Never Miss Another Vacation Due to Lack of Finances | Car Title Loans

Never Miss Another Vacation Due to Lack of Finances

The average cost of a vacation is about $1100 per person. That doesn’t sound like very much at all, so what is stopping you from taking those vacations each year? There are many ways to put money away for a vacation little by little. You can take as little as $20 out of your paycheck each time you get paid and set it aside in a separate bank account or keep it hidden in your home somewhere. This is so much easier than having to pay off a vacation all at once.

Never Miss Another Vacation Due to Lack of Finances | Car Title Loans

There are also some vacation packages where you can make payments on your vacation, usually when you go through a travel agent. They can help you find a vacation within your budget and that feeds the criteria that you would like to partake in for your vacation. This is a great way to avoid paying a lump sum on your vacation.

Another great option that many may not know of is, qualifying for a car title loan. This option is pretty simple and not time-consuming like many other loans options. Fast Money Loan in California can assist you in the qualification process of getting approved for a title loan. You don’t need a co-signer or great credit, all you need is your vehicle title and they will handle the rest for you. Call 877-594-4025 and speak to a loan specialist to find out what steps you need to take to get the cash in your hand the same day!

Need Cash to Furnish Your New Home? | California Car Title Loans

Need Cash to Furnish Your New Home?

You’ve just moved into your new place, that you’ve been waiting on for such a long time. You saved up the money for moving cost, any storage needed and realized that the furniture you have, just isn’t enough to furnish the space the way you imagined. The last thing you want to do is put more money into the place after having to save up and put it all up for your new home. So, what options do you have left?

Need Cash to Furnish Your New Home? | California Car Title Loans

You can use one of those furniture rental places. This way you don’t have to put up hundreds of dollars for furniture on the spot and if you aren’t sure about the look you can always change it. When using furniture rental companies, you usually pay a small fee upfront and then a small monthly fee each month for each item you choose for your home. This is ideal for military families or others who are temporarily in a rental home and will be moving around frequently. They may also run a credit check .

so if your credit is not the best, you can get a co-signer to assist you in getting your rental furniture.

Another option for those who do not want to worry about their credit or bother with getting a co-signer is, obtaining a car title loan. Fast Money Loan, located in California, specializes in qualifying people with title loans who are in need of cash right away. Credit is not an issue. Just give us a call or visit one of our locations and we will walk you through the qualification process and get your cash in hand within 30 minutes of approval. Call 877-594-4025, we’re waiting for your call!

defaulting auto title loan

What happens when you default on a title loan

An auto title loan or a car title loan is one of the easiest and quickest options to get cash when you urgently need it. Processed in less than an hour with little paperwork, the title loan is often preferred as it doesn’t require a credit check or proof of secure income. It is the ideal solution for those who do not qualify for bank loans and can’t count on relatives and friends when they have to pay a bill as soon as possible.

defaulting auto title loan

Getting a car title loan is a straightforward process that can be completed online. All you need as a proof is your ID, a lien-free title of your car (or any other vehicle that you are using as collateral) and a spare set of keys. You get the approval and the cash advance in no more than an hour and you keep driving your car as long as you pay your installments on time.

There is, however, the possibility that for one reason or another you fall behind payments and you default on your auto title loan. So, what are the consequences of that and is it possible to avoid them?

Car repossession and repossession time line

The first unpleasant consequence that you are faced with when defaulting on your title loan is the loss of your car. You can expect forced repossession of your vehicle at a time that you least expect. The lender doesn’t need to notify you before they send someone to take your car unless it is otherwise stipulated in your contract. Therefore, make sure to include the notification if possible. Otherwise, the repossession agent may turn up and seize your car while you are at work, picking up the kids from school or directly from your home at any given time.

You should be aware that according to the Federal Trade Commission the rules governing the car repossession are formulated by each individual state, and thus you can expect different procedures in different states. In some cases, the lender can repossess the car even after one missed payment, while other states require at least several missed payments before this step is implemented. The details on defaulting your title loan will be given in the contract you sign with the lender. You need to read it carefully and ask any questions if you are unsure of something.

Here are a few facts that are valid for car repossession, regardless of your individual contract.

Once the borrower defaults on their car title loan, the lender CAN:

  • seize the vehicle at any time
  • come onto the borrower’s property to seize the vehicle
  • choose not to notify the borrower when the vehicle will be repossessed

There are also several restrictions when it comes to car repossession. The lender CANNOT:

  • Make threats against a borrower or their family
  • Use physical force against a borrower
  • Physically force another property or in other words they cannot open your garage by force to take the car out of there

What happens with the repossessed vehicle?

Once the lender repossesses the vehicle they have to put it to auction and sell it. The money acquired at the auction will be used to cover the borrower’s debt on the title loan. If the vehicle is sold for more money than the amount due, the lender is required to return the differences to the borrower. In addition to that, any personal belongings that were in the car at the time it was seized, should also be returned to the defaulted borrower.

Voluntary Repossession as an option

In some cases, the borrower realizes that repossession is inevitable and therefore they can opt for a voluntary repossession. This means that the borrower goes directly to the lender and agrees to drop off the car. The two parties can agree on a convenient date and place where this can happen. In exchange of the car, the defaulted borrower receives confirmation that all their debt is settled and they won’t be pursued any further. This can save you from some negative penalties and most important the repossession is not recorded in your credit history, while otherwise it stays there for up to fifteen years.

Credit score damage

Defaulting on a car title loan and the subsequent repossession will affect your credit score quite negatively. The default can appear in your credit history for up to fifteen years in some states. The missed payments will also decrease your credit score. A missed payment usually stays in your credit history for about two years.

How to avoid default on your car title loan?

The best way to avoid a default on a car title loan is to plan for your payments in advance. Usually such loans are taken for a shorter period, such as one month with an interest of 25%. So, if you have received $1,000 you will need to return $1,250 at the end of the month. You can also repay only the interest and prolong it for several more months.

Before taking any loan, make sure that your total debt repayment doesn’t exceed 50% of your monthly income. Take into consideration all forms of payments that you need to make – not only on the title loan but on credit cards, rent, etc.

If you are struggling with debt management, in general, you can consult a licensed credit counselor, who will give you tips and can even draw a special debt management plan.

There is also the possibility to approach your lender and renegotiate the terms of your payment plan. At the end of the day, car title loans are meant to help people who need urgent financing in order to get out of trouble and not to worsen their condition. It is an easy and quick way to get cash without much hassle or credit checks. Just be sure to make a solid plan for repaying the loan before you sign the contract.

Need cash fast? Fast Money Loan offers title loans in Long Beach and across California. We offer very fast approval rates and will beat our competitors’ interest.