Title loans in New Mexico work much like title loans in other states. Borrowers use their qualifying car title in their name to secure their loan. In many ways, they have the same advantages of other short-term loans. For example:
- Poor or no credit is OK – Lenders are more interested in the value of your car and your ability to repay your loan than your credit history
- No lengthy application process – you may be able to get your money in as little as one business day3
- Competitive loan terms – Because title loans are secured, you are often able to get access to more money, at a better interest rate, for a longer repayment period
Because car title loans are secured, versus something like a payday loan, which is unsecured, lenders are often willing to give borrowers more favorable conditions, such as more money or a better interest rate. They can do this because if borrowers default on the loan, the lender can recover their investment by repossessing and selling the borrower’s car.
How much money can I get for a car title loan in New Mexico
The New Mexico Small Loan Act governs how car title loans work in New Mexico. The maximum amount of money you can get for a car title loan in New Mexico is $50,000. That said, the actual amount of money you will be able to borrow is actually determined by a few different factors:
- Value of your vehicle
- Loan Terms
While the value of your car generally represents the absolute maximum you can borrow with a title loan, the amount you will be able to borrow is heavily weighted towards your ability to pay back the loan. The greater your income, the more you may be able to borrow1.
What do I need to get a Title Loan?
There are only a couple things you’ll need to put together for a title loan:
- Qualifying title for the vehicle
- Government-Issued I.D. (Driver’s License, State I.D., Passport, etc.)
- Proof of Income
- Proof of residency
- Photos of the front, back, and sides of vehicle
What is considered proof of income for a Title Loan in New Mexico?
A lot of people are under the impression that the only way to show proof of income for a title loan is with a paystub. There are actually several other ways to show that you have enough income to pay back your title loan, for example:
- Settlement/Court-Ordered Award
- Workers’ Compensation
- Social Security
How do I get a copy of my vehicle’s title?
You may be able to get a duplicate copy of your car title through your local Department of Motor Vehicles (“DMV”). Some DMVs are even able to give you an expedited copy of your title. Depending on the circumstances, LoanMart may be able to point you towards the nearest DMV capable of assisting your, or even helping you directly to get your expedited title loan. If you can add LoanMart as a lienholder at that time, it may reduce the time it takes for your title loan to be processed.
How much interest can I be charged for a Title Loan in New Mexico?
New Mexico has no laws regarding the amount of interest you can be charged on a car title loan. However, being charged 25% per month is not unusual.
What happens if I don’t pay back my title loan in New Mexico?
If you find that you are unable to pay your title loan back by the end of the loan term, it’s important to contact your lender immediately. It might be possible to roll your loan over and extend the terms of repayment. If you do this, you’ll need to pay any interest owed to that point. The time you have to pay off your loan will be extended, and you’ll be responsible for any new interest and fees that accrue.
If you fail to pay your loan back, your lender may repossess your car. In New Mexico, there is no grace period during which you can pay your loan back after defaulting. As soon as you go into default, your lender can repossess and sell your car without notice.
How to get a Title Loan with LoanMart
Now that you’ve learned a little more about car title loans, you can see they are a great way to get emergency cash fast. If you have a qualifying car title in your name, you may be eligible for a car title loan up to $50,0001. Because LoanMart uses a streamlined sign up process for title loans, you may be able to get your money in less than 24 hours3 after applying.
With our easy process, we give you three ways to contact us that make it convenient for you:
- Visit a participating LoanMart store
- Call us at 1-877-787-4923
- Apply online without leaving your home
Once you’ve decided how to get in touch, all you have to do is follow these steps to get the money you need:
- Fill out the registration form
- Submit your important documents to your LoanMart representative
- Sign your LoanMart agreement
- Collect your funds1!
Now you know how a car title loan works and how LoanMart can help you get back on track when your budget derails1.