Cost of Living in Montgomery, Alabama
Whether you currently live in Montgomery or you could be moving their soon, having an idea of the cost of living for the area and how it compares to the rest of the nation is critical. Understand how the cost of living in Montgomery compares to the rest of the country. In addition to things like salaries, start thinking about how much to budget for expenses like:
Average Cost of Living in Montgomery, Alabama
The average cost of living in Montgomery is 8% lower than the national average. A number of things are by taken into account, the costs for things like housing, groceries, utilities, transportation, and healthcare for example.
The cost for each of the five categories ranks below the national average, except utilities, in Montgomery:
- Housing 17% Lower
- Groceries 8% Lower
- Utilities 7% Higher
- Transportation 7% Lower
- Healthcare 18% Lower
How does the cost of living in Montgomery compare to other major cities in the United States? Look below.
- Phoenix, Arizona: 3% higher than Montgomery
- Miami, Florida: 24% higher than Montgomery
- Anchorage, Alaska: 39% higher than Montgomery
- Dallas, Texas: 10% higher than Montgomery
- New York City, New York: 148% higher than Montgomery
- Knoxville, Tennessee: 11% lower than Montgomery
Average Salary in Montgomery, Alabama
Using average salaries of some of the main job titles in Montgomery, the average salary is reported at $41,293, trending up 0.2% over the last few months of the end of 2017. This is compared to the U.S. average of $51,939. Meaning the average salary in Montgomery is about 20% lower than the national average.
Cost of Housing in Montgomery, Alabama
There are three things consider when thinking about the cost of housing.
- Monthly rent
Rent on a one bedroom apartment runs at about an average of $700 a month. A two bedroom apartment costs about $800 a month on average.
The utilities for one month is about $149.24, including gas, heating, and water (as well as electricity and garbage). The cost of Internet for one month at a rate of 60 Mbps is $49.67.
If you plan on purchasing a home, rather than renting, you’ll be glad to know that the average price to own in Montgomery is $68,500, about one-third of the average price for the nation, $206,300.
Cost of Transportation in Montgomery
Transportation in Montgomery costs are 9% lower than the national average. The cost is figured to include:
- Public Transportation
One gallon of gas is about $2.11 in Montgomery. For a public transportation pass it costs about $45 per month and for a 5-mile taxis trip it can cost $14.50.
How Does the Cost of Living in Montgomery, Alabama Compare?
If you want to check the cost of living in Montgomery to where you live now, or where you are relocating, you can enter all your information on this website that helps you compare the cost of living between two cities, or the cost of a single city to the national average.
Living in Montgomery, Alabama
Montgomery was incorporated in 1819 as a merger between two towns along the Alabama River. It became the state capital in 1846. During the mid-20th century, it was a focal point of the civil rights movement, seeing a considerable number of demonstrations and protests. In addition to the Maxwell Airforce Base, there are a number of universities, and notable cultural attractions such as:
- Dexter Parsonage Museum – Home of Dr. Martin Luther King Jr.
- Rosa Parks Library and Museum – Tribute to Rosa Parks and her actions in 1955 that helped spark the civil rights movement
- Alabama Shakespeare Festival – One of the ten largest Shakespeare festivals in the world, they stage more than 400 performances each year, attracting over 300,000 visitors from around the world.
What is an Installment Loan? Can I get one in Montgomery, Alabama?
It’s a type of loan that you pay back in equal parts, called installments, over a defined period of time. For example, if you borrowed $1,000 with a four-month repayment schedule, each month you would pay $250 + interest. As with other loans, you have to pay interest that accrues during each installment over the life of the loan, often monthly. You can learn more here.
How is an Installment Loan Different from a Credit Card in Montgomery, Alabama?
As with credit cards, you must make a regular payment, usually every month, to the lender. There are some differences however:
- Interest Rate
- Available Credit
Interest Rate: Installment loan interest rates are often fixed for the life of the loan. In contrast, credit card interest rates can vary due to a number of reasons such as missed payments, change in credit score, or simply having a variable interest rate.
Available Credit: When you borrow money from a credit card, if you need more you can borrow more. Installment loans involve receiving a fixed amount of money. If you want more money you need to fill out a new loan application.
What Are the Different Types of Installment Loans in Montgomery, Alabama?
There are several common installment loans:
- Auto Loan
- Personal Loan
Auto Loans: These are typically used to purchase cars, and the vehicle being purchased is used as collateral for the loan. Normally the lender pays the full amount for the car and then the borrower pays them back in installments.
Mortgages: These loans can normally have terms lasting between 15 and 30 years. They are for enough money to buy a house, which is also what they use for collateral.
Personal Loans: These loans are usually not secured with collateral. Due to this, lenders must use your credit score to determine the amount of money they can lend you, at what interest rate, and for how long.
What’s a Payday Loan in Montgomery, Alabama
A Payday loan is a short-term loan, normally meant to cover an emergency expense. Payment is typically due within two to four weeks, hence the name. Unlike something like a vehicle loan or a mortgage, a payday loan can be spent on whatever you want.
How Much Money Can I Get for a Payday loan in Montgomery, Alabama?
A payday loan in Alabama may not exceed $500. Additionally, you aren’t allowed to have more than one loan at a time from a given lender and there is a cooling off period between loans.
When Do I Need to Pay My Payday loan back in Montgomery, Alabama?
The term for payday loans in Alabama is between 10 and 31 days.
What Happens if I Can’t Pay My Payday loan back in Montgomery, Alabama?
As with other unsecured loans, if fail to pay your loan back there are a number of things the lender can do.
- The lender may notify Equifax, Experian, and TransUnion, the three major credit bureaus. This may lower your credit score.
- If the payday loan lender can’t take the payment out of your bank account because there isn’t enough money in it, they can charge you a one-time $30 NSF fee.
- The payday loan lender may sue you. If they win, you may also be responsible for some of their court fees, up to 15% of the original check amount.
- The lender may initiate criminal proceedings against the borrower if they go to withdraw money from an account and the account has been closed.
If you want to avoid all of the above, you may have the option of rolling the balance of your loan into a new payday loan, but you can only do this once.
How Does the Rollover Work in Montgomery, Alabama?
Rolling your payday loan over into a new loan extends the amount of time you have to pay it. Normally, you must pay a fee, and potentially a portion of the original loan. You’ll be responsible for the balance of the original loan, plus any new fees and interest accumulated during the extension.
What Happens if My Lender Sues Me Over My Payday Loan in Montgomery, Alabama?
If a lender takes a borrower to court for the balance of their payday loan, the borrower will have to argue in front of a judge as to why they shouldn’t be required to pay their loan back under the original terms. If the judge sides with the lender, the court will force the borrower to repay the loan. This may be done through taking money directly from the borrower’s paycheck and giving it to the lender.
What if I Need Emergency Money and I Have Bad Credit in Montgomery, Alabama?
If you have a qualifying car title in your name, you may be eligible for a title loan1.
Can I Get an Installment Loan Online in Montgomery, Alabama?
Generally, you cannot get an installment loan online. They usually have long application processes that require a variety of different documents. Additionally, the installment loans generally have to be spent on specific things, usually whatever they are being used to purchase.
What’s an Online Title Loan in Montgomery, Alabama?
An online title loan is a secured loan where your car title is used as collateral. You pay the interest and a portion of the principle each month over the life of the loan. Your loan is secured with collateral, meaning you may get a better interest rate than an unsecured loan. Because most title loan lenders are more concerned with the value of your car and ability to pay, there’s no lengthy loan application process. There are only a few things you need to get an auto title loan:
- Qualifying title for the vehicle, with your name on it
- Government-Issued I.D. (Driver’s License, State I.D., Passport, etc.)
- Proof of Residence (Certain pieces of mail)
- Photos of the front, back, and sides of vehicle
- Proof of Income
What is the Maximum Interest Rate for a Car Title Loan in Montgomery,Alabama?
If you live in Alabama, all of the laws and regulations regarding car title loans can be found in the Alabama Small Loan Act. This piece of legislation defines important terms used in the car title loan industry, certain rules small loan lenders have to follow, and more.
The Alabama Small Loan Act also discusses the types of interest rates that small loan lenders are permitted to charge. Don’t let a potential lender take advantage of you by charging you more in interest fees than the law allows. Thankfully you don’t have to trudge through all 20 pages of the Alabama Small Loan Act to figure it all out.
If you’re looking to get yourself some funding through a small loan, like a car title loan, you definitely want to be aware of these rules, so you know which lender is right for you.
When you receive your initial loan balance, that number includes the interest fees that you are charged. That means if you have a loan balance of $2,000—that number should include your interest charges. When small lenders charge interest, they are not allowed to charge a borrower any interest fee that would come out to more than $200 a month—keep that in mind when you are paying back your loan.
Most lenders also charge a maintenance fee for keeping track of the borrower’s financial documents, history, and information. But be aware that this fee cannot exceed $30 in total, so potential small loan borrowers are probably looking at a maintenance fee of about $3 a month.
You want to make sure that you stay on top of your payments if you decide to get a small loan. Falling behind on your payments may look bad on your credit and it could end up costing you more money in the long run.
Another very important rule to remember is that if a small loan lender breaks any of the laws laid out in the Alabama Small Loan Act the transaction is completely voided, and the lender no longer has a right to receive any more money from you at all.
How Do I Get a Copy of My Vehicle’s Title in Montgomery, Alabama?
You might be able to get a duplicate title through your local Department of Motor Vehicles (“DMV”). Some DMVs are capable of providing expedited titles.
Are there Any Costs Other than the Interest for an Online Title Loan in Montgomery, Alabama?
Applying for an online title loan is free. However, there may be other fees associated with the loan. Your lender should disclose them to you during the application process.
What Happens if I Fail to Pay My Online Title Loan in Montgomery, Alabama?
If you are unable to repay your loan within the time, your car may get repossessed. If this happens, the lender can sell your vehicle and keep all the proceeds. However, there is a right to cure period in Alabama of 30 days. This means, if you fail to repay your loan in time, you get 30 extra days to finish paying your loan before the lender can sell your car.
Benefits of Car Title Loans in Montgomery, Alabama
Here are just a few of the perks that come with car title loans:
- High Approval Rate1—Worried about receiving approval for a car title loan because your credit isn’t as great as it used to be? With a title loan, you may not have to worry about hassles like that. Lenders care more about your ability to repay your loan and the equity of your vehicle. People with a wide variety of credit scores get approved for car title loans every single day.
- Manageable Installments – Other types of funding, like registration loans, have no cap on how much interest the lender can charge.
How to Get an Auto Title Loan in Montgomery, Alabama
Auto title loans are a great way to get money without the hassle of lengthy application processes. If you own a vehicle in your name, you can use it as collateral, letting you potentially qualify for an auto title loan1. The turnaround time between when you apply and when you receive your money could be less than 24 hours3.
The first step of the car title loan process is to fill out a quick little information request. Simply log on the homepage to find the request form. The entire thing should only take about 5 minutes to complete, and you will also know right away if you have received approval.
After you have received approval for your car title loan, your agent will request a few documents from you. In order to make the process go by even faster, it is best to have these documents on hand at the start of your car title loan process, so you can send them promptly after your approval.
The last step of the car title loan process is to sign your contract and get your funding1!
Once you’ve figured out the best way for you to apply, all you have to do is follow these steps to get the money you need1:
- Fill out the application.
- Submit the required documents to your representative.
- Sign your agreement and collect your funds1!
If you’re living in Montgomery now or in the near future you don’t have to let your expenses become a bigger problem than they need to be! With quick service and amazing benefits, how can you afford to wait?