Florida Car Title Loans
There are many burning questions that somebody may have about Florida title loans. We are going to try and answer as many of them as we possibly can on this page. There is a lot to cover, so strap in and enjoy what we have written!
What are title loans?
Title loans are loans against your vehicle. When you take out a title loan, you are telling somebody that if you do not pay back your loan on time, they will be able to take possession of your vehicle and sell it on. Basically, your vehicle is going to be collateral for them.
You will be able to take out title loans against any vehicle, providing you own the title to it. This includes boats (although, some title loan companies in Florida may not be able to deal with boat loans for various reasons). You will not be able to take out a title loan if your vehicle is leased.
Can you still use your vehicle?
Yes. When you take out a title loan, you will still be able to use your vehicle. You are only handing over the title to it for a temporary period. The only time you will end up losing access to your vehicle is if you fail to pay your loan back on time.
How much can you borrow in Florida?
It will be dependent on two things:
- The value of your vehicle
- The company you are working with
Contrary to popular belief, when you take out Florida title loans, you are not going to be receiving the full value of your vehicle. You will be receiving a fraction of it. This is because the loan company needs to make money should the worst happen and they need to end up selling your vehicle. This means that you should never look at the second-hand prices of vehicles to determine how much you are going to be paid.
To be honest, it is going to be difficult to predict how much money you can borrow here. This is because every single case will be drastically different. However, rest assured, whatever price you are offered by what the lender is confident to pay. You may find that different title loan vendors will give different prices, but they are never going to be that different.
What do you need when you obtain a title loan?
You won’t need much. At the minimum, you will, of course, need the title to your vehicle. Remember; if the title is not in your name, then you will not be able to borrow money against the vehicle. In addition to this, you are going to need to supply your ID. This will say that you genuinely are who you say you are.
Some lenders may have slightly different requirements before they lend to you. For example; some of them may ask to see your vehicle. However, no matter what they require, you will still need your title and ID. You may also want to go in armed with information about how much you are looking to borrow.
Who are title loans for?
Title loans do not require any credit checks when you take one out. Due to the nature of them, they are ideal for those who may have a poor credit rating. You are putting collateral up front on the loan, which means that the credit rating is not 100% required. This means that if you have failed to get credit elsewhere, then title loans in Florida are going to be for you.
You should probably remember that title loans are still going to be quite a risky loan for the lender. This means that they are likely to have a higher interest rate than other loans out there. You should be given all of this information up front so you know exactly what you are going to be getting yourself in for. That being said, because you are going to be giving collateral up front, this type of loan is still going to carry less risk than a payday loan, which means interest rates are lower.
They are also an ideal loan for those who are looking to borrow small amounts of cash over a shorter period. You are not going to have months and months to pay back your title loan. Nowhere near it. It is going to be a month or two at the most. These are fast loans. The money will land in your account even faster too. For example; if you take up Florida title loans online, then it is likely that the money will be in your account instantly. If you take up the title loan in an actual store, then you will have the cash put right in your hand as soon as you are approved for the loan.
What happens if you default?
You are going to lose your vehicle. It is as simple as that. When you take out a title loan, you are telling the company that you are able to pay it back within the allotted time. If you do not, then they will be able to take your vehicle and sell it on.
If you fail to pay your loan back, the company will come and collect the vehicle directly from your property.
Which companies are best in Florida?
It depends. In most cases, it is probably going to be far, far easier for you to obtain Florida title loans online because it takes no more than a couple of clicks and you can do it within seconds. You can click here to get started. However, some people will also go to their local title loan company and obtain the loan there. However you choose to do it, it is important that you do your due diligence. This will ensure that you will end up with the best possible deal on your loan with the best possible company for you.