When comparing a title loan to other types of loans, there is a vast difference. Title loans are unlike any other type of loan, and they have their own advantages. One such difference is that title loans are much easier to obtain than other loans.
Most loan processes require a long approval duration. And if someone is approved, it can take a week or more to receive funds. With a title loan however, the approval process is quite short because all you need is a valid title and a vehicle in decent condition.
But there is so much more that differentiates title loans from other loans out there. If you want to know more about title loans, keep reading to find out.
Title Loans are Considered Short-Term Loans
Most loans typically have long terms and can last several years. Large loan sums need more time for repayment, but a title loan is considered a short-term loan and as such you cannot borrow more than a few thousand dollars. A title loan term length is usually no more than 30 days, but there are exceptions.
Title Loans are Not Offered in Every State
Unlike other traditional loans, which can be obtained anywhere in the U.S., title loans are only offered in 20 states. The reason for this is due to state legislation. Most states have banned the use of title loans, but there are states that have not made any such laws.
The following states offer title loans:
- Georgia South Carolina
- Idaho South Dakota
- Illinois Tennessee
- Louisiana Texas
- Mississippi Utah
- New Hampshire
- New Mexico
- South Carolina
- South Dakota
With connections to lending companies all over the United States, MaxCash could help you get the loan you are looking for in no time. We have agents available 7 days a week with the ability to help connect you to the best possible lender in your area.
Interest Rates for Title Loans Vary Greatly
When getting a more traditional loan, it is often easier to estimate what your interest rate will be. Rates are based on your credit score, what a lending company decides, or sometimes both. However, interest rates are not so straight forward when it comes to a title loan.
Some states have put laws in place to cap the interest limit, while other states leave interest up to the discretion of the title loan lender.
If you are unsure if your state has a limit cap, ask your lending company to find out. But generally, caps ensure rates do not exceed 25% to 30%.
MaxCash provides free services, and because of this, we can make our customers experience the best it can be. MaxCash can match borrowers and lenders, guide clients through the entire loan process, and answer any financial questions. Our customer service is second to none.
But there is more to us than what we’ve discussed here. If you would like to know more about MaxCash, check out the About Us page on our website. Or if you prefer, you can always contact one of our knowledgeable agents at (833) 207-9052 or at email@example.com.