Car Title Loans Calgary had to deal with a financial emergency, then you know that few things exert more pressure on your personal life than a sudden and unexpected expense. The fear usually comes from the uncertainty of how it’s going to get paid for, nowhere more so than when an expense pops up and there’s not enough cash flow to cover it. Those are the moments when our eyes start darting around for any kind of escape route or way out. But there aren’t many options in sight — at least not until you discover car title loans.
Some people need quick cash for unexpected expenses or are just in a jam and want to borrow some money without having to pay a high-interest rate. Car title loans Calgary are a great option for people who need quick cash. They’re fast to get, reliable, and won’t lead you into a cycle of debt. Car title loans are a fast and easy way for people with poor credit to get the cash they need. They’re also one of the few types of loans that can get approved in just minutes of filling out an application online.
What is a car title loan?
A car title loan is where the borrower pledges his/her car title as collateral for a cash loan. This collateral is what gives the lender assurance that he/she will get their money back when it’s due. A car title loan can be trusted because it’s based on the value of your car. It’s like paying off your debt using your own assets. This is also why they are called “title” loans–they are entirely based on the asset security in place over and above any personal debt you might have.
Such a loan is easy to understand because there’s no such thing as “delinquency” or “late fees” in a car title loan in Calgary. The only way you’re going to ruin your credit is by not paying your car title loan on time. If you’re in a tight spot, it’s always better to go late than default (that’s true of any loan).
Simply put, auto title loans are secured loans that you get from a lender. You can use your car title as the collateral against the loan for repayment. The lender gets to hold onto your car keys until they get their money back. It’s a pretty simple concept that gets even simpler when you realize there are no credit checks required to qualify for these kinds of loans. That means anyone can qualify for it, including people with bad or non-existent credit history.
Requirements For Car Title Loans Calgary
- A clear title of the vehicle.
- The proof of registration of the vehicle under the borrower’s own name.
- An all inclusive insurance policy, which is also collision deductible, under the borrower’s own name.
- A valid Canadian Driver’s License.
- Proof of permanent residency of the borrower.
- Details about the model and other specifications of the vehicle.
- Repayment times usually range from 3 months to 4 years, depending on how much money is borrowed and what interest rate the lender charges.
Car Title loans Calgary are very popular because they are short term and have fewer requirements. Many people can use these loans to cover emergencies or unplanned expenses without having to go through credit checks. All the applicant needs is a vehicle to make the title for their loan.
How Does It Work?
If you do not pay back your car title loan in full, your lender will generally take your car. There is no way to prevent this. The process starts when you provide your vehicle’s registration and proof of insurance to the lender, who examines them to make sure they are current before making you an offer.
Once you accept the offer and sign the contract, the lender takes your vehicle and uses its title as collateral for a loan. The company who holds the title of a vehicle has a lien on that vehicle and does not have to release it until the loan is paid off. Conventional auto financing companies usually offer very high interest. The loan is usually paid back in full by the end of the loan term, which is generally 5 years. Car title loans Calgary typically have much lower interest rates and payment periods that can last between 1 to 5 years.
For car title loans Calgary to be as convenient and accessible as they are, everyone needs to be involved. There are many lending institutions and Canadian Equity Loans is one of them. This lending institution has the power to receive the title and then loan out money. The loans are issued at industry competitive rates and on easy terms. This enables meeting emergency situations with ease and provision of financial support.