Off late car title loans have attracted considerable adverse publicity and heated debate and much of the criticism appears to be built on the foundations of common misconceptions and sheer innuendo and the facts are often way off the mark. Here we discuss prominent issues regarding title loans and why these loans are being targeted unjustifiably.
Fact: Pawnbroker loans and payday loans are more injurious to ones finances
Pawnbrokers take immediate physical possession of your articles, your car or some personal possession that remains with them till you close their loan, and any default means they get to retain and sell your collateral. The payday lender will not extend finance till he secures your pre signed post dated checks for the dues that get inflated by exorbitant interest rates. Defaulting on payment leaves the borrower exposed to unsavory loan recovery tactics and the threat of expensive legal action.
The title loan scenario: In a pawn car title loan your car never leaves your possession and you get to operate the car and keep the keys till the loan is fully repaid. Barring your car, your home, personal possessions and income remain untouched in the event of a default. So there are no legal hassles and there is more safety in availing such loans.
Fact: Banks tie down borrowers to bigger loan amounts and longer repayment schedules thereby prolonging debt
It is a common misconception that Banks charge lower rates of interest when in fact Banks end up recovering a huge amount of interest by tying down borrowers to unrealistically long repayment periods exceeding ten years or more.
The title loan scenario: In cash loans for title the amounts disbursed are smaller and much easier to repay through flexible repayment programs that can be shortened to pay back the loan easily. As the loan duration is lower the borrower ends up paying lower amount of interest.
Fact: Banks are in no way superior to car title loans when it comes to protecting the interest of the consumer
People gravitate to banks thinking that they are getting the best value for the services that are delivered, but the facts may reveal that just the opposite is true.
The title loan scenario:
Car equity loans process loan requests faster as there are fewer formalities and lesser paperwork. Most applicants enter their requests online and get a title lender to look over their car at the nearest retail outlet. In all probability you get the loan under fifteen minutes without any hassles.
A Bank will collect exorbitant loan processing fees and levy a penalty if you prepay their loan. In cash title loans you can prepay loans at any time without paying penal interest or additional fees as the lender is only particular about prompt payments.
If your FICO rating is below 750 the chances are more that a bank will turn down your loan request. Auto collateral loans are yours regardless of the quality of your individual credit rating or credit score.
This is consumer protection at its best. Compared to Banks title loans provide more lenient repayment terms. In fact in most cases the borrower is given the option to decide his repayment schedule and whether to pay off the loan in a shorter period without extracting penalties.
The most reliable loan service at your front door
In any cash emergency you will need money, and require a loan that can be disbursed quickly. You need not look beyond the company that has an awesome reputation for offering the quickest car title loans in the business – Qik Title Loans San Diego. The company ensures you get your cash in less than 15 minutes regardless of whether you enjoy a good rating or you carry the burden of bad credit history.
Title Loans Express has carved an unassailable reputation for itself by offering the most competitive and affordable rates that you can get in the short term lending market. The lower rates are matched by easier repayment schedules that borrowers will find convenient to adhere to.
If you want to unlock the equity lying dormant in your car, truck, boat, or motorcycle, simply login to Qik Title Loans San Diego for 24/7 lightening fast services without the hassles, and minus the red tape.