Auto Title Loans Review 2020 – Read This Before Applying

When you are going through a rough patch and cannot get a loan from regular lending institutions, you should consider Auto Title Loans. This is a company that will provide you with a loan and use your car as collateral. The loans come with a low-interest rate and have a higher rate of approval.

But before you dive in head first, you should have a full picture of what you expect. As you already know, there are many loan companies in the US and though taking a loan can get you out of problems today, you need to ensure it will not land you in even more trouble later on.

To help you make the right decision, below is a comprehensive guide on Auto Title Loans.

What is Auto Title Loans?

Auto Title Loans is a lending company focused on offering individuals short term loans. But it’s not like regular lending companies, in the background, there is a network of lenders that it connects to, so you can think of Auto Title Loan as a loan connection service.

The initial application process takes a couple of minutes. However, once your application is submitted, and you are matched with a lender, you give your car title as collateral for a loan between $500 and $10,000.

It’s important to note that when you get the loan, you’ll not deal with Auto Title Loans but the specific lender you have been matched with. As such, the rules and regulations that apply are those stipulated by the lender.

Also, even though no loan is guaranteed on the platform, Auto Title Loans accepts applications from individuals with bad credit as well. Since you have a car title as collateral, the interest is bound to be lower in comparison to other bad credit loans.

Pros and cons of Auto Title Loans?

How does Auto Title Loans Work?

Auto Title Loans is a connection service. This means that they do not offer loans. Instead, they connect you to a network of lenders in the industry with the service. Essentially, with a single application, you are applying to multiple lenders.

As the name suggests, Auto Title Loans allows you to get short term loans with your car title as the collateral. Once you submit your application, they first check if it meets their eligibility criteria and then broadcast it to their network of lenders.

After several minutes, you get a match to a lender who then checks if you meet their criteria for the loan. The lender seeks to verify your affordability of the loan, which includes verifying the value of the car. How does a lender determine the value of the car? Simple, they request that you take your car to an authorized inspection center in the U.S.

Now, lenders in Auto Title Loans try to make the process convenient and flawless by partnering with local garages in the U.S. with these partnerships; there might be a location several minutes away from your residence. The inspection doesn’t take a lot of time. At this point, if you have any questions about the loan, you should contact the lender directly and not Auto Title Loans.

What Loan Products Does Auto Title Loans Offer?

Auto Title Loans doesn’t provide any loan facilities. By now, it should be clear that its role in the industry is to connect lenders to borrowers.

With that said, what kind of lenders does the company connect you to? The company connects you to lenders who offer secured loans. The secured loans are linked to car titles. You can get a lot more money through this service than with payday loans.

The lender doesn’t dictate what you use the money on. All they care about is that you repay within the agreed time.

What Other Store Services Does Auto Title Loans Offer?

Apart from connecting you to reputable lenders in the industry, Auto Title Loans doesn’t offer other services.

Auto Title Loans Account Creation and Borrowing Process

Remember, the goal here is to connect you to a loan provider. As such, Auto Title Loans don’t have a lot of requirements. They have a comprehensive form that captures information that is most relevant for lenders to have a feel of the kind of individual they will be working with.

The form is available on a single page of the website. It has different sections including;

Eligibility Criteria for Auto Title Loans

Before you proceed to apply for a secured loan, you should check to ensure you meet the requirements as listed below;

In addition to this, different lenders have different requirements. For instance, some require you to have a bank in the U.S. if they accept your loan, they will deposit the money in the account you provide.

Information Borrowers Need to Provide to Get Auto Title Loans

To get a loan, you need to provide your;

What States Accept Auto Title Loans?

The US has strict rules governing short term loans – and with good reason. The rules help to safeguard the interest of customers. No one wants to feel harassed after taking a loan. And on the flip side, lenders don’t want to be duped.

With the strict laws in this industry, not all states enjoy the services Auto Title Loans has to offer. The states they service include;

If you do not live in any of these states, you should search for Auto Title Loan lenders that operate in your state.

What are Auto Title Loans Loan Borrowing Costs?

The cost of the loan depends on the lender you get. But generally, the interest rates can be between 17% and 30% APR (fixed) for a loan between $500 and $5,000. The rates also apply to individuals with a credit score rating of between 300 and 700.

Auto Title Loans does not charge a fee for the application. So how do they make money? Well, they earn a commission from the lender. If any lateness fees apply, these are imposed by the lender and not Auto Title Loans.

Auto Title Loans Customer Support

You can reach customer support through the contact form on the website or call them on 844-293-134.

Is It Safe to Borrow from Auto Title Loans?

Yes, the platform is safe. Auto Title Loans use 256-bit encryption to ensure your personal information is safe. When you enter data on the questionnaire, you should rest assured that it is in safe hands. In addition to the 256-bit encryption, the platform uses SSL to safeguard data. And last but not least, the team of experts over at Auto Title Loans are trained to handle information online.

Auto Title Loans Review Verdict

Auto Title Loans come in handy when you are stuck and require money more than what regular payday loans can afford. However, you should know you run the risk of losing your vehicle to repossession in case you default on the loan. Though Auto title Loans connect you to reputable lenders, you still have to do your due diligence.

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