Loans for People on Benefits: IDEA 4: Apply for Car Title Loans
If you have a vehicle you can use it as collateral when taking out a loan. There are so many car title loan lenders so its important to read reviews to find out which is the most reputable and which one is most helpful towards its client. Car title loans works by accepting your vehicle as collateral. The better your vehicle in terms of condition and age the more loan you will be eligible for. Car title loans have a lower APR compared to Payday Loans because there is less of a risk for the lending company. If you cannot repay the loan the car is kept and sold off at auction to recoup any outstanding payment on the loan.
To get started gather all your vehicle titles and paperwork and then head to reputable car title loan lenders. You will be able to find a handful of lenders in your location if you do a search on Google Maps. Once you find these lenders you need to go with all the paperwork to find out how much loan you are eligible for. It is a smart move to find out what the value of your vehicle is and then expect a loan for half that amount. You should negotiate your APR because you are using collateral and there is virtually zero risk for the lender.
Car title loans for people on benefits are available. All you need to show is your car title and other vehicle paperwork depending on the car title lender. You also need to fill out a income and expenses statement to show you can afford the repayments. Before you take out the loan consider whether you really need the loan because if you fail yo make the repayments your vehicle will be at stake. Also try your utmost to negotiate a lower rate. Always find out what you are borrowing and how much you will be repaying in total and take time and care to read the small print so you can know in advance if there are any nasty clauses or conditions.