We often find ourselves in situations where we need cash urgently. Unforeseen events can force us to use our savings or look for a short-term loan. One of the most popular forms of short-term loans in Garfield Heights, Ohio is a title loan. A title loan lender requires an asset as collateral. The lender does not consider the credit rating of the borrower when determining the level of qualification. The approval process is quick, especially for amounts less than $500.
There are a wide variety of title loans. However, the most common type of a title loan is a car title loan. In a car title loan, the borrower must produce the title of a vehicle as collateral. The lender then gives the borrower a loan that does not exceed 25 percent of the total value of the car. The borrower can repay the loan after a few days provided the period does not exceed one month.
However, the borrower and the lender may extend the period after an agreement between them. In case the borrower fails to repay the loan as agreed, the lender has the right to repossess the vehicle used as collateral. Vehicles that are used as collateral may include cars, trucks or motorcycles.
How to apply for title loans Garfield Heights
You can walk to the office of a dealer and fill an application form or use the online platforms to apply for title loans Garfield Heights. If you decide to apply online, make sure you input crucial details of the vehicle such as the registration number, mileage and the year of manufacture.
You should also fill in your details, including your phone number, home address and the zip code. Upon completion, you will receive an estimate of the title loan. The lending company will then send a representative to come and evaluate the car at your convenience.
Legal regulations for title loans Garfield Heights
Rules that control title loans Garfield Heights are formulated by the Ohio Department of Finance. These regulations also control Cleveland title loans. According to the regulations, the lender must obtain a valid license from the relevant financial authorities in Ohio. The lender must prove beyond reasonable doubts that he has the integrity and ethics required to do business anywhere in the state. The maximum amount a person can borrow from a title loan dealer in Garfield Heights is $800.
The highest interest allowed for any title loan is 28 percent. The repayment period for any type of title loan should not exceed six months. The application for a business license should be in writing and signed under an oath from authorized divisions of financial institutions in Ohio.
Benefits of car title loans
Car title loans have a lot of benefits. The first benefit is that they are easy to apply. The application form is simple and straight to the point. You don’t have to deal with the endless paperwork that require a lot of details to get a title loan. Title loans take minutes to hours to approve. This makes them the perfect alternatives for those in need of quick cash. You can still use your car after you get a title loan.
The lender only retains the title of the car and does not deny you full ownership. You can still get a title loan even if you are not employed or have a bad credit history. The repayments periods and terms associated with title loans are easy to manage.
The repayments also come with low-interest rates since the loan is secured on a short-term basis. Never fear to apply for a title loan in case you have a financial emergency.