What Is A Title Loan?
March 11, 2022 | Emma Frost
For many people, title loans are a fast way to borrow cash when they have emergency expenses they cannot handle alone. Many people will turn to a car title loan when they need access to money for emergency purposes such as home repairs, medical costs, and so on.
However, despite these loans becoming increasingly common in New Mexico, there are still many that aren't quite sure what a title loan is. And before you apply for a loan, you have to understand what it is. So, exactly what is a title loan? Here is what you need to know.
Learn About Title Loans And What A Title Loan Is
A quick car title loan is a secured loan. You can think of it as being very similar to your mortgage. When you borrow cash with a title loan, you will be borrowing cash secured against the lien-free title of your vehicle (i.e. the ownership of your vehicle) that is in your name.
Many people opt for title loans as they are a fast way to borrow cash. With New Mexico Title Loans, Inc., you can get through the inquiry process in as little as an hour. And you could even have access to funds as soon as the same day or the next bank business day.
What Do You Need For A Title Loan?
When it comes to our required items needed to get through the process, New Mexico Title Loans, Inc. won't have you jumping through hoops gathering documents for a car title loan. We only require three items for you to get through. We just require the following from you:
- A government-issued ID, preferably your driver's license.
- Your vehicle for a quick inspection.
- The lien-free title to your vehicle.
Your car title must be lien-free and in your name. If it isn't, we cannot issue you with a title loan. Generally speaking, if you purchased your car using financing that has yet to be paid off, then it is not lien-free. If you are unsure, then you can always reach out to the DMV.
When it comes to the required items, one thing are not going to require is any proof of your income. This means that this title loan is often taken out by those that find themselves temporarily unemployed or receiving benefits. We also will not require your checking account details.
What Happens During A Car Title Loan Inspection?
To determine how much you can borrow, we will need to inspect your vehicle, since the amount of cash you could get depends on your vehicle’s condition and resale value. But the good thing is, when you first speak to us, you can opt to come to the nearest New Mexico title loans location for a vehicle inspection or we can come to you.
During the vehicle inspection, one of our loan representatives will give your vehicle a quick inspection. Using an industry-recognized price list, we will be able to determine exactly how much it is worth. We are also looking at the condition of your vehicle and if there is any major damage.
How Do You Get A Title Loan?
Now that you know what is a title loan, you will probably want to know a little bit about how the process works. Here at New Mexico Title Loans, Inc., we try to ensure everything is as easy to get through as possible. The first step is to tell us you are interested in a title loan. This starts the inquiry process.
You can either do this by filling in the form on our website or giving us a call. Shortly after that form has been filled in, we will give you a call. We will explain how auto title loans work. We will also let you know the documents that you need for this type of loan.
Our key priority here is letting you know where your local New Mexico title loan location is. Again, you can come here for your vehicle inspection or we can come to you. Your next job is to head to your vehicle inspection location. If you have selected your own location, you may not have to travel that far because we have locations all throughout New Mexico.
We will give your vehicle a look over. We will also check the documents that you bring along. This allows us to determine if you qualify for approval. If you do qualify, it is time to sign your loan agreement. We will also go over the loan terms. Once done, we will start the process of getting the cash to you.
New Mexico Title Loans, Inc. Is An Option For Title Loans
When many people ask what is a title loan, they are not only interested in how title loans work, but also the benefits. We have already discussed how fast a title loan can be obtained. Most people that get through the process have the cash as soon as the same day.
Because there are no employment requirements, you do not have to worry about the job that you are currently working. Whether you are full-time, part-time, unemployed, or receiving disability benefits, you may still be able to receive a title loan. Just make sure you have a secured source of income to repay the loan.
All credit situations can be considered as well. This means that you may not necessarily be declined a title loan because you have poor credit. Our concern is ensuring that you can afford the title loan now. This is why we carry out the vehicle inspection.
Get The Cash That You Need Today
So, what is a title loan? This guide will definitely let you know exactly what it is. They are often the go-to loan option for those that need access to cash within a day or two. If you need fast funding and have a lien-free title to a vehicle, we may be able to help with a car title loan. Get in touch with us today. The process is quick and easy.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.