What Do I Need for a Title Loan?

Car Title

The title to your vehicle is used as collateral to secure a title loan, so you must be willing to submit it to your lender during the application process. If you are approved for a title loan, the lender will either hold onto the title or put a lien on it until you have paid off your loan. 

If you cannot find the title to your vehicle, let your lender know right away. Your loan officer can help you obtain another copy of your title so you can complete your title loan application.

Your name must be on the title you plan on using as collateral. Your name does not need to be the only name on the title. You can use a title with multiple names on it as long as your name is one of them. 

You cannot use a salvage title as collateral to secure a title loan. A salvage title indicates that the vehicle has suffered extensive damage in the past and has been deemed a “total loss” by an insurance company. It is hard to estimate the value of salvage title vehicles, which is why title loan companies do not accept them as collateral.

Credit Check

You must be willing to consent to a credit check if you want to borrow money through a title loan. This does not mean you need perfect credit to qualify for a title loan, though. Your credit is only one factor that will determine your eligibility for a title loan. Title loan companies also consider other factors, including the value of your vehicle and your ability to repay the loan. 

You shouldn’t assume that you won’t qualify for a title loan just because your credit isn’t perfect. Title loan companies typically accept most credit types.

Car That Meets Minimum Value Requirement

Your car is used as collateral to secure your loan, so it plays an important role in the title loan application process. To qualify for a title loan, your vehicle must meet your title loan company’s minimum value requirement. This minimum value requirement can vary depending on the title loan company, so it’s best to contact your lender for more information.

During the application process, the title loan company will need to calculate the value of your vehicle to confirm it meets this requirement. The valuation of your vehicle will also impact how much you can borrow. In general, you cannot borrow more than your vehicle is worth.

Title loan companies consider many factors when calculating a vehicle’s resale value, including the make, model, year, mileage, condition, and trim level.

The valuation process varies depending on the lender. Some title loan companies may require you to bring your vehicle in for an inspection, whereas others may send someone to you to inspect your vehicle. There are also title loan companies that will allow you to submit photos of your vehicle instead of getting it inspected. Make sure you understand what options your title loan company offers.

Equity

Owning a vehicle does not automatically make you eligible for a title loan. However, in order to qualify for a title loan, among other requirements,  you must also have equity in your vehicle.

The term “equity” refers to the difference between your vehicle’s resale value and the amount you still owe on it. For example, if your vehicle is valued at $10,000 and you owe $3,000 on it, this means you have $7,000 in equity.

If you owe more on your vehicle than it is worth, you do not have equity. For instance, if your vehicle is valued at $6,000 and you owe $7,000 on it, you do not have equity, which means, in most cases, you cannot use this vehicle as collateral to secure a title loan.

You cannot borrow more than the value of your equity. In fact, most title loan companies only allow you to borrow up to a certain percentage of the value of your equity.

Reliable Source of Income

You must have a reliable source of income in order to qualify for a title loan. During the application process, you will need to submit proof of income to the title loan company.

A number of documents may serve as proof of income, including recent tax returns, pay stubs from your employer, or bank statements. Talk to your lender to learn more about the documents they accept as proof of income. 

It’s important to note that “proof of income” does not necessarily mean “proof of employment.” You may still qualify for a title loan if you are unemployed as long as you have another source of income such as disability benefits, retirement benefits, alimony, or rental income. You must be able to show proof of this income during the title loan application process.

How to Apply for a Title Loan*

Now you’re ready to get the fast cash you need to make ends meet. Follow these steps to apply for a title loan from 1-800-Car-Title®:

1. Contact us. Call 1-800-227-8485 or submit your information using the form on our website. If you submit the online form, a loan officer will get in touch with you as soon as possible.
2. Get a free loan estimate. It only takes a few minutes to get a free loan estimate that tells you if you are approved for a title loan and if so, how much you can borrow and at what interest rate. All you need to do is provide some basic information about your vehicle, including its make, model, year, and mileage. Make sure the information you provide is accurate since it will be used to prepare your free loan estimate.
3. Complete your application. If you’re satisfied with your loan estimate, finalize your loan by signing and submitting the required documentation. Your loan officer will walk you through this step to ensure you know what you need to sign and submit to complete this step.
4. Get your cash. Your cash will be available shortly after your application has been approved and processed. You can get your cash at one of our partners’ convenient locations or arrange to have it sent to you directly via check or wire transfer. 

Contact us today to take the first step toward securing fast cash.

*Loan approval is subject to meeting the lender's credit criteria, which includes the demonstration of the ability to repay the loan. Not all applications will be approved.