If you’re a Buckeye State resident and are looking high and low for cash to get you through an unexpected situation, you may be able to get a vehicle title loan. The main things you need for one are a vehicle in your name, a lien-free title, and the ability to pay the loan back. For more, here’s what you should know about the best title loan in Columbus Ohio.
What’s a Title Loan?
This is a short-term loan that’s secured by your vehicle, which remains with you throughout the life of the loan. The lender will hold onto your title until the loan’s repaid. Because your vehicle serves as collateral, you risk losing it to the lender if you default on your loan. In Ohio, though, if you’re having trouble with payments, you may be able to have your loan refinanced.
For many who are ineligible for a bank loan, the good news is that because the loan is secured, title loan companies, including those in Ohio, won’t focus on your credit score. You may be able to get a loan with bad credit or even a bankruptcy filing.
How Much Can I Get?
Because your credit history isn’t a focus, lenders decide how much to lend based on the equity you have in your vehicle, and on your income.
In Ohio, you can get between 5% and 50% of your vehicle’s value, or between $1,000 and $10,000. Some lenders provide an online calculator that you can use to estimate your loan amount. All you must do is input the vehicle’s make, model, model year, current condition inside and out, any alterations or modifications, classification (sport, compact, minivan, etc.), and the mileage.
But do not fret if your vehicle is on the older side and full of miles. Title loans in Columbus, Ohio have even been offered for salvaged vehicles. So, it doesn’t hurt to try.
What is Required to Get a Loan in Ohio?
First, you’ll need to be at least age 18. After that, it’s a vehicle in your name and with an unencumbered title, and proof of ability to repay the loan. For the latter, you’ll need pay stubs or bank statements and the like. If you aren’t employed but get sufficient income through, for example, worker’s compensation, Social Security, retirement, or a pension, that will work as well. You’ll also need government-issued photo identification, proof of an Ohio address, and a couple of personal or professional references.
In addition, you must submit photos of your vehicle, including of the passenger and driver sides, plus the rear and the hood. You’ll also need to produce clear shots of the vehicle identification number and odometer.
How Fast is the Process?
It’s very fast, which is part of the industry’s appeal. Once you apply online, you may be approved the same day. Then, you can usually have funds in hand within 24 hours. If you wish, you can have your check physically mailed, or you can pick up your funds at a nearby money transfer location. The quickest way is through direct deposit, so be sure to set that up with your account if it isn’t already.
What About Payments?
Many lenders in Ohio will permit you to make payments through an app, over the phone, or by using a local MoneyGram location.
When looking for the best title loan in Columbus, Ohio, find a lender who will reward your consistently timely payments with a payment and interest rate decrease. They’re out there, and it doesn’t hurt to inquire.