What Are the Types of Cars That Qualify For a Title Loan?
Most Americans own more than one car, and sometimes even more than one type. If an individual wants to use their car(s) for funding, they may consider obtaining a title loan. A title loan is obtained by using a cars title as collateral.
Before looking for a car title loan, you may have questions about whether specific car(s) qualify for a title loan. There are many types of cars out there and some cars qualify for a title loan others do not. It may be helpful to know the types of cars that do or do not qualify for title loans before seeking one out.
What Kinds of Cars Do Lenders Take?
Every title loan lender is different and there isn’t a universal list of cars that lenders will accept. However, most lenders will ask that a car should be in safe working condition and the title for the qualifying car should be in their name.
The Types of Cars That May be Used for a Title Loan
Generally, lenders may accept the following cars for a car title loan:
|· Sedans||· Minivans||· Recreational Vehicles|
|· Coupes||· Sport Utility Vehicles||· Motorcycles|
|· Hatchbacks||· Convertibles||· Electric Vehicles|
|· Station Wagons||· Trucks||· Classic Vehicles|
|· Sports Cars||· Trailers|| |
What Factors Do Title Loan Lenders Look at?
The car’s value greatly determines the amount a borrower could receive from the title loan. When figuring out eligibility and the value of a car, title loan lenders will look at the following:
Using these factors, lenders will then use references like the Kelley Blue Book to come up with a value for the car. In some states the car must have a minimum value for eligibility. However, most states do not require this.
The condition of the car may be verified in a couple of ways, this is also up the lender. A few ways lenders check the condition of the car are: in-person, via a checklist online, or by asking for several pictures of the car.
What If I Have Multiple Cars?
Having multiple cars may be beneficial when looking to obtain a car title loan. This is because the other car(s) owned by the borrower may have more value than the original car that was going to be used for the car title loan. It is important to know that title loans may only be given out one at a time, and the value of two cars cannot be combined.
What is a Qualifying Title?
A qualifying title is a car title to a qualifying vehicle in your name. If someone is interested in obtaining a car title loan, they must possess a qualifying vehicle, and the title to that vehicle must have their name on it.
In the case of the car title name hasn’t been updated, the inquirer must visit a DMV to have their name added to the title. If the inquirer’s name is on the title in addition to someone else’s, then both parties must apply for a title loan together.
What Else Does One Need for a Car Title Loan?
In addition to a qualifying title, and some type of car inspection process, a few other pieces of information will be needed for a car title loan:
- State I.D. or driver’s license
- Proof of income
- Proof of residence
Once this information is gathered, an inquirer can begin their search for a lender. At Max Cash Title Loans, we are a free loan processing service that could perform all of the research for you. We work with several trusted lenders that may accept all kinds of cars. To get in contact with us, give us a call at (855) 561-5626 or email us at firstname.lastname@example.org.
When getting a car title loan, the car being put up for collateral plays a huge role in determining the value of the loan you could receive. Before looking for a car title loan, know what kinds of cars qualify for a car title loan.
It is beneficial to know a little more about what lenders will look at when determining the value of the car. At Max Cash Title Loans, we work with several lenders all over the country, and we may be able to find a lender that works with you and your specific car.5