A bad credit car title loan is a loan taken for the title of your vehicle in exchange for cash. A bad credit car title loan is secured with your vehicle so you can keep driving your vehicle while repaying your loan. Most people in Canada choose bad credit car title loans because they are much quicker unlike traditional banks. You can easily get the loan money within the same day of applying.
Most people are unsure and have doubts regarding these types of loans. Let’s get all those common questions answered!
Is my credit score important?
The simple answer is yes! It is important to know your score and what things can raise and lower your credit score.
What if your credit score is less than perfect?
Many people think that they do not have many options with a bad credit score. However, that’s actually not true. A bad of car title loan is unlike your traditional loan for one main reason: your credit score does not matter. You can get a loan regardless of what your credit score is! Be warned some lenders may still check your credit score. It basically can vary from lender to lender.
Can I keep my vehicle??
Don’t get it confused! You are not selling or giving away your vehicle to the lender. You can keep and continue using your vehicle throughout loan the entire period. You are simply allowing the lender take hold of your vehicle’s title for the duration of the loan. The title of your vehicle is used as collateral for your loan. As soon as you pay back the loan in full, your title is returned to you.
How long do I have to repay the loan?
Every bad credit car title loan is different. The amount of time you have to pay back can depend on how much you borrow and may also vary in different length loan terms. Each car title loan lender has different policies, loan terms and may also offer personalized l loan terms too. You may have few months to years to pay back the money.