Title loans are a unique financial instrument that can help a household through a short-term financial emergency. Embassy Loans of Florida, for example, offers a loan against the value of one’s vehicle. If a person has a vehicle with a clear title, he or she can obtain a title loan. This is different from the traditional loan offered by a bank or credit union. In the case of a car title loan, the car is offered as collateral.
A traditional loan requires credit checks, employment verifications, and even background checks in order to ensure that a borrower has the means with which to repay the loan. The result is a timely process with stacks of paperwork. Car title loans require much less paperwork and can be processed within an hour.
A vehicle title loan can be obtained online. At Embassy Loans, a borrower can go online and fill out the company’s application. The process is simple and the staff at the company is always available to help. Once the application is filled, Embassy Loans does require that a borrower prove his or her identity and residency. The borrower will visit one of the company’s many convenient locations and bring a photo ID, a utility bill (to prove residency), and the title to the vehicle.
Embassy Loans will make sure that the title being held is indeed the title to the vehicle being presented as collateral. The company will then assess the value of the vehicle and then complete the loan process. A borrower can have access to the emergency funds within a few hours. On many occasions, an auto title loan can be started and finished the same day.
Online title loans, while not as common as conventional loans, have been rising in popularity in the last decade primarily due to the changes in our economy. More and more consumers are struggling with poor credit histories and, as a result, are unable to use traditional borrowing mechanisms. Anyone with a vehicle with a clear title can qualify for a title loan, regardless of credit history.