Title Loan – Some Sweet Talk and a Statutory Warning


Plenty of adjectives have been used to define the benefits of title loan. However, the critics have never spared a word to warn the borrowers about the negative side of this lending option. I just want to draw my readers’ attention to both positive and perilous sides of title funding (just once again).

Positive Aspects

The facts that title loan is processed faster and can be availed immediately are enough to explain why this option is so much favored by the borrowers in some serious cash troubles and immediate need. You just fill up an application form and the very next day the loan will be transferred to your account as mentioned in the form. The lenders are so quick in action that you need not to wait for more than a few hours in most of the cases.


Credit status matters nil for the title loan providers. The loan is sanctioned against your vehicle and the volume is determined in accordance with car equity value. The lenders make no queries about what you are going to do with this loan. So, the borrowers have freedom not to disclose the reason why they are taking out this loan. This liberal attitude is not expected in case of bank loan providers. The authority puts a longs list of questions including personal and professional details along with an authentic reason for the purpose of this loan use.

Negative Sides

The major negative side of title loan is its high expense. Just a few weeks are the gap from loan taking and paying it back. A good length of repayment schedule facilitates money collection and helps the borrowers meet the pay-off within scheduled deadline. Loan default gives rise to worst though not unexpected consequences like increase in interest and payable amount along with dipping credit point.

With every passing day, the payable figure gets fatter and thereby making it very hard to manage the payback. Loan roll over is an option to get some relief but that does not excuse you from repaying the big amount. In extreme cases, the mortgaged car (against which loan is secured) is repossessed by the lender as per the agreed upon contract.
Dealing with a trustworthy lender is of paramount importance because there are a good number of lenders who always resort to unethical lending practices.

Many reputed online hub of title lending can give you the right direction in this regard.


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