Can You Keep Your Car If You Get A Loan Using Your Car Title?

Car title loans are a type of secured loan which use the title of a person’s vehicle as collateral. These have a lot of appeal for people in need of emergency funds, but people often don’t know whether they get to keep their car if they use a loan, which can be a dealbreaker for some people. Can you keep your car if you get a loan using your car title?

Can You Keep Your Car During A Title Loan?

As long as you get your loan from a trusted lender, you can get a title loan and still keep your car. Make sure that you always read the terms and conditions of your agreement to make sure you’re able to use the car during your repayment period.

In the vast majority of cases, you can get a loan using your car title and keep your car, as long as you keep to the repayment schedule laid out in the terms of your loan. The rest of this article will explain why you can get a title loan and still keep your car.

So How Are Car Title Loans Used?

In exchange for the promise of collateral on your car title, lenders will often allow more favorable terms and repayment conditions on the loan, especially if you have good credit.

A loan using your car title typically follows a fairly straightforward application, approval, and repayment process. You will meet with a representative to determine your eligibility and make sure you have all of the right information that you need.

If so, the representative will have a look at your vehicle to determine its value. Based on their assessment, you’ll potentially be approved for a certain amount depending on the value of your car.

It’s important to keep in mind that your lender won’t be willing to work with you if your car already has a lien or judgment against it. If so, you’ll need to have those debts cleared before you take out a car title loan. At this point, if you have any questions or concerns, make sure that you clear those up with your representative.

Once you’re approved, your representative will go over the terms of the loan with you and help you understand the repayment process.

Who Gets The Car During A Title Loan?

The biggest concern that people have when getting a car title loan is the myth that the lender will hold onto your car during the title loan.

This rumor likely stems from the way title loans used to work. In the past, the lender would hold onto the car itself during the repayment period, but most lenders nowadays will let you continue to drive the car while you repay the loan.

All you need to do to get a title loan is let the lender hold onto the title during the repayment period. Of course, this is only collateral, so you’ll get it back after you’ve paid off the loan.

As such, a loan using your car title is an option if you need emergency cash since you can still use your car as a primary means of transportation.

When A Title Loan Is Right For You

One important misconception that’s worth clearing up about title loans is that they can be used for frivolous purchases. It’s not wise to use a title loan for big wants; instead, you should only rely on them when you have a major medical expense, necessary home repair, or important travel expenses.

If you have something you’d like to buy, consider budgeting or borrowing from your family rather than using a title loan.

How Missouri Title Loans, Inc. Can Help You

When it comes to title loans, you want to go with a name that you can trust. Missouri Title Loans, Inc. offers loans up to $15,000, and the application process is simple and straightforward.

Once you’ve met with a representative to take a look at your car, you’ll be told whether you’re approved. If so, you’ll exchange the car title for the money that you can get the same day or the next business day.

You will, of course, get the title back once you repay the loan. Keep in mind that you are still more than welcome to apply whether you have good credit or bad, and Missouri Title Loans, Inc. is ready and willing to communicate with you about your options.

Submit An Application Today!

If you’re struggling to pay off major expenses, then it might be time to get a loan using your car title. The process is simple, straightforward, and most applicants are done filling out their paperwork within 30 minutes. For those who are experiencing a medical emergency or needing important home repairs, a car title loan with Missouri Title Loans, Inc. might be just the resource to get you back on the right track!

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.