Los Angeles Auto Collateral Loans

Borrowers with Bad Credit Benefit from Auto Collateral Loans

If you're in need of quick cash but have bad credit, you cannot typically get unsecured credit or loans because your credit history makes you a bad risk for lenders. Unfortunately, this usually occurs when you have demonstrated a pattern of not repaying debts on time.

An auto equity loan can help those with bad credit get a secured loan. For these transactions, you'll have to put up some form of collateral like a vehicle title, to protect the lender in case you default on your payments. If you fail to make payments according to the pre-determined repayment schedule, the collateral, in the form of your vehicle, will be repossessed in order to cover the debt.

Secured debt typically carries a lower interest rate than an unsecured loan. The lower interest rate, auto collateral loans are more appealing. Unsecured loans have extremely high interest rates because they are more risky for lenders.

When a clear auto title is offered to lenders as collateral for borrowers with bad credit, the risk is off set. To qualify for an auto equity loan, you must own the car used as collateral, and the car must be paid off or nearly paid off. Most lenders will only lend you up to a certain percentage (usually up to 50%) of the car's wholesale value, to protect them should the car lose value over the term of the agreement.

If you're looking for an auto equity loan in Los Angeles, you can contact Wilshire Consumer Credit. We are licensed to operate in Arizona, South Carolina, Los Angeles, Phoenix, and New Mexico, and offer borrowers flexible repayment options, competitive interest rates, quick approval and quick cash payouts.

We also offer 100% confidentiality and top-notch customer service. You could be driving away with your cash within 48 hours. Approval can be completed in just a few minutes online through the form here.

Apply for your auto collateral loan today!