Title Loans vs. Payday Loans: How Are They Different?
Have you been hit by a sudden emergency and need cash fast to get control of the debt? If so, you might want to consider title loans or payday loans as your fast cash loan option. Both are similar in that they offer fast application and approval, making them appealing to potential borrowers, who are looking for ease and speed at which they can be acquired, but there are also pretty big differences that you should know about before deciding which type of loan suits you better.
In this article, we will go over title loans vs payday loans for bad credit and the title loan approval process vs payday loan, so take the time to understand how each lending option works and how they can work for you.
What You Should Know About Title Loans Versus Payday Loans
For starters, title loans are among some of the easiest personal loans to acquire for several reasons. Title loans are a short-term secured loan type that allows you to leverage the value of your title to secure your loan money. They’re among the easiest to apply for because they’re fast! The application and approval process typically takes about 30 minutes from start to finish. During this time, you will complete and submit your application, have your car inspected, and find out how much money you’ll receive with a car title loan. Secured title loan lenders typically offer more money than payday loans.
You only need to supply a few basic required items for a cash advance, which include:
- Your driver’s license
- The title to your vehicle
- Your vehicle for inspection
Because title loans are a secured loan type with your vehicle acting as collateral, we’re able to overlook your credit score when determining your eligibility for a title loan. This allows title lenders to welcome all types of income and all credit scores: good, bad, and nonexistent.
These days the process of taking out title loans is so well organized that you don’t even need to go to the loan store. You can go on the website to begin the process of taking out a loan online while sitting at your desk. You will have to meet with a representative to have your vehicle inspected, which determines how much money you’ll receive, but don’t worry, a loan representative can come to you, at a location and time of your choosing.
Can I Keep My Car With A Title Loan?
There’s a common misconception when taking out a title loan that you will be required to give your car to the lender until the loan is fully paid off, but this couldn’t be further from the truth. So, if you are wondering “Can I keep my car with a title loan?”, the answer is yes! You get to keep and operate your car as you normally would while making payments.
What You Should Know About Payday Loans
Like title loans, payday loans are at the top of the list for their speed and ease. Another similarity payday loans share with auto title loans is that credit score doesn’t play a role in loan acquisition. While we may conduct a credit check, you can often get these quick loans without credit checks. All forms of credit are welcome when applying for a payday loan. No credit or bad credit usually accepted and can still qualify.
The one major difference with these loan options though, is that, unlike title loans, payday loans are an unsecured type of loan, which doesn’t call for a guarantor or collateral. This is an advantage in some cases: first of all, you don’t need to risk your car as collateral, second of all – if you don’t have a vehicle or if your vehicle isn’t in good condition, you won’t be able to take out a title loan. But you will be able to take out a payday loan as long as you have a steady income.
How Do I Take Out A Payday Loan?
Applying for payday loans with Carolina Payday Loans, Inc. is easy, thanks to our fast and streamlined process that begins with you filling out the short form on our homepage and submitting it. Upon submitting it, a representative will contact you to review your information and explain what will happen next to secure a dollar amount of up to $550 in same-day cash. Keep in mind, that payday loans are usually for borrowers who need smaller amounts.
During your application, you’ll be asked to provide a few pieces of information that will help determine how much you’ll receive for your payday loan. This information includes:
- Your driver’s license
- Your most recent paystub
- A blank check from your active checking account
Once this information has been reviewed, you’ll find out whether or not you’ve been approved for this personal loan and how much you have been approved for! It’s painless and straightforward, unlike traditional banks which can take anywhere from a few days to a week to decide whether or not you’re even eligible for a loan. If you are wondering how the title loan approval process vs payday loan compares, both loans offer a quick approval process so you can receive the money you need the same day you need it!
Get Your Cash Advance Today With A Payday Loan From Carolina Payday Loans, Inc.!
Now that you know the difference between title loans versus payday loans for bad credit, you can make an informed decision about car title loans or payday loans and what loan will work best for you. At Carolina Payday Loans, Inc. we understand that the need for emergency money can be stressful and frightening which is why we’ve implemented a policy helps the consumer navigate an easy and stress-free process, from start to finish.
Our loan services are here to help you every step of the way when you set out to secure your payday loan in North Augusta, SC, and we are available to support you when you need it most so, start your loan inquiry online now and fast-track your financial relief today.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.