You have a car title loan and your car was stolen. It could have happened at work, at home, at the grocery store, but the fact is, your car was stolen. The most important thing to do is stop and take a deep breath. Are you sure your car was stolen? Are you sure it wasn’t:
- Parked Somewhere Else
It’s important to eliminate these possibilities before contacting the police because it will save you a lot of time. First, think back to when you parked your car last. Did you park it in your usual spot? Or did you have to park a few blocks over because it was crowded?
Once you’re sure that you didn’t just forget where you parked, you should verify that someone didn’t just borrow your car without telling you. An easy way to do this is to see if all the keys are accounted for. If one isn’t, you’ll have to contact anyone who may have borrowed your car without letting you know.
Finally, you’ll want to confirm that your car wasn’t towed. Is it possible that there was a no parking sign that you missed? Even if you can’t find one, it’s probably worth seeing if your car was towed. A no parking sign may have been taken down by accident or something similar.
What happens if your car is stolen and there is a title loan on your car? The short answer, it doesn’t change the amount you owe. When you get a title loan, you are putting your car title up for your collateral. Once you no longer have that collateral, you may need to pay off your loan immediately but if you have insurance for stolen cars, your insurance may cover this expense. If your car is stolen and you have a title loan, you need to remember a few things to get you through this situation.
How Do I Check to see if my Car Was Towed?
Your car may have been towed for one of two different reasons:
- Illegally parked on private property
- Illegally parked on public property
If you were parked on private property, there should be a sign to let you know which towing company to call. If you were parked on public property, you’ll need to call the city or municipality to see if your car was towed and where it’s being held. You may need to call more than once. Sometimes it takes a few hours for their system to be updated with information on towed cars. If no towing company has your car, then it may have been stolen and you’ll need to file a police report.
How do I Report a Stolen Car?
You’ll need to file a police report. Then you’ll need to contact your insurance company, and the leasing or financing company if there is one. Before you contact either, you should gather the following:
- Your car title
- The location of your car keys right now and before the vehicle was stolen
- The most-detailed description of your vehicle you have, including things like mileage and Vehicle Identification Number
- A list of any personal items that were in your car
Getting this list together will help the police locate your car and your insurance company process your claim. Once your paperwork has been filed, there isn’t much to do but wait. Make sure you don’t cancel your car insurance, however.
File a Police Report and Notify your Insurance
Documentation is very important when it comes to any situation involving the law. In this case, a stolen car is a large item to go missing, and if you have a police report, it becomes easier to show you are not at fault. In fact, the minute you realize your car has been stolen, you should contact the police. When the police get there, make sure you get the following information:
- Ask for the report number
- Get the name of the officer on the scene
- Get the names and statements of any witnesses (check for any cameras or CCTVs in the area)
- Note the location of your car keys and the last place you saw your car before the theft
- List any personal property inside your vehicle (for yourself, the police report, and your homeowners or renters insurance- your car insurance may not cover lost personal items in your vehicle but they might)
With this information, you should next contact your insurance company. Let them know all this information and make notes of any information they ask for. If they haven’t already been notified, let them know you have a car title loan that you are paying off.
Let your Title Loan Lender Know What’s Happening
Once you have documentation from the police, a police report number, and documentation from the insurance company, such as a theft claim number, you should contact your car title loan lender. Odds are, your insurance company will issue you a check for the actual cash value of your car or they may issue it directly to us as the lien holder. They should have been notified of any upgrades or custom parts, so you can get the right amount. When you have a lien on your vehicle, the check may also have the lien holder’s name on the check. This ensures that the lien holder is paid first, and you will be responsible for the remaining balance. Transparency from both parties assures that the repayment process goes smoothly. You don’t need any more hardships on your shoulders.
Remember How a Title Loan Works
With an accident, your vehicle’s value may decrease significantly, when your car is stolen, it goes down to zero. When you no longer have a vehicle, the value of your title loan has changed. The reality of the situation is that you no longer have collateral to secure your loan. The reason we can give out such high dollar loans is because we have a way to guarantee you can pay us if you default. When you apply for a title loan, you will need to provide the following:
- A car title to a qualifying car in your name,
- A government-issued photo ID (driver’s license, state ID, etc.)
- Proof of income (such as paystubs, invoices or bank account statements) to show your ability to repay the loan
- Proof of residence (such as a recent utility bill).
You can fax, email or text pictures of your documents to, and our helpful agents are available to help you, wherever you are.
Why do I Need Car Insurance if my Car Was Stolen?
There are two reasons you should keep your car insurance. The first is that most policies will cover at least some of the damage caused by the thief or thieves who stole your car. This is important in case they do something like crash into a building. Your current insurance may also continue to cover you while you drive a rental car. When you speak to your insurance company, be sure to ask them exactly what is covered while your car is missing.
What Happens if they Don’t Find my Car?
If they don’t find your car, you’re insurance company normally pays you the Actual Cash Value (ACV) of your car. This is the amount of money you paid for your car minus the value it has lost. Note that the number your insurance company gives you is negotiable. They use a variety of different methods to arrive at an amount, and will probably try to value it at the lower end of the spectrum. If you do your own research, you can probably get them to give you a higher amount. Be aware though, they likely won’t give you the money for several weeks. They will give the police a reasonable amount of time to locate your car, sometimes up to eight weeks. So be sure you account for that when you make your plans for adjusting to the theft.
Having your car stolen creates a lot of stress. You don’t know if it will be recovered, or the state it will be in when someone finds it. It can take several weeks for you to receive your insurance money. Now that you are more familiar with what to expect, you can figure out what you’ll do in the event that your car disappears.
When in need of additional funding, title loans may be a favorable option. Car title loans serviced by LoanMart can be a great way to get essential funding without all the hassles that can come with traditional lenders1.
One of the best things about car title loans serviced by LoanMart is that they are fast and efficient. You could even receive your car title loan funding as soon as the next business day3!
Check out the application and see how you can use emergency money from title loans to pay for your car troubles!
Prepare and Protect Yourself from any Potential Situations
This goes without saying, you should always protect yourself, and your loved ones before an unfortunate situation happens. consider. Being prepared with this information will help you get the situation quickly under control.
- Know the value of your vehicle to better prepare you when you deal your insurance company in case your insurance company must make a settlement. This can also help you get an idea of how much your insurance can cover over the balance you have on your car title loan.
- Make sure you know what kind of coverage you have. You should be aware of your state laws and how they reflect on your car title loan in cases of car theft. Some states have different regulations for car insurance so make sure you check your insurance and have the appropriate coverage.
The best way to deal with having your car stolen when you have a title loan is to be prepared. No one ever wants to find themselves in this situation without having the right resources to take care of their problem. Most of all, you need to make sure your possessions are safe and insured to prevent any other hardships. We want you to be comfortable during your financial situation and we can only provide tips on how to protect yourself and your car.
When you get a car title loan serviced by LoanMart, we work with you to find solutions to your life and monetary difficulties. Give us a call at 1-855-422-7412, visit us at any of our participating stores, apply online or use your mobile device to apply. When you are ready to apply, then you can begin the application process whenever you are ready and get cash when you need it.