A car title loan to alleviate crisis

A vehicle is not just a status symbol or is not meant only to roam about; but a great asset in case of financial crisis. If you are the owner of a car, you can handle financial crisis in a much systematic and planned way and that too, without any hassle. Gone are the days when ornaments were sold or houses were mortgaged to arrange money in emergency. A car title is all you need to get relief from uncalled for trouble dangling on your head.

Car title loans or more commonly called auto title loans have solved the problem of many people. Gradually the banks and financial institutions are becoming customer centric and are trying their level best to come up with customized solutions and services that can help customers in case of crisis. A car title loan is one such effective solution that customers can avail at ease. The loan can be availed by almost anyone, who has made the entire payment of the vehicle against which he/she plans to apply for loan.

As goes the saying, there are two sides of the coin. Although, this is a quick and easy plan, there are facts that the applicants needs to know. In case of car title loans, the car is used as collateral. So, the owner has to give away the car title to the lender as security. Moreover, the objective of the car title loan is totally different as compared to other loans offered by the financial institutions. Basically, this is a short term loan that can be of great help in case of medical emergency, or personal commitment or for any such need. Even if the applicant has bad credit rating, the loan gets sanctioned without any hassle. The applicant needs to submit the relevant documents such as identity proof, age proof, and income statement to the bank or the financial institution. Generally the car title loan gets approved within 48 hours. This is a very useful loan which can also help applicants to improve their credit rating. Interest of the car title loan is high.

Short term loan with high interest rate often raises eyebrows and apprehensions in the minds of the applicants. The car title loan allows the applicant to use the car during the loan period. Within 30 days, the loan amount along with the interest has to be repaid. If the borrower fails to repay the loan amount within one month, the bank extends the loan period by another month, but then the already sky high interest rate further shoots up. If the applicant defaults for the second time, the bank/lender/ financial institution takes away the car and sells it to recover the loan amount.

So, the applicant should use this car title loan wisely, and reap the benefits of it.