You are here: Home » Different Kinds of Loans » Title Loans After Bankruptcy

If you are completely over your head with debt and are running out of options, you may consider filing for bankruptcy to obtain a fresh start for your financial future. We want to educate you on both the types of bankruptcy and important details you should consider before filing.

Deciding to File for Bankruptcy

Before you file for bankruptcy, you will want to consider all of your options and research all your financial information before starting.

  1. Consider your options. Bankruptcy should be used as a last resort. Before you file, you want to check off your available options to see how you can pay off your debts. Contact creditors to try and negotiate for a loan settlement or a repayment plan that gives you lower payments. You can also short sale assets to cover your debt if you are underwater on a loan. Consult with a debt management agency before deciding to file.
  2. Analyze your debt. There are certain kinds of debt that can’t be “erased” even if you declare bankruptcy. If a majority of your debt can’t be erased, then bankruptcy might not be an option for you. Each state has specific provisions for assets which are exempt from bankruptcy. Check your state law. Debts like these cannot be discharged:
    • Alimony
    • Child support
    • Debts filed after bankruptcy
    • Debts incurred six months prior to filing bankruptcy
    • Fraudulent loans
    • Debts from personal injury driving intoxicated
    • Debts from willful and malicious injuries to people/property
    • Some student loans
    • Some taxes
    • Secured loans
  3. Know which assets are exempt. During bankruptcy, proceedings will seek to seize and sell your valuable assets to repay creditors. Exempted assets will depend on variables like the state you live in and which type of bankruptcy you’re filing for. They can be protected up to a certain value or entirely. Common assets are:
    • Cars, wedding rings, and your home
    • Some state offer “wild card” exemptions that allow you to keep other valuable assets to a certain value
    • Chapter 13 Bankruptcy: allows you to keep your assets, but you can reduce your liability to creditors by selling assets of significant value.
  4. Understand bankruptcy and cosigners. A cosigner agrees to pay your debt in the event you can’t. If you declare bankruptcy, a cosigner is still obligated to repay your debt.
  5. Learn about the different kinds of bankruptcy. Bankruptcy is handled in federal court under the rules of the Bankruptcy Code. There are many different chapters:
    • Individuals and business may file for Chapter 7.
    • Chapter 13 is known as “wage earner” bankruptcy. If you have a reliable income, you can propose a payment plan to creditors that pay them back.
    • Cities, towns, villages, taxing districts, municipal utilities, and school districts under Chapter 9.
    • Business can reorganize under Chapter 11 or liquidate under Chapter 7.
    • Chapter 12 is similar to Chapter 13. It is reserved for business where 80% or more debt is from operation of family farm or fishery.
  6. Understand the consequences. Learn about the kinds of debt that can be erased and what will be forgotten. It’s important to recognize the impact on cosigners of your loans, too. You have to decide if you’ll want to live with the negative impact bankruptcy has on your credit.
    • The effect bankruptcy has on your credit is largely determined by how good your credit is to start. If you have good credit, it will take a huge hit, but if it’s already low, it might not lower your score much.
    • The more accounts you have associated with filing, the bigger the impact is on your credit.
    • If you file Chapter 7 or 11, it will remain on your credit for up to 10 years. With Chapter 13, it may stay on for up to seven years.
    • Chapter 11 will stay on the business’s credit report, not the person, unless they file a personal bankruptcy.

How to File for Bankruptcy

Which bankruptcy you file for will all determine on your situation. Here 2 of the more common chapters and how to do it.

Call Our Team

Take the first step and call our toll-free hotline to speak with a specialist.

File for Bankruptcy – Chapter 7

For Chapter 7 bankruptcy, consider hiring a bankruptcy attorney. It is a complicated process and is rarely successful without help. There are free services that you can apply for. Then, you’ll want to find out if you qualify. Your income must be below a certain level and take the “means test” to find out if you qualify. It is a complete series of three forms to take it.

Fill out the forms once you know you qualify with all your property, debt, income, and expenses for court. There are other forms, as well, like the bankruptcy petition, a series of schedules, and more. File the forms and if you’re using an attorney, they’ll file them for you.

File for Bankruptcy – Chapter 13

To file for Chapter 13, make sure you evaluate your eligibility. Business can’t file for Chapter 13, even if you are the sole proprietor. You have to have a certain amount of disposable income and your debts can’t be do high. You do not qualify if your secured debts exceed $1,149,525. You also must be current on your income taxes and prove that you filed your federal and state income taxes for the past four tax years.

The forms for Chapter 13 are the same forms as Chapter 7. In your case, a trustee will be appointed to help you fill out your information on the forms. If you feel like you’ll need representation, you could hire an attorney.

If I Have filed for Bankruptcy, will that Hurt My Chances of Obtaining Online Title Loans?

Not at all! You don’t have to worry about poor credit history or any other financial mistakes you may have made in the past. Credit is not the only factor for approval of your car title loan.

The truth is, we are not interested in your financial past. We have made it easy and possible for anyone to apply for a car title loan, even those whose credit history is far from impressive. We understand that everyone may have made some poor financial decisions in the past. That shouldn’t define you or stand in your way of getting a car title loan when you need it the most. Bad credit? No problem!

Here is why it is possible for people who have filed for bankruptcy or have poor credit to get a car title loan:

  • Your car title is a guarantee for the loan: This kind of loan is secured by your car title. Unsecured loans are difficult to obtain because lenders evaluate your credit history to determine if you qualify. However, secured loans are guaranteed by something that represents equity; a car title. That is why it is easier to get this kind of funding with competitive interest rates and reasonable timelines based on your ability to make payments. Bad credit or financial history is not as important for us because the value of your car is the primary basis for evaluation when receiving a loan.
  • Your credit rating represents the past: your credit score reflects your past but we are more interested in your current and future financial prospects. We understand that everyone can face some financial problems at some point in life. We want to help you change and grow, rather than denying you access to funds when you need them the most.

Qualifying for Online Title Loans if I Have Bankruptcy in My Past?

Bankruptcy may happen to anyone, regardless of their financial handling or know-how. If you have past bankruptcy, the loan options now available to you may be underwhelming at best. But residents may still have loan options available to them, despite past bankruptcy.

Past bankruptcy should not hold someone back from acquiring the emergency funds they need. Despite having gone through financial issues in the past, you may still get financial support with a title loan.

Title loans are secured loans that use the equity of your vehicle as collateral in exchange for funding. For this reason, title loans are much more flexible than other types of loans. Despite using the car title as collateral to obtain a loan, you are still able to continue driving your vehicle while making the scheduled monthly payments.

The approval process for a title loan may be easy and convenient. Before residents may be approved for funding, there are a few important documents that need to be submitted.

  • A valid government or state-issued photo ID
  • Proof of income (bank statement, paystub, disability payments, etc.)
  • Proof of residency (utility bill, mortgage statement, etc.)
  • Qualifying title to your vehicle in your name
  • Photos of the vehicle from multiple angles in bright light

What are the Uses for Online Title Loans if I Have Bankruptcy in My Past?

Many people have been helped by a title loan in the past, and they all needed emergency funding for various financial hardships.

Below are some examples of ways borrowers have used their title loan funding:

Relief from Debt

Debt may be a huge burden to have. Title loans may help people tackle their debt in no time at all1. Whether it is debt from medical bills or house repairs, a title loan may potentially help ease that financial burden.

Emergency Travel Costs

Traveling may be expensive, what with all the fees for baggage, car rentals, and more. Travel may be required unexpectedly and may potentially be more expensive as a result.

Car and Home Repairs

Owning a home or a vehicle may be expensive, as both will require lots of repairs and maintenance. Whether it is a transmission that needs to be replaced, or a leaky roof that needs to be repaired, a title loan may help cover the hefty costs. Instead of dipping into your savings account, a title loan may help you out1.

Veterinarian Bills

Being a pet parent may be very expensive, especially when an emergency surgery or an unexpected injury happens. When a beloved pet finds themselves ill, covering the costs may be quite expensive. Fortunately, there are lots of funding options available through title loans.

Being involved in a court case may be costly and hiring an attorney to help you with your case is often necessary. To handle these high legal costs, a title loan may be your best bet.

Online Title Loan Benefits if I Have Bankruptcy in My Past?

We offer loans regardless of financial situations1. We understand that a car title loan might be the only lifeline for someone. That is why we work with everyone in their unique situation.

Need more proof? Here are the top Advantages of car title loans

  • Competitive interest rates
  • High chances of approval
  • Applying for funds and making inquiries is free and there are no obligations whatsoever
  • Funding is available in as little as one business day3
  • Borrowers are subject to no hidden fees
  • Inquirers that have bad credit may still qualify for funding1
  • Title loans offer extended repayment options
  • Borrowers may expect competitive interest rates and flexible options

Pick Up Your Online Title Loan from a Participating Money Transfer Location Near You!

After you have received approval for a title loan, the last step in the approval process is to get your funds. Eligible borrowers have a few options available when it comes to receiving their money:

  • Direct Deposit
  • Receiving a Check in the Mail
  • Getting a Money Transfer
  • Pick Up Your Money at a Participating Money Transfer Location

Get the Online Title Loan Funding You Need Today

There’s no need to hesitate when looking for funding with past bankruptcy. With title loans, you may receive your approved funds in less than one business day1! Apply online using the quick questionnaire form and get started toward receiving the funds you need1!

Applying is simple, and our friendly representatives are available seven days a week to discuss any questions or concerns you have.

Call us today to learn how you can get the money you need without giving up your automobile.

What did you think?
1 = Very Bad
5 = Very Good