Talking about money and finances can be confusing sometimes when terms are thrown around. Especially if you own a car, you might have seen “car cash” and “car financing” come up and wonder about the difference between car cash and financing. Car cash refers to the quick cash you can receive by using your car title as collateral, while financing is a term commonly used when you take out a car loan to buy a new car.
The Difference of Financing
If you’ve ever needed to take out a loan to buy a new car from a dealership or other car company, you’ve probably dealt with car financing before.
When you buy a car from a dealership, most people will put a down payment down on the car but still have money that they owe. The dealership will contact a credit reporting agency, like Experian or TransUnion. They use the information on your credit report to find you a bank that will give you a loan for the remaining balance on the car that you were unable to pay with the down payment.
Almost instantly, you’ll get a rate and monthly payment from a bank which sets up an account for your new loan. You’ll be given statements and a payment every month to make over a period of time to pay off your loan.
Another option that you have when acquiring financing for a new vehicle is to go through your own bank of choice. You can discuss financing options with them, a loan they are willing to give you, and how much you’ll be able to afford.
The Difference of Car Cash
When people or resources talk about “car cash”, they are referring to a car title loan. This loan involves a clear-and-free car title being used as collateral for a loan. The money you receive from this loan can be used to cover:
- Medical bills
- Missed bills
- Utility bills
- Credit card bills
- Home and car repairs
How Car Title Loans Work
Using your car’s title, you can take out a loan with LoanMart and use it to get cash that you need1. The amount you receive will be determined by the market value of your vehicle as well as your ability to eventually pay back the loan each month. Using your vehicle’s title as collateral for the loan allows LoanMart to give you money without having to analyze your credit score.
If you don’t have a good credit score or barely have any credit at all, this loan can definitely help you get the money you need for your financial problems without having to jump through the hoops of a traditional bank institution.
Applying for a Car Title Loan
Applying for a car title loan is even easier than applying for financing for a new vehicle. LoanMart has simplified the application process to not only be completed in a short amount of time, but in the most convenient possible way for our customers. By using our online system, you won’t even have to leave the comfort of your home, work, or the grocery store. You can do it all from your phone, tablet, or computer.
Using our online application, calling our toll-free number, or stopping by at the nearest location, you can fill out our quick application that asks for the most basic information about you and your car. This lets our loan representatives get an idea of the amount we’ll be able to give you.
2. Submit Documents
To verify your vehicle and your identity, your representative will contact you about qualifying documentation to help verify this information. Don’t worry about it being difficult to collect. With our resource pages, LoanMart wants you to get your money fast! So, to be prepared for your agent, you’ll need these few documents to send to them:
- Vehicle title
- Proof of income
- Vehicle registration
- Car insurance proof
- Valid driver’s license/ID
- Proof of residency
- Pictures of vehicle
- 4 References
All of these documents or requirements can be sent from your phone with our online system.
3. Collect Your Funds
Once you’ve submitted all your documentation to your LoanMart representative, you’ll be able to collect your money. You have the option to receive your money through a check or direct deposit into your bank account. You can receive your money as soon as the same day you’ve applied as long as you have prepared your documents on time1!
Refinancing a Car
If you’re trying to refinance an existing car loan or an existing car title loan, LoanMart can help you get a better rate! LoanMart offers competitive interest rates and can possibly put more money in your pocket. LoanMart can refinance your loan by providing your current lender with the funds necessary to cover the remaining balance1. After that, LoanMart will evaluate the value of your car to estimate how much you could potentially receive back in your pocket.
LoanMart has been one of the leading car title loan lenders with over hundreds of locations across the US. We’ve been helping our customers cover the finances they need from financial emergencies to having some extra money to get them to the next paycheck. We make sure that you’re not in over your head with your loan by comparing the value of your car to the monthly income.
We look out for our customers and hope that we can get them the best rates possible. By choosing LoanMart for all your financial and car title loan needs, you can trust you’ll be in good hands.