Can I Get Loans Using My Vehicle As Collateral?
If you’re dealing with emergency expenses or struggling to pay down high-interest debt, you might be asking yourself: “Where can I get a loan using my car as collateral?”
The answer is simple: a car title loan. Title loans allow you to use your vehicle’s lien-free title as collateral to secure fast cash, even if your credit isn’t perfect. With Tennessee Title Loans, Inc., you can borrow up to $2,500 and get your money as soon as the same day.
This guide will explain how title loans work, when to consider them, and what you need to qualify.
What Is a Secured Loan with a Car Title?
Title loans are a type of secured credit loan using a vehicle as collateral. If you need to access personal loans for financial assistance but can’t find a good rate or get qualified for various reasons, then short-term loans (like a title loan) might be the way to go. As a rule of thumb, you should only rely on vehicle title loans if you’ve exhausted other unsecured financial options.
Secured loans require collateral or something of value that you own that can be used to repossess if you fail to repay the loan. As such, secured loans are more forgiving when it comes to credit and borrowing history, although we can not promise ‘no credit checks.’ When determining approval, a title loan company may still turn you down based on credit.
Putting up collateral tilts the loan risk factor of the loan towards you, so lenders tend to be more forgiving and offer lower rates. To use your car as collateral to apply for an express auto title loan, it must be paid in full. This is because the lenders providing you with the loan will put a lien against the value of the car, only to be removed once your loan is repaid in full. If you already have a lien on the vehicle, the lender cannot place another lien to secure the title loan.
When Should You Use Your Car Title for a Loan?
Using your car as collateral is an option, albeit one that you should think about carefully, that can help you pay for emergency repairs, expenses, or bills.
Vehicle title loans often offer loans of up to $15,000, but the amount will vary based on your vehicle. This is determined by checking your car’s make, model, age, and repair history, among other things. You might consider a title loan if your credit is poor or nonexistent, or if you’re having trouble getting a personal loan.
Secured loans using a vehicle as collateral come with a small degree of risk, so be sure to select an active plan to help you stick to the repayment schedule the lenders have set up for you.
How Do Title Loans Work?
Getting a title loan in Tennessee is fast and straightforward. Here’s how it works with Tennessee Title Loans, Inc.:
- Fill out the online form – Submit your basic information.
- Get a call from a representative – Schedule a meeting to review your documents.
- Bring your car & documents – You’ll need:
- Driver’s license or valid ID
- Lien-free title in your name
- Your vehicle for inspection
- Vehicle inspection & approval – The lender checks your car’s value to determine your loan amount.
- Sign & get cash – If approved, you’ll sign your loan agreement and receive your funds the same day or next business day.
And yes, you keep your car while repaying the loan.
Benefits of Getting a Title Loan in Tennessee
- Fast approval: Often same-day cash.
- All credit types welcome: Good credit, bad credit, or no credit.
- Keep driving your car: Your vehicle stays with you.
- Borrow up to $2,500: Based on your vehicle’s value.
Where Can I Get a Loan Using My Car as Collateral?
If you’re searching for title loans near you, Tennessee Title Loans, Inc. has convenient locations across the state to help you get started quickly.
You can apply online and then finalize your loan in person at one of our stores. Visit a branch near you and speak with a representative about securing a loan using your car as collateral.
Find a Tennessee Title Loans, Inc. location near you.
Can I get a title loan with bad credit?
Yes. Since a title loan is a secured loan with your car title, approval doesn’t depend solely on your credit score.
Do I keep my car during the loan?
Yes. You keep driving your car while making your payments.
How fast can I get the money?
You could receive your funds as soon as the same day or the next business day.
Get Started On Your Emergency Title Loan Today!
If you need cash fast and your only option is to secure the amount you borrow with collateral loans, consider getting a title loan from Tennessee Title Loans, Inc. With our help, you can use your vehicle as collateral to get a loan even if with poor credit. We welcome all credit types to apply for emergency cash title loans.
Fill out our online inquiry form and find out if your vehicle qualifies for a collateral loan today! Our loan representatives are waiting to receive your request.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.