Showing posts with label Car Title Loan In Houston. Show all posts
Showing posts with label Car Title Loan In Houston. Show all posts

Monday, February 9, 2015

Title Loans Houston Explains How Car Title Loan Interest Works in Texas

Title Loans Houston, which provides car title loans to residents in Texas, explains how interest is calculated on title loans. According to the lender, this is one area that most confuses borrowers, and it may lead some to borrow more than they can afford to repay.

The lender also points out that many are surprised to learn that these loans offer rates that are comparable to credit card rates, which may be surprising considering the reputation these short-term, bad credit loans have obtained.

Most car title lenders in Texas offer pre-calculated interest rates, which are determined based on the resale value of the car. This interest is simple interest, which is a percentage of the principal amount, unlike compound interest, which is interest not only on the original balance but also on interest previously earned. The lender does point out that this interest rate may change if the loan is refinanced for a larger amount.

Title Loans Houston recommends using a simple online interest calculator to look at the total cost of the loan, which requires only the principal amount (the amount borrowed) the interest rate and the length of the loan. The faster the loan is paid back, the lower the total cost in most cases.

In Houston, car title loans often have interest rates that are up to half the APR of payday loans. While the APR may be shocking, it's important to remember that this is the interest rate if the loan is spread out over 12 full months, while title loans are meant to be a short-term loan for two to six weeks. State law requires stating an APR, it is not necessarily the best indication of the cost of the interest.

Title loans often have a flat fee per $100 borrowed, so the typical cost for a $500 loan for two weeks may just be $55. As Title Loans Houston points out, this cost can be lower than the cost of late fees, bounced checks, disconnection or reconnection fees from utility companies or a default APR on a credit card after a missed payment.

Title Loans Houston recommends consumers do their research before taking out a title loan. The industry is competitive, so it's possible to find a much lower rate by shopping around. Consumers should also borrow only what is necessary and affordable to repay to avoid the consequences of defaulting, as their vehicle may be repossessed.

When used responsibly, title loans can help consumers get through a difficult time and even save money, depending on their circumstances.

Title Loans Houston provides title loans to Houston residents between $500 and $15,000, depending on the vehicle's make, model, year, mileage and condition. Houston residents can learn more and apply online. 

We provide affordable, short-term car title loans in Houston with flexible repayment terms and reasonable interest rates. They offer a quick, easy lending process with phone or online applications accepted and same-day delivery of cash up to $5,000.

Things You Didn't Know About Houston Car Title Loans

If you have bad credit, you probably already know that banks won't lend you money. When an emergency comes up, you may feel pretty panicked and desperate, wondering how you'll come up with money you just don't have. Unfortunately, many people write off car title loans in Houston because they buy into the negative publicity. There are actually many advantages to title loans and, while they're not right for everyone, they can be just the thing to save you in an emergency. Here are some things you may not have realized about title loans in Texas.

1. You Keep Your Car
Many people mistakenly believe that Houston car title loans work just like payday loans, which require handing over your property to secure your loan. The truth is, you continue driving your car while you pay back your title loan, and your car's title is returned to you once you pay off the loan. As long as you don't default, you will never have to give up your car for a minute.

2. Houston Car Title Loans Can Save You Money! 
While title loans do have high interest rates, they can actually save you a lot of money, depending on how they're used. It goes without saying that you won't save money if you plan to get a title loan to pay for a vacation, but you certainly can save a bundle if you're getting the loan to cover checks that are going to bounce or make payments on other loans or accounts.

Consider this: utility companies typically charge late fees, and hefty reconnection fees up to $100 if your service is disconnected. Banks charge up to $40 for each bounced check, and credit card companies and lenders charge late fees up to $40 if you're late on your payment. If you miss a credit card payment or car loan payment, your APR may also skyrocket, costing you hundreds or thousands more over the life of your loan! In cases like these, turning to car title loans in Houston to borrow the money you need can actually be a smart decision.

3. You Can Get More Money
Did you know you can usually get a bigger loan with a car title loan than you could with a payday loan or pawn loan? That's because the amount of your loan is based on the equity in your vehicle. Many people are surprised when they find out how much  lender is willing to offer them, but remember to only borrow what you need to make sure you can afford to repay it.

4. You Probably Qualify
It's actually really easy to qualify for car title loans. Houston lenders will not even check your credit, so bad credit will not hold you back from getting the money you need today. To qualify, you must own your own vehicle outright with no loan, or with very little left on an existing loan. You must also be over 18. If you meet this qualifications, chances are you can get an emergency loan to help you get through a tough time!

Personal Loan Options for Bad Credit in Houston

If you have bad credit, you know just how much it can limit you and affect nearly every aspect of your life. While you may get along without credit cards and access to a bank loan, what do you do when life throws the unexpected at you? Whether your car has broken down, your paycheck was shorter than you expected or you have medical bills to pay, you need a source of emergency cash.

Here are some personal loan options you can use in Houston if you have bad credit, including pawn loans and Houston car title loans.

1. Peer-to-Peer Lending
Peer-to-peer lending has gained in popularity over the years, and it allows you to obtain a personal loan without going through a bank. Your credit will still matter, however, but it's usually an individual who makes the decision, not a huge institution or underwriter. If you have bad credit, expect to receive a much higher interest rate. It may also take some time to actually receive the money, so it's not a good option if you need the cash in the next few days.

2. Houston Car Title Loans
Car title loans in Houston are available regardless of your credit history, and lenders will not run your credit at all. Still, you must own your own vehicle to qualify, or have few payments remaining on an existing car loan. The loan amount will be based on the equity in your car, which is determined in part by its year, make, model, mileage and condition. If you need cash today, this is one of the better options because you can have the money in as little as one hour. Depending on the value of your car, you can receive up to $15,000.

Be aware, though, that car title loans in Houston are secured. This means the lender will hold the title to your car until your loan is paid off. If you default on the loan, you will probably lose your vehicle.

3. Payday Loans
On the surface, payday loans are a lot like car title loans. Houston payday lenders will not check your credit, and you can get the cash in less than one hour. One difference, though, is payday loans are for a much smaller amount on average, usually just $500 to $1,000, and they're due within two weeks. This is because they are not secured like title loans, and lenders do not have much recourse if you default. This may be a good option if you need a relatively small amount of money soon and you do not own a car.

4. Pawn Loans
Finally, Houston has dozens of pawn shops who will loan you money based on the value of some collateral. You can pawn nearly anything you own for fast cash, whether it's a television, collectibles, an antique belonging or something else entirely, and the pawn broker will hold your item until you return to pay back the loan plus interest. Pawn loans, like all loans for bad credit, come with high interest rates, and you also risk losing the item if you cannot pay your loan back on time.

How To Get A Car Title Loan In Houston?

Have you found yourself short on cash? Are you in need of a loan but don't think there is any way you can get one?  For many people in Houston this is a real dilemma. Banks have become much more strict when it comes to loaning money. When you need money, you need it now. If you own your car, a Houston car title loan may be right for you.

Car Title loans began in the early 1990's and have grown increasingly popular. The reason they have gained such popularity is because of their ability to provide cash quickly, without the hassle of a credit check or the approval of an underwriter.

Houston car title loans are a quick and easy way to get cash. Most car title loans can be acquired in 15 minutes or  less. Car title loans offer a loan option for people with all types of credit. You can secure a car title loan if you have excellent credit, fair credit, poor credit or no credit at all.

How does a car title loan work? A car title loan is a loan secured with the equity of your car. The car title loan company will keep your car title and you give you the money you deserve. They make getting a loan easier than ever.

How can I get a car title loan? A borrower can seek the services of a lender either online or at a store location. There are many Houston car title loan agents waiting to help you. To secure a loan you will need to provide the hard copy of your car title. You may also need to provide certain forms of identification like, a valid government issued ID, proof of income, as well as vehicle registration.

Car title loans in Houston are simple and can be used for so many things. Finding yourself in need of cash can be a huge problem. Payday may be far away but you have bills that are due now. Many do not know the value of securing a car title loan. A car title loan is something that can be done by anyone who owns their car. Depending on the value of your car, you can instantly secure thousands of dollars. It couldn't be any easier.

When you find yourself low on cash, secure a car title loan and drive away with the money you need. Car title loans in Houston provide an efficient and effective way to get a loan. Remember, there is no credit check, no waiting and no hassle. With Houston car title loans you can keep your car and get the cash you need. It has never been easier to get a loan. Get cash fast with a Houston car title loan today.