Have you ever wondered how a line of credit works and why Tennessee Title Loans, Inc. offers these to customers? When used correctly, a line of credit can be handy, allowing you to get better control over your finances and borrow money when needed without needing to go through the process repeatedly.

People use lines of credit for many situations, so let’s learn how they work and why they might help you. It’s worth noting that these are also known as flex loans because they offer more flexibility than most kinds of borrowing.

What Are The Basics Of A Line Of Credit?

Flex loans or lines of credit can be real lifesavers when you need quick cash but don't have the credit history to qualify for a traditional loan. These financial options are designed to offer flexibility and convenience for borrowers in various situations. They come in handy for covering unexpected expenses like medical bills, urgent home or vehicle repairs, educational costs, unplanned travel needs, business expenses, or even consolidating debts.

What's great about flex loans is that they offer a quick approval process, flexible loan terms, and the ability to access funds whenever you need them. Below are some of the basic advantages of getting a line of credit with Tennessee Title Loans, Inc.

1. You Can Borrow Emergency Money Repeatedly

The value of a line of credit is that it provides you with an emergency “pot” of money that you can borrow from repeatedly. You can take as much or as little as you like from this set amount, and you can repay it and then borrow again, provided you keep your account in good standing.

That means if you need additional money this month because you’ve had a car repair bill due, you can withdraw more and pay it back next month when there’s no bill. You can do that if you borrow a smaller amount to cover a travel expense.

There’s no limit to how many times you can withdraw the money, and the amounts are flexible, making this a very convenient kind of borrowing. It’s vastly preferable to a bank loan, where you get a fixed sum of money that you have to pay back, and then, if you need more, you need to restart the process all over again.

2. Your Limit Might Be As High As $4000

The money limits depend on your circumstances, but you may be able to borrow as much as $4,000 with one of our lines of credit. That’s a good pool of money to dip into when needed.

Our flex loans are based on you using your lien-free vehicle title as collateral, so the limit set on your account will depend on the value of your vehicle. To be eligible for this kind of loan, you must have a vehicle registered in your name and free from any liens.

You’ll need to have your vehicle inspected by one of our qualified agents, and you’ll also need to demonstrate some proof of income. When you bring your vehicle to be examined, ensure you also get your state-issued identification, your latest pay stub, and the title for your vehicle.

3. You Don’t Need Great Credit

We don’t require customers to have excellent credit to go after a flex loan with us, and we work with clients in many different circumstances. Because flex loans are based on the value of your vehicle rather than your credit score, it’s perfectly possible to get this kind of loan even if you have a poor history of borrowing.

Can You Keep Borrowing?

The point of a flex loan is that you can repeatedly repay and re-borrow money from the credit without having to start the process over every time. You can continually do this as long as you don’t exceed your credit limit.

People often use lines of credit when they aren’t sure how much money they’ll need because they’re only paying for the amount they use, rather than taking out a large loan and finding most of it is superfluous.

For example, if you’re doing home repairs, you may want a flex loan to draw money according to the costs rather than trying to guess how much you’ll need in advance.

It is essential to be aware of your loan terms and to stick to them to keep your account in good standing. If you have any questions about borrowing, repaying, or flex loans in general, you can always call and chat with an agent.

Get Started With A Line Of Credit Today

If you want to get a line of credit, Tennessee Title Loans, Inc. may be able to offer you one, depending on your financial circumstances. Flex loans can be advantageous in some situations, and if you’ve got poor credit but need to borrow money repeatedly without knowing the exact amounts, they might be suitable for you.

To learn more about this kind of borrowing or to see if you’re eligible, contact us today. You can do this using the online form we have set up especially for this purpose or by calling us. Our agents can assist with anything you need, so don’t hesitate to contact us.

 

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