What is the Registration Loan Process in Avondale, Arizona?
A registration loan is an unsecured loan that requires a government issued ID, a vehicle, proof of residence, proof of income, bank stubs, credit history and many more banking documents that assure they will receive repayment. A registration loan simply requires you to have your name on a vehicle registration. While this sounds good in theory, a registration loan is still an unsecured loan. In the state of Arizona, an unsecured loan does not have an interest rate cap.
A Closer Look at Registration Loans in Avondale, Arizona
Before going over how to get a registration loan, you should know what to expect. If there is documentation of the interest rate in your agreement, companies can charge you any interest rate.
Registration loans have found a loophole that allows them to charge which ever rate they see fit. Since they are not a payday loan, they do not follow the same lending guidelines. With a secured loan, such as a car title loan, there are guidelines set up by the Arizona Department of Financial Institution. These guidelines are in place to ensure all lending processes have some means of restriction so that the consumer does not get caught in a cycle of debt.
If you still decide to go forward with a registration loan, just keep in mind the consequences of not having successful repayment. With registration loans, if you do not follow through with correct repayment, the company can send your account into collections and eventually sue you in a civil court for the balance, and you may have your wages garnished and, though rare, they can also repossess your vehicle.
How to Get a Registration Loan in Avondale, Arizona
Registration loans are relevantly new, but are like any other unsecured loan. You will find that there are many lenders in Arizona that will want to work with you. Make a list of the closest few and begin your research and see that the lenders have tools for you to make the application process easy. You will find often, registration lenders only have storefronts, or are online only. Since registration lending is much newer, many registration lending businesses do not yet have the tools to streamline the application process. You will also find that registration lenders will require you to bring in your vehicle so that they can verify and assign the vehicle‘s value.
What Other Factors Does a Registration Loan Consider in Avondale, Arizona
A registration loan also requires a sort of credit check. Lenders will try to work with you, even if you have bad credit, but since registration loans are not regulated, there is no cap for interest rates. This means if the lender chooses to work with you, they can offer you inflated interest rates, and they don’t need to explain how they came up with that number. There is very little accountability when it comes to unsecured loan lending. The lenders will want to get you a loan, so they may remind you that you don’t need a clear title. Remember, they don’t require a clear title because they are not going to use the title as collateral. The lender isn’t using collateral because they are using an unsecured loan type. They secure the loans by attaching higher interest rates.
Safer Alternatives to Registration Loans in Avondale, Arizona
The reason many people decide to go with nontraditional lenders is because they cannot get loans through traditional financial institutions. Banks and other loan alternatives will rely heavily on credit scores and credit history. If you have less than ideal credit, they may be less likely to take you on as a customer.
You can always find another form of nontraditional lending, but you should consider the differences of secured loans and unsecured loans. If you are already looking to get a loan, why not choose a secured loan.
How Long Do I Have to Pay a Car Title Loan in Avondale, Arizona?
When anybody takes out any kind of loan, the payback period of the loan should always be an area of focus.
Applying for a Car Title Loan in Avondale, Arizona
To get a secured car title loan, you will need the following:
- A car title to a qualifying car in your name
- A government-issued ID (driver’s license, state ID, etc.)
- Proof of income (such as paystubs, invoices or bank account statements
- Proof of residence (a piece of recent mail such as a utility bill will be ok)
- Photos of the vehicle being used as collateral (angles from the front, back, and sides of the car, the vehicle identification number, and the odometer reading)
You can fax, email or text pictures of your documents, and helpful agents are available to help you, wherever you are.
The Car Title Loan Process in Avondale, Arizona
Every last part of the loan acquisition process to be convenient, quick, and easy. The initial process can be done and over with in as little as five minutes or less.
A few different convenient ways to begin the process of acquiring a car title loan1. Each customer’s needs are different, so we do the best we can to accommodate them.
- Send us over their information online by making use of this easy to fill out form on their computer, smartphone, or tablet.
- Give us a phone call at 1-877-787-4923
After this we will need the documents mentioned prior to be sent over to us. This easy process can be taken care of by using any of these methods:
- Email them
- Text them to 1-818-521-2470
Approval and Provision of Funds May Happen Quickly in Avondale, Arizona
When going to apply for a car title loan, there will not be any needless waiting for all of the paperwork to be through processing. Nobody has the time for such annoying things! The quicker the unforeseen expense can be dealt with, the better.
If approval is granted, car title loan money can be retrieved through any of these common methods:
- With a check
- In some cases, going over to a money center and picking up the borrowed funds through MoneyGram.