Borrowers who need cash right away often ask lenders about their options for "same day loans," or, a way to receive a cash loan the same day they apply for it. A lot of lenders have nothing to offer their borrowers on this front because they like to run thorough background and credit history checks before offering a loan that might not work in their favor. History checks take time to complete, and with multiple borrowers asking for cash, lenders often can't review so much information in a single day.
However, there are many ways to get a lender on your side without a credit history check, and the trick is always to offer a high-value item as collateral for your loan.
The idea is, if you leave something of value with your lender during the course of your loan, you will have a clear interest in receiving the item back, and thus, a clear interest in completing your loan period properly. This situation gives lenders a lot more confidence in you as a borrower, so much so that they'll generally forego credit history checks.
Keeping in mind that during the course of your loan, your item still belongs to you, but it will be in the possession of your lender, the main issue with offering a piece of collateral to a lender is that you might need to use the item before you complete your loan and it can be returned safely to you.
This is why most high-value items come with "titles" - statements of ownership with your signature on them that legally assign the item to your possession. For example, if you own a home, you should have a piece of paper in your files stating your possession of the property - properly called a mortgage. Since your home has value, you could receive a loan for less than or equal to the value of your home by temporarily giving up your mortgage to a lender, and still make use of your home while you make payments on your "mortgage equity loan."
Most people prefer not to receive loans on their mortgage equity, if they can avoid it, because in the event of a mishap, they'd rather not end up without the home they've signed a mortgage on for 10-30 years. Also, since home values vary greatly by the condition of your home, the neighborhood you live in, and many other factors, mortgage equity loans cannot be offered in a single day because lenders will want appraisals completed before handing over cash for your mortgage.
The most common, and usually the most appropriate items to offer as collateral for same day loans are car titles. Car title loans are easy to approve, since working, insured vehicles always have some kind of market value, but not so much that it will break a lender's bank in the way a faulty home could. With a brief vehicle inspection and proof of insurance, you could have thousands signed over to you for a car title loan and continue driving your vehicle while you make payments. Once your loan period is completed, your car title will be safely returned.
Other high-value items, like, say, a crystal decorative piece, may be more difficult to approve for collateral-based loans because of the possibility of forgery, and a lack of insurance. A working, insured vehicle title is almost always a secure bet for a lender to approve as collateral.
Car title loans, also known as vehicle title loans, auto title loans or pink slip loans, are particularly useful for people who need cash fast on bad credit because lenders legally have an option to forego credit checks when approving a car title loan, simply based on the value of your vehicle. Not having to succumb to a credit check usually works in the favor of a bad credit borrower because the title loan can be offered on an even plane with other borrowers, which means your interest rate shouldn't be unfairly high - as it often can be when you have a less-than-desirable credit history score.
Aside from how quickly and fairly you can receive cash for a car title loan, title loans offer a few extra benefits for borrowers:
When you decide to invest in a car title loan as an income boost for your personal finances, you can receive cash in a single day, design a repayment plan that works with your income schedule, and receive freedom to do whatever you want with your money so that you can get your finances back on track.
People use title loans for all sorts of reasons, but most often, they are trying to meet payment deadlines and re-finance their income at a schedule they know they can afford - and, ideally, a lower interest rate. With an extra $500 - $15,000, you could cover medical bills or school payments, make a significant dent in student loans, fund a vacation or business venture, or even re-align your monthly finances entirely. The trick is to ensure that your payment plan is completely affordable by reviewing your monthly budget before you begin your loan period.
If you need help deciding whether or not an auto title loan, or other type of same day loan, is correct for your finances, you can apply on this website and speak with an agent from a third-party agency that specializes in connecting borrowers to trustworthy lenders. This service is completely free of charge and obligation, so you can learn all about your individual options with no hassles whatsoever.
We offer car title loans in Florida, as well as the following metro areas: