Everyone finds themselves holding an unexpected expense at some point. Borrowing from friends and family may not be a viable option when confronted with an unanticipated bill. If you’re considering getting a car title loan, you may come to find that your car title is in someone else’s name, whether because you share the title with someone else or the title transfer never occurred.
Is this a barrier to you using the car title to obtain a car title loan? Keep reading to find out the answer to this question, as well as the answer to several other common car title loan questions.
How Do I Get a Car Title Loan if the Car Title is in Someone Else’s Name?
Car title loans may only be taken out by the person whose name is on the car title. If two people are listed on the car title, then the other individual will also be responsible for repayment. Their credit score would also be affected in the event the loan doesn’t get paid back.
If the car has multiple names on the title, then all the individuals listed may need to sign the loan paperwork. The friendly staff at Max Cash Title Loans are happy to help you determine whether just you, or all the people on the title, need to sign the document.
What if I Don’t Have My Car Title?
If you don’t have your car title, you’ll need to get a new one issued by the DMV. If the title isn’t in your name, you’ll need to track down the previous owner and have them get a new title and then transfer it to you.
When in a situation where you’re missing your car title and it’s already in your name, you’ll need to go to the DMV and have them issue you a new copy. Some DMV locations may even be capable of giving you an expedited title. If you’re wondering where to start, the staff at Max Cash Title Loans may be able to help you find the closest DMV capable of giving you an expedited loan. Depending on the situation, they may even be able to assist you directly.
What Do I Need to Get a Car Title Loan?
If you’re considering getting a car title loan, there are a number of documents you’ll need to complete the process with a lender. You’ll need:
- Qualifying car title in your name
- Proof of income
- Photos of the front, back, and sides of vehicle
- Proof of residence (utility bill, lease contract, etc.)
- Government-issued photo I.D. (driver’s license, state I.D., etc.)
Lenders use the photos of your car as part of the evaluation process, which determines how much money they could potentially lend you. Some lenders require potential customers bring their car down to their storefront so they may inspect the car in person.
What’s Proof of Income for a Car Title Loan?
There are a variety of documents you could use to demonstrate your ability to repay your car title loan. Some people think the only thing document you may use is a recent pay stub. You could actually use these documents as well:
- Social Security
- Workers’ Compensation
- Settlement/Court-Ordered Award
What Happens if I Don’t Pay My Car Title Loan Back?
Borrowers who fail to pay back their car title loan run the risk of losing their car. While the way each state handles repossession varies, there are some similarities. When a borrower misses enough payments, their loan goes into default. Depending on the state, the lender may be required to send the borrower a right to cure notice, informing them that they have a certain amount of time to pay the balance of their loan back. Once any applicable grace period has expired, the lender may repossess the car.
Once the lender has repossessed the defaulting borrower’s car, they normally auction it off to recover the remaining loan balance. This could be the end of the relationship between the borrower and lender. In some states however, lenders could continue to pursue borrowers for payment in the event that the money from the auction doesn’t cover the remaining loan amount. In other states, the lender must return any surplus money raised to the borrower.
Are There Hidden Fees in Car Title Loans?
Reputable car title loan lenders don’t include hidden fees or confusing language in their loan agreements. They do everything they can to ensure their contracts are clear and easy to understand. You won’t be subjected to balloon payments, which are enormous payments at the end of the life of your loan. Nor will you be hit with prepayment penalties; reputable lenders don’t punish you for trying to pay your loan back early.3
It’s critical to always read your loan agreement and make sure you understand every part. Ask your lender questions and be sure they give you an explanation you can understand.
How Much Money Could I Receive with a Car Title Loan?
The amount of money you could receive depends on a few things. Two of the most important determining factors include your ability to pay back your loan and the equity in your car. This is why potential borrowers need to provide proof of income and pictures of their cars.
When you’re looking for a car title loan, you may find that your vehicle title is in someone else’s name. If your name isn’t on the title at all, you’ll need to take a few steps to get your name on the title and then apply for your loan. Don’t worry if that sounds daunting, the great people at Max Cash Title Loans are standing by to help you figure everything out.