How Much Can You Borrow?
Auto title loans allow consumers to borrow money based on the value of their vehicle. The amount you can borrow will depend on the value of your vehicle. This is assessed based on its wholesale price, and the lender then determines how much of that value they are willing to lend in cash.
This is typically around 50% of the value of the vehicle, but it can vary. This is because the lender has to ensure that they cover the cost of the loan, should they have to repossess and sell off the vehicle.
When you apply for an auto title loan, you'll have to provide evidence that you hold the title of your vehicle. It is important that your vehicle has a clear title and that your car loan is paid off or nearly paid off. The loan is secured by the auto title or pink slip, and the vehicle can be repossessed if you default on the loan.
While the lender may also require proof of income and/or conduct a credit check, bad credit is typically not a deal breaker. Auto title loans are typically considered subprime because they cater primarily to people with bad credit and/or low income, and they usually charge higher interest rates than other credit organizations.
Different states have varying laws about how lenders can structure their auto title loans. In California, the law imposes interest rate caps on small loans up to $2,500. It's possible to borrow money in excess of $2,500, however, if the collateral vehicle has sufficient value. In such situations, lenders will typically charge higher interest rates.
Wilshire Consumer Credit provides higher-limit auto title loans for consumers who need immediate cash, regardless of their credit rating. Flexible term options are available, so you can choose when and how you make payments.
An auto title loan is a good option when you need cash urgently and don't mind offering your car as collateral. You can apply online or by phone, and approval can come in a few minutes.
Apply online now and drive away with your cash in as little as 48 hours!