Oftentimes when a person is thinking about taking out a title loan, they are concerned if their car is too old to qualify. But what many don’t realize is that it’s not the model year that matters, it’s actually the value that is most important.
How a Car is Valued for a Title Loan
The way the market works when evaluating a car is a bit more complicated than people may think. Some believe that the newer the car, the better the loan value, but that’s not always the case.
In some circumstances, it is possible for an older car to have significantly more value than a brand new one. The reason for this is due to some cars being classified as either vintage or classic. If a car is considered either of these classifications and is in superb condition, then the older car may be valued higher than a newer one.
It’s also possible that cars identical in make, model, and age could be valued differently. The reason for this is because the current condition of the car plays a large role in the evaluation process. If, say, one person has a 2015 Mustang in near pristine condition, while another person has the exact same car with scratches or dents on it, then the first car will have a greater value.
How a Classic or Vintage Car is Valued
A car that is considered classic or vintage is highly valuable. For this reason, age is not much of a factor when talking about title loans. If a classic or vintage car is well maintained, then the value is generally much higher compared to other cars.
Normally, cars that are newer have more value to them. But when it comes to classic cars, that’s simply not the case. Therefore, if you own an older car that’s considered to be either vintage or classic, then it’s possible to be eligible for a title loan.
Finding Out the Value of Your Car
If you are not an owner of a vintage or classic car, but are curious about the market value of your own car, then you could get a decent estimate by using an online appraisal tool.
By using a website that has such a tool, you can input details like:
- Your cars age
- Your cars make
- Your cars model
- Your cars mileage
By plugging these factors into the website, you can get a rough estimate for what your car is actually worth. Once you know your car’s value, you can then determine if getting a title loan will provide you with the funds you seek. The car estimate can also help you determine if you are eligible for approval.
The State Restrictions on Title Loans
The reason that the value of your car will help you determine if you will be approved for a title loan, is due to the individual state restrictions on title loans. Depending on which state you live in, your car is required to meet the minimum evaluation to be approved.
For instance, in California your car is required to be valued at least $4,000 to $4,500. Though if you were to live just a few states away, say in New Mexico or Arizona, then the value of your car will not need to be quite so high. Your car will only need to be valued at the minimum requirement of $2,000.
So if you are looking for a title loan, it’s best to find out what the value of your car is first, so you know how much you may be able to receive and if your car is eligible.
Why You Should Choose a Title Loan in Franklin, Tennessee
If you happen to live in Franklin, Tennessee and are looking for a quick, affordable loan, then consider applying for a title loan serviced by LoanMart.
Applying for a title loan serviced by LoanMart is quite easy as the process can be completed in just a few short minutes1. A qualified individual could even be funded the same day they apply1. Title loans serviced by LoanMart offer several enticing benefits too, such as small monthly payments, longer loan terms, and no hidden fees.
So if you are in need of a quick and easy loan, there is no better choice than a title loan serviced by LoanMart1!