What is a Salvage Car Title, How Are They Created, and What Does It Do to the Value?

 
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What is a Salvage Car Title, How Are They Created, and What Does It Do to the Value?

What is a salvage car? A salvage car is typically a vehicle that has been in an accident and deemed a total loss by the insurance company of the owner of the vehicle. Although these cars are usually extensively damaged, sometimes their functionality can be saved by replacing various parts of the salvage vehicle with parts from another automobile.

A salvage car can also be a vehicle that was “created” from the parts of other cars. A car that has been created from various other car parts or a car that has been deemed a salvage vehicle is branded, in a sense, with the title of a salvage vehicle. Once a car has been labeled a salvage vehicle, it is a salvage vehicle forever.

Unfortunately, once a car is labeled as a salvage the overall value of the vehicle decreases notably. For example, if you are looking to get an auto title loan on a salvaged car, the total amount you could receive would be cut about in half. This is because a significant percentage of car title loan funding is based on the equity value of your vehicle.

Pros of a Salvage Car

The major pro to having a salvage car is that their price is most often extremely affordable. Since it is universal knowledge that salvage vehicles have a low equity, you can usually pick one up for a modest price. You can probably buy a salvage car and pay for it in full, eliminating the car payments that usually come when acquiring another vehicle.

Purchasing a salvage car might be a perfect option for you if you are on a tight budget and you are not traveling far distances every day. A salvage car would be better suited as a backup car used for short trips around the neighborhood rather than lengthy daily commutes.

Cons of a Salvage Car and How LoanMart Can Help

One of the most problematic challenges with owning a salvage vehicle is trying to find insurance coverage for this kind of vehicle. Many insurance agencies can see a salvage car as a liability and opt out of insuring them because of the risk.

While having a salvage vehicle could be convenient as a second car, you should think about getting a vehicle that is easier to insure. LoanMart can hook you up with the financial assistance you need in order to buy a newer car and drive insured1! Since LoanMart processes “Salvage title loans,” you can be approved for funding using your salvaged car.

How to Get a LoanMart Title Loan on a Salvage Car

You can get started on a salvage title loan with LoanMart in just one click. Simply go to our home page and click on the “APPLY NOW” link. This will bring you to a brief information page where you will fill out some details about you and your car. The initial form should take about 5 minutes to complete, after that you will know if you are approved for a LoanMart title loan.

After you are approved, your LoanMart title loan agent will contact you to discuss your FREE QUOTE. It is at this point where YOU will decide if you would like to continue to with the LoanMart process. Feel free to make your LoanMart rep aware of any questions or concerns you have about your LoanMart title loan, we want you to feel totally secure when you decide to go ahead with us.

The next step is to send in your documents. While your LoanMart title loan agent will inform you of all the documentation we will request from you, here are some of the basics:

  • Government issued photo ID
  • Proof of insurance (If you do not have insurance on your vehicle, LoanMart still may be able to help you)
  • Proof of income
  • Title to your vehicle with your name on it (LoanMart may still be able to help you if you cannot find your title or if your name is not the only name listed on your title.
  • A few photos of your car

When LoanMart has received your documents and processed your information through our safe and encrypted network, we can draw up your loan contract for you to sign! Then you are free to spend your money however you wish, because LoanMart never requires you to disclose your loan spending history with us.

You can check out our testimonial page to scroll through some of the personal stories our customers HAVE CHOSEN TO SHARE WITH US. See how a title loan from LoanMart could help you reach all your financial dreams!

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