If you’re a homeowner, it’s only natural to need money from time to time for extra expenses directly related to the care and upkeep of that home.
Although you can’t use them as actual home loans, title loans can be a great way to get the money that you need for home-improvement projects of all kinds. When expenses pop up unexpectedly, these types of loans can be a great way to get the cash you need to make those repairs and update your home so that it can continue to increase in value.
Does this mean that you have to be a homeowner or have a certain credit score to qualify for a title loan?
Absolutely not, and this is one of the many reasons why people choose these loans to help them pay for the expenses they need when those expenses are related to the upkeep of their home. Indeed, below are just a few of the reasons why title loans are such good loans for homeowners.
They Are Fast
When you choose to get a title loan, you get your money quickly. This is partly because they don’t check your credit score, and there is usually very little paperwork involved.
In fact, usually, all you need is a straightforward application form and nothing else. Because of these things, people can generally get their money within 24 hours and sometimes in just a few hours. Even if you get your money in two to three business days, this is usually much quicker than traditional homeowners’ or personal loans.
Unlike traditional loans, loans based on the value of your vehicle have no restrictions when it comes to what you’ll be doing with the money you receive.
If you have miscellaneous expenses related to your homes, such as a few broken windows, a door that needs to be replaced, or a need for new appliances, you can use a title loan to get the money you need to do these things. Not having to explain what you’ll be doing with the money makes taking out a loan a whole lot easier.
You Can Enjoy Shorter Terms
Homeowners and other personal loans often have long repayment terms, but if you don’t want to spend the next 15 to 30 years paying back money that will be used for some quick household chores, car title loans are just right.
It may only take you a month to make the home repairs you need, so why not get a loan that you can go ahead and payback in a year or less and not have to worry about making payments for many years to come?
You Might Receive More Money
Just because vehicle loans are based on the value of your car doesn’t mean that you’ll only get a few hundred dollars and nothing more.
Because the loan is based on how much your car is worth and because vehicles can be worth quite a lot, you can get $10,000, $15,000, or even more once you fill out the application form. Indeed, you should go ahead and apply for the loan because you may be surprised by how much you get in the end.
Title Loans are Flexible
The companies that provide all types of title loans work hard to offer flexible terms and repayment options. If you do need some extra time paying back the loan, they can usually work with you to make sure that you get it.
After all, it does no one any good if you can’t pay back the money you received from the loan company; unlike many large banks, they can provide a little more flexibility to help you pay back the money.
Michael launched Your Money Geek to make personal finance fun. He has worked in personal finance for over 20 years, helping families reduce taxes, increase their income, and save for retirement. Michael is passionate about personal finance, side hustles, and all things geeky.