What Kind of Questions Should You Ask About Title Loans?
August 27, 2020 | Daniel Dewitt
Title loans are a type of fast, short term loan that most people use to help them through emergencies and to take control of their financial livelihood. They’re easily accessible, and because of this hugely popular among a broad swathe of Americans.
That being said, if you’re one of the few unacquainted with them, then you may be wondering what all the fuss is about, and where you should start learning about them. Our article today will answer all your questions, and give you insight into which questions you should ask both yourself and the employees of title loans Los Angeles, NV stores.
Questions To Ask The Title Loan Store
Whether you’re trying to get the best title loans Los Angeles, NV has to offer, or are located elsewhere in the state, there are three primary questions you should ask the store employees:
- How much can I get? This is the question most likely at the forefront of your mind, and for good reason. It is, after all why you’re there to begin with. The answer is that while in the state of Nevada the upper limit for a title loan is $15,000, the actual number will vary depending on the worth of your car. That worth is appraised on site at a title loan store, and is dependent on its make, model, year, and condition.
- How long is the loan period? This is a vital question because it will determine how long you have to pay back the loan, and what your urgency in doing so is. The length will vary from store to store, and is impossible to determine beforehand. If you think halfway through the loan period that you may have difficulty paying back the loan on time, you should contact the title loan store immediately, as often they are willing to work with you.
- What’s the interest rate? This is a vital question and one that like the loan period will vary from store to store and individual to individual. Simply be sure to ask the store representative before you sign so you’re clear on what the rate will be.
Questions To Ask Yourself
The second category of questions you should ask before obtaining a title loan are those that are aimed not a title store representative, but at yourself:
- Do I have everything I need? While title loans don’t require the small mountain of paperwork most other loans do, there are still a few key items you’ll need to bring with you to a title loans store: a state issued I. D. like a driver’s license, your vehicle itself, and the lien-free title of that vehicle. Lien-free means that you, and you alone, own your vehicle in full. If there’s a co-signer on the title you’ll need said person with you to be eligible for a title loan.
- How will I pay the loan back? This is a key question, and one you should already have answered before you arrive at a title loan location. Any loan you should take out can only ever be a bridging tool to get to a different financial state, not the end state itself. The loan will come due at some point, and you should be prepared to make payments on time and in full.
- How will I use the loan? This may seem like a simple question to answer, but often people obtain title loans in the midst of an emergency, and don’t have defined goals. And without a goal, it’s impossible to achieve it. The best way to set a goal is to simply write it down in the most concrete and specific terms possible. For example, if you need a title loan to deal with a medical emergency, you might write down the hospital bill as the specific expense you plan to use the title loan on.
- How will I prevent financial problems in the future? This may seem like an odd question to ask while you’re in the midst of a financial emergency, but it’s still one worth considering now while the causes of the emergency or financial difficulty are fresh in your mind. Every problem has a cause, and it’s up to you to track down those that lead you to this moment. Only once you’re clear on what they are can you take action to solve them and prevent them from happening again.