Emergencies require a speedy response, especially when it involves your finances.
If you ever find yourself in the middle of a financial rut, don’t worry. There are a lot of ways for you to overcome your situation.
You’re in dire need of quick cash, right? Read more to find out how to get a title loan in Texas.
How Can I Apply for a Title Loan in Texas?
Here’s a quick guide on how you can successfully apply for an auto title loan in Texas and get your cash this instant!
1- Complete the Online Application Form
Your title loan application will usually contain your personal information and the necessary details about your car.
To give you an idea, here’s a list of what is usually asked in title loans:
- Complete name
- Full address (it has to show that you are a resident of Texas)
- Age (only those 18 years old and above are eligible)
- Birth Date
- Vehicle Identification Number (VIN)
- Car information (year, make, model, mileage)
The information you submit on your application form will be assessed to determine the loan amount you qualify for.
Be completely HONEST about what you put in the form, as this will also undergo verification.
If you need some assistance, don’t hesitate to seek the help of a loan officer. They will gladly answer any of your concerns.
2 – Submit Some Important Requirements
After completing your application form, you will be asked to pass important papers to your lenders.
The BEST way to verify your identity is via a government-issued ID. Some examples would be your passport, your social security ID, and your birth certificate.
If you have your state-issued driver’s license, that comes in handy, too! This will certify you are indeed a resident of Texas.
As a business, most loans require proof of income, which ensures your credibility that you can pay off the monthly dues of your title loan.
This could be your bank statements, payslips from your employer, or even the proof of your social security benefits.
Remember, your ability to pay the loan is vital to your approval. Make sure to submit all the paperwork that will prove you can make the monthly payments of your title loan.
Your Auto’s Documents
Of course, your vehicle’s papers are SUPER important! Make sure you have your vehicle title ready.
Just a side note! Your vehicle title has to be lien-free for you to be eligible for a title loan. This means there should be no outstanding judgments or debts attached to your car.
Another important document is the insurance papers of your auto. This gives assurance to the buyer that whatever happens to your car, the insurance company will shoulder the costs.
Lastly, you will be asked to submit pictures of your auto. Take a photo of your car’s odometer.
To check the condition of your auto, you will also be required to take pictures of the interior and exterior.
Make sure to take clear pictures so you won’t have to drive around Texas to have your auto title loans creditors check your auto.
3 – Get Your Cash!
And just like that, your application for Texas title loans is already approved! Some creditors will ask for a bank account because they will transfer your money there.
They may also transfer the money through Western Union or give you the cash directly.
Auto title loans ensure your personal and financial information are kept confidential. The state of Texas upholds the Data Privacy Act, and so will the title loan company.
What Are My Options Right Now?
Aside from title loans, there are MANY alternatives for you to solve a sudden financial dilemma. Let’s list them down below!
Option #1: Get a Personal Loan From the Bank
Just a quick trivia. Did you know more than 20.9 million Americans right now have a personal loan? [R]
In Texas, loans such as this are usually offered by banks, credit unions, or online lenders. [R] This type of loan has been proven helpful in multiple situations – especially if you qualify for a competitive rate.
One of the best things about personal loans is they help borrowers build credit. Of course, you have to consistently pay your monthly dues on time to increase your credit rating.
BUT, the same is true the other way around.
Lenders report late payments and nonpayment, too. This means your credit can be damaged when you fail to pay on time or even default the loan altogether. [R]
What if I Have a Bad Credit?
The thing is, the interest rate of a personal loan varies depending on your credit rating and other qualification requirements.
If you have bad or poor credit as defined by Fair, Isaac, and Company (FICO), you either have to apply for a loan with a co-signer or settle with a high-interest loan.
Financial advisors recommend that if you have bad credit, “you likely shouldn’t be looking for the best rates.” [R]
But, don’t lose hope! We have a BETTER OPTION for you!
Do Lenders of Title Loans Accept an Applicant With Bad Credit?
Of course! The most important thing in an auto title loan is your ability to repay the loan.
Ask yourself, “Do I have what it takes to make the monthly payments for my auto title loan on time?”
Your bad credit score WILL NOT disqualify you from a title loan as long as you prove that you can pay the loan amount.
Also, some loan lenders MAY still perform credit checks. This is to ensure your capability to make the monthly payments.
Remember, title loans are also a type of business, which means a lender will ALSO have to protect their own business interests.
Option #2: Apply for a Payday Loan
A payday loan is a type of short-term loan. You might have heard of it by its other names, which are:
- Cash advance
- Payday advance loan
- Fast cash or fast loan
- Bad credit loan
- Deferred deposit transaction
- Paycheck advance [R]
One of the reasons why payday loans are so famous is they require NO credit checks.
On the downside, however, this also means that payday loans WON’T BUILD your credit, either.
Although it does provide quick cash, another disadvantage of applying for payday loans is that your lender won’t check if you can actually pay for the loan.
This means your loans could accumulate finance charges and other fees as long as you haven’t paid the full amount.
Loans such as this are considered a predatory type of business. The truth is, this type of loan could work against your favor pretty fast.
But, I Need Some Quick Money. What Are My Alternatives?
Car title loans provide all the benefits of a payday loan without the possibility of putting you in an endless cycle of debt.
Let’s talk about why car title loans could be EXACTLY what you need in the next option.
Option #3: Apply for a Car Title Loan in Texas
Did you know you can also accomplish applications for title loans within five minutes?
As a business, title loans are known for their straightforward approval process, which means you WON’T have to wait for a long time only for your loan application to be denied.
Pretty sweet, right? We haven’t even mentioned the best part yet!
Unlike other types of loans, Texas title loans WON’T bury you under a mountain of paperwork and other unnecessary requirements.
Here, we make our business as straightforward as possible. We ensure that we provide you dedicated and quality service.
What Makes Title Loans Different From Other Types of Loans, Then?
In Texas, a title loan is the BEST type of loan for you because of its flexibility.
As a form of business, banks loans and payday loans have a very rigid structure regarding their policies and rules. Title loan lenders in Texas are different, though.
As a borrower, you will be allowed to negotiate with your lender. Before you sign the loan agreement, you may discuss some terms and conditions of the loan.
Another reason why we recommend title loans is you get to keep your vehicle.
Other types of loans will require you to surrender your vehicle as collateral or even ask for a guaranty.
But here, you will be able to continue driving around Texas while you’re paying off the loan amount! That sounds like a win-win situation!
Tips to Improve Your Chances of Being Approved for Title Loan
The key to being approved for auto title loans is proving you have the ability to repay the loan. Let’s discuss what you can do!
Tip #1: Understand the Importance of Your Credit
In Texas or anywhere in the world, one of the things creditors look at is your credit history and habits. They check if you are paying your debt on time, if you’ve defaulted on other types of loans, etc.
If you find yourself deep in debt or have trouble managing your loans, we recommend that you try credit counseling.
Think of it as a guide on how an individual can better solve debt issues and learn how to take care of credit properly.
Not only that, but credit counseling may also negotiate with your creditors to reduce interest rates and waive finance charges of loans. [R] It’s pretty awesome!
Aside from debt management, counseling also helps with receiving robust benefits from a good credit rating.
This includes getting longer terms in loans and even getting annual rewards such as lounge access, premium service, etc. [R]
Tip #2: Learn to Manage Existing Debt Properly
There is good debt and bad debt. However, when you’re not careful, both can accumulate without you even noticing.
Here are some strategies on how to manage existing debt and work your way to becoming debt-free.
- Work out the debts you already have. To become debt-free is to know ALL your loans. List how much money you owe to loans, including the finance charges.
- Compare your income, expenses, and your debt. To become financially free, your income must be bigger than your expenses AND debt. Allocate your income so you prioritize paying off your existing loans first before spending.
- Know when to swipe your credit card. Just because you have a credit card does not mean you can get a lot of loans. Nope! Be mindful of using your credit card, even on items that promise they would build your credit. Loans are a type of business. If you’re not able to pay them off on time, your credit rating can take a turn for the worse.
Apply for Texas Title Loans Today
We get stuck in financial ruts from time to time, and that’s why title loans are available to provide the right support you need.
Apply for a title loan in Texas today!