Title Loans With Bad Credit - How They Work
Bad credit shouldn't stop you from getting approved for a loan, but it often does. Most unsecured lenders require decent credit when applying for a traditional loan in Florida, but that's no longer true if you have a paid-off vehicle.
Using a car as collateral, you can now borrow money with a Florida Title loan and not worry about your credit score. Bad credit title loans are available to anyone in Florida who can't be approved for a personal loan due to a low FICO score. Car title loans are also a good option for people who need a larger loan than they could qualify for with a traditional loan. Loan amounts can be higher for a title loan because you are backing up your loan with security in the form of a vehicle. In contrast, unsecured loans primarily rely on your credit score when determining approval.
Bad credit title loans are available in Florida for $1,000 to $20,000, and the approval process is relatively easy for anyone with a lien-free vehicle. You'll save a lot of time during underwriting by not having to deal with a formal credit check, and you can get approved using a paid off vehicle as collateral. Apply with Florida Title Loans online, or call 888-986-8505 when you're ready to get started.
Why Take Out A Bad Credit Title Loan
-Borrow the cash you need quickly. There are hundreds of companies offering online title loans in Florida, and many services promise quick cash after approval and underwriting. All you need is a lien free vehicle and proof of income to qualify, and title loans are a way to borrow money without relying on your credit score for approval.
-Good credit is not a critical underwriting requirement. Some lenders won't even run a standard credit check that looks for recent defaults or missed payments. Interest rates on auto title loans are high, and there's less emphasis on the applicant's credit history. You may be subjected to a brief credit check, which will likely include a search to see if you're in bankruptcy or already have a title loan. But even in this scenario, your credit history won't factor too much in your lending decision if you have a paid-off vehicle titled in your name.
-Keep driving your vehicle while you make the monthly payments. People often think that a bad-credit title loan requires them to pawn their vehicle and keys as collateral. Now, with a bad credit title loan, you can borrow cash without giving up your keys as security for a loan. Your lender will be added as a lienholder on the car's title as collateral. Some title loan companies may require a GPS tracking device for higher amounts, though this varies by lender and is not a standard requirement.
-Borrow more money than you'd ever get with a traditional loan. Payday loan providers and cash advance companies can sometimes only offer a few hundred dollars, and that's if you have a decent credit score. Installment loan lenders provide loans over $1,000, but you will need excellent credit to get approved. With a title loan, however, you're primarily approved based on your vehicle's equity, funding amounts start at $1,000, and many Florida title loan lenders place less emphasis on your credit score than traditional lenders.
Can A Poor Credit Title Loan Improve My Credit Score
You may see a slight bump in your credit rating after making a few title loan payments, as on-time payments may appear on your credit report as an installment or recurring loan. Your creditor may report those monthly payments to the credit bureaus, which may show them as on-time.
These title pawns can be less risky than other types of loans because they are paid back in fixed payments over a set period. A positive history can help offset some negative items that are dragging down your score. Of course, if you default, your score will take a hit, and you will also risk having your car repossessed. Unlike a default, vehicle repossession will stay on your credit report for years and could seriously affect your ability to borrow money from a bank, credit union, or unsecured lender. So it's important only to borrow what you can afford and to ensure you make all your payments on time.
How To Get Bad Credit Title Loans - Apply Online Or With A Local Lender
One of the best things about bad credit title loans is that you can apply for them online and get an approval decision in minutes. Many companies in Florida offer title loans; most have websites where you can apply. At Florida Title Loans, we accept online applications regardless of your FICO score, and you can pre-qualify over the phone at 888-986-8505. The approval process is easier than ever for someone with bad credit and your credit score likely won't even come up during the underwriting process. We can get you a quote solely based on your vehicle's value, and all we need for pre-approval is the make, model, trim, and year of your car to get started.
If you don't want to apply online, you can complete an application with a direct lender near you. Many of these companies are smaller and have less online presence, but they will all work with customers with poor credit and offer fast underwriting. You only need to find a few companies in your area that offer title loans and are willing to complete the underwriting and inspection process in person. Most licensed title loan companies in Florida work with applicants regardless of their credit score, but it always helps to confirm their requirements before applying.
It will likely take less than an hour to complete the paperwork, underwriting, and final vehicle inspection before picking up the cash. Verify the interest rate initially quoted to you and check that it's the same in the final loan contract you will be asked to sign.
Apply With Florida Title Loans For A Poor Credit Title Loan
If you need emergency cash and have a paid off vehicle, it may make sense to see if you qualify for a car title loan. Applicants with bad credit should find it easy to get approved when they use the car's title as collateral. Get started now with the online application at Florida Title Loans, and we'll provide an initial pre-qualification estimate right after you apply.
Completing our online application takes less than 5 minutes, and you can always call us at 888-986-8505. After that, you should hear from one of our qualified processing agents, who will explain the terms and details of your bad credit financing options.