What Happens if I Have Trouble Paying Title Loan?

August 1, 2019

A title loan is a popular loan that many people look to when they need funding because it makes the lending process simple and offers flexibility for borrowers. If you have decided to acquire financial support through a title loan, but are having trouble paying, you may be wondering what happens next.

Here is some information on what to do when having trouble paying back your title loan.

Figure Out Exactly Why Are Having Trouble Paying Your Title Loan

Before trying to do something, it is crucial that you figure out exactly why are having trouble paying back your title loan.

Generally, there are three major reasons why most title loan borrowers experience trouble paying their loan:

The Terms of the Title Loan

In some cases, once a person has taken out a loan that they thought they could afford, they may later find out that it doesn’t fit their budget like they thought.

Their Own Financial Habits

In some cases, a borrower may find that their own financial habits are responsible for the trouble they are having when paying back their loan. This problem can stem from forgetting about due dates to not being able to stick to a budget.

An Unexpected Expense/Situation

In some cases, an unexpected situation or expense can cause trouble when repaying a title loan. This type of situation can be anything like losing a job to acquiring costly medical expenses.

What Can I Do If I Am Having Trouble Paying Back the Title Loan?

Once you have figured out exactly why you are having trouble paying your title loan, you can then figure out what steps to take.

Here are the most common actions people take when they are having trouble paying their title loan:

  • Talk to Your Title Loan Lender—When having trouble paying back any loan, it is extremely important to keep your lender updated on your situation, no matter what the cause. This is especially true for a title loan, which involves your car. The great thing is that many lenders may be willing to work with borrowers to adjust the repayment terms.
  • Consider Refinancing Your Title Loan—If the reason that you are having trouble paying the title loan is because the monthly payments are simply too high, then consider refinancing the existing title loan. The new loan can be a title loan or any other type of loan.
  • Consider Talking to a Professional— If you are having trouble paying back your loan because of your own financial habits, you may want to look into a financial advisor. They can help a person organize, manage, and optimize their finances.
  • Consider Making a Late Payment—If you miss one payment, or several, because you simply forgot, then you may want to consider just paying the late fees. However, it is important to keep in mind that missing payments will impact your credit, and so it is important to ensure paying late does not become a pattern.

How to Prevent Trouble with a Title Loan in the Future?

There are many things you can do to avoid trouble with your monthly title loan payments in the future.

Here are a few simple things to look into:

  • Budgeting—This is an easy way to prevent trouble in the first place. Budgeting involves tracking expenses and income to effectively allocate money for specific monthly expenses–in this case, the title loan payment.
  • Know the Ins and Outs of the Loan—Before signing up for any kind of title loan, it is important to know what repayment will look like and what the consequences are for late or missed payments. By knowing the ins and outs, you can be sure whether or not the loan will be affordable.
  • Work with a Flexible Title Loan Lender—Even before taking out the loan, it is important to find a flexible and compassionate lender. At Max Cash, we work with all kinds of lenders and loan types. If you are thinking about refinancing your title loan or are thinking of acquiring a title loan for the first time, start with Max Cash!

If you are having trouble paying back your title loan, don’t panic! There are several steps that you may be able to take so the loan does not default! The most important thing a person can do is keep their lender updated on their finances. And to avoid trouble with any future loans, there are a few financial habits you can get into!

DISCLAIMER:
The MaxCash website does not offer or provide loans, but rather, it offers a service. It should not be construed as a lending agent or broker. The site does not endorse any lenders and does not charge visitors any fees. The website owners do not evaluate potential lenders’ applications, nor do they approve or deny credit. The MaxCash website does gather applicants’ personal information and transmits it to lenders that are part of the site’s lending network. No one is required to make use of this website, nor are they under any obligation to begin contact with site operators or to attempt to secure a loan with any of the site’s lending partners. Transmission of your financial and personal information on the website in no way obligates lenders to offer you a loan or any other kind of credit product. Be aware that cash transfer times can vary, depending on the lender and the bank you use. It may be necessary to fax information under certain circumstances. All questions about loans, and any concerns you may have should be directed to your lender. These loans are intended as short-term financial solution to satisfy borrowers’ needs for immediate monetary relief. This is not intended to be part of a long-term financial plan for individuals. These services are not offered in all states. Potential borrows may undergo credit check if lenders choose to use any of the major credit reporting bureaus, including Equifax, Trans Union and Experian. They may also use other alternative sources to check credit ratings. Your request for a loan constitutes your agreement and acknowledgement that (A) your personal data may be shared with lenders and perhaps other third-party partners, and (B) lenders can acquire credit bureau reports that detail your credit history. Reports from major credit bureaus, such as Equifax, Experian and TransUnion may be obtained and used to evaluate your reliability as a borrower.

1Loan amounts by the lenders vary based on qualifications.

2Since we do not lend money directly we cannot offer you a solicitation for a loan. In all serviced states we WILL match you with a lender based on the information you provide on this website. We will not charge you for this service and our service is not available in all states. States that are serviced by this Web Site may change from time to time and without notice. Personal Unsecured Loans are not available in all states and all areas.

3Loans such as, Auto Title Loan companies typically do not have pre-payment penalties, but we cannot guarantee that every lender meets this standard. Small Business Loans typically do have pre-payment penalties and occasionally will use your car as collateral to secure the loan. Other types of loans may have pre-payment penalties as well.

4All lenders are responsible for their own interest rates and payment terms. Max Cash has no control over these rates or payments. Use of the work competitive or reasonable does not mean affordable and borrowers should use their own discretion when working directly with the lender.

5The amount of people who applied for a loan and we helped and those who received a loan is not the same. We cannot guarantee we will find a lender who will fund you. Just because you give us information on this web site, in no way do we guarantee you will be approved for a car title loan or any other type of loan. Not all lenders can provide loan amounts you may see on this web site because loan amounts are limited by state law and/or the lender. Some lenders may require you to use a GPS locator device on your car, active all the time, in the circumstance for an auto title loan. They may or may not pay for this or charge you for this. This is up to the lender and we have no control over this policy of the lender. Typically, larger loans or higher risk loans use a GPS.

In some circumstances faxing may be required. Use of your cell phone to receive updates is optional. Please review our privacy policy.

Loans such as Car Title Loans are expensive and you may have other ways to get funding that is less expensive. These types of loans are meant to provide you with short term financing to solve immediate cash needs and should not be considered a long-term solution. Residents of some states may not be eligible for a loan. Rejections for loans are not disclosed to our firm and you may want to contact the lender directly.

Signature and personal loans are only available in Georgia and Florida. Loan amounts differ at locations. Account approval requires satisfaction of all loan eligibility requirements, including a credit inquiry, and, if applicable, motor vehicle appraisal.

Car Title Loan lenders are usually licensed by the State in which you reside. You should consult directly with these regulatory agencies to make sure your lender is licensed and in compliance. These agencies are there to protect you and we advise making sure any lender you receive money from is fully licensed.

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