title Loans are high interest loans, and while the monthly payments are not as high as in other types of loans like payday loans, you want to make sure you can repay the loan without accruing more interest or debt. Therefore, when applying for a loan, try to consider your needs more than the loan-to-value ratio. Think about which bills you need to pay off and how the money can help you get back on your feet quickly.
How Much Does a Car Title Loan Cost
Besides the question “how much can I get on a title loan”, the most popular thing we get asked is “how much does the title loan actually cost”. Well, that really depends on the loan you are getting and your specific circumstances. But we’ll try to make some sense out of things so you better understand our car title loans.
First, it’s important to mention that applying for a title loan is completely free to anyone. We don’t charge any fees for applying for a title loan, even if you decide not to get one. Never borrow money from a lender that charges these kinds of fees. The remaining costs of the loan include interest and standard fees. The interest accrued in a title loan is daily and changes according to the loan amount borrowed. The standard fees for the loan include, for example, an administrative fee taken off at the stage of loan funding and late fees which are taken off when a payment is not made on time. These are all described in detail in the loan contract and you should make sure no unneeded fees, like prepayment penalties, are part of your loan.
Title Loan Requirements
Now that you understand a bit more about title loan amounts and values, we want to provide you with more information about the specific requirements for a title loan. The following are required in order to apply:
which include your name, SSN, phone number, email, DOB, and address.
like the year, make, and model of the vehicle. These help us appraise the car’s value.
to show proof that you are the registered owner of the vehicle. The title needs to be under your name without any liens on it.
so we can verify your identity and the details which you provided.
in order to verify that you are able to repay the loan. This can be a paystub, bank statement, or any of the other qualifying forms we accept.
which include the name, relation, address, and phone number of each person.
As you can see the basic requirements for a title loan are straightforward and simple. In certain cases, you may be required to provide additional documents such as car insurance or certain DMV paperwork. However, in any case you are not required to have perfect credit ratings or have a bank account in order to be approved for a loan! To learn more about each requirement visit our loan guide here.
Title Loan Benefits
When it comes to getting fast cash, a title loan is a great option for many people. There are many reasons why a title loan could work for you and below we’ve gathered our top reasons:
- Fast process. Unlike traditional loans with the bank, with title loans you don’t need to go through mountains of paperwork to get the money you need. So don’t fret too much over the question “how much money can I get for a title loan” because with our fast approval you’ll know within a few hours of the start of your application!
- No prepayment penalties. Another major advantage of title loans is that there isn’t a penalty for paying your loan off early. This allows for flexibility in the loan and getting rid of any remaining debt early.
- Keep your car. Even though the car is being used as collateral on the loan, you still remain the registered owner which means you get to keep driving it. In cities where a car is a necessity for work and life, this makes a huge difference which can’t be beat!
The most important benefit of getting a title loan with Montana Capital is the great service we provide! Our customers are our top priority and we make sure to do everything to help each and every one of them throughout the loan!