Our Top 3 Factors for Securing Your Title Loan

By April 30, 2018Title Loans

Many title loan customers think that because title loans get processed fast, there isn’t much to the lending process.

That might be true for other lending services, but at California Auto Finance, we take our financial obligations a little more seriously. Take a look at the three top factors we consider when writing a title loan.

Our Top 3 Factors for Securing Your Title Loan

1) Value of Collateral

Receiving a title loan includes temporarily surrendering your vehicle’s title to the lender. The lender places a lien on your car title in exchange for the loan amount, but you get to keep your vehicle while the loan is active.

Since the value of the loan is based on the value of the collateral provided (in this case, a vehicle) the first consideration in establishing the loan amount is establishing the amount the vehicle is worth. The step also considers any other liens or debts related to the vehicle.

2) Borrower Income

We take each borrower’s income into account before proceeding with a title loan. We want to help our customers by providing the money they need now while making sure they’ll be able to pay it back later.

Also, as members of your community, we don’t want our customers to suffer because the timeline of the loan was too short. That’s why California Auto Finance provides longer loan terms than our competitors — up to 24 or 36 months, depending on your needs — so you can make monthly payments that fit your budget.

3) Credit History

We consider every borrower’s credit history before writing the loan.

For customers with good credit, this can provide an additional benefit, because your good credit could qualify you for a higher loan amount than the value of the collateral alone. For first-time buyers or those without a credit history, don’t worry — your collateral takes the place of a credit history, and the loan can still be completed.

Just because you need a title loan right away doesn’t mean you should do business with a shady lender. Give California Auto Finance a call at (800) 690-6948 or click here to contact us  — we’re ready to help you.