Important Things to Know About Car Title Loans San Francisco

San Francisco is known to be a culturally rich and progressive city that has been highly-acclaimed as one of the best financial hubs in the present-day United States. Even though San Francisco is a magnificent city that boasts of fun and exhilarating destinations, it could be quite a stressful and demanding place for people living here who are increasingly facing costly and unanticipated expenses. Especially, with the current COVID-19 health scare and economic crisis, you may be looking for some sort of assistance. As per news reports, the coronavirus could be triggering a serious recession or slowdown in the United States.

As per https://edition.cnn.com, car title loans have been designed for all those people looking for fast cash for paying their bills, managing debt, or coping with the existing health and financial emergency.

As per https://edition.cnn.com, since shops, restaurants, factories, and airlines are shutting down worldwide from Madrid and Paris to New York and San Francisco, economists are constantly warning that a recession across the globe is no longer an impending threat, it is very much here.

If you own a car outright, you could avail of a very quick and easy car title loan. However, you may have to pay quite high fees or if you default on your payments, you could risk losing your vehicles. Car title loans are meant for individuals who require quick cash for paying bills, managing debt or coping with today’s emergency.

Here are some important things to keep in mind while availing of a car title loan.

For getting a loan you must own your vehicle or have equity in the car

Car title loans San Francisco are supposed to be a secured loan that considers your vehicle as collateral. Car title loans would be ranging from $100 to about $ 5,500 around 25 percent to 50 percent of the value of your vehicle. The loan term seems to be quite short generally only 15 to around 30 days. Even though it is referred to as the car title loan, you could get this cash advance using your trucks or motorcycles or any other vehicles. You would be requiring a clear title for availing this loan. You have to provide a picture of your car, proof of insurance, a photo ID, and Proof of income for availing this loan. If you get a car title loan approval, you would need to give away your car title straightaway to the lender very much in exchange for your loan.

Car Title Loans Could Mean High Fees or High-Interest Rates

Lenders could be charging almost 25 percent of the total loan amount every month for financing your loan. For instance, for getting just a 30-day loan for $1,000, your fees could be 25 percent of the amount. Hence, you need to pay back $ 1250 and other additional fees for paying off the car title loan at the month-end. This would be translating into APR over 300 percent. This seems pretty high. However, you simply cannot undermine the convenience and promptness with which the loan is approved and processed.

Conclusion

In case you are in a crisis and cannot pay back the loan, you may have to forego the car. The lender would be compelled to repossess your vehicle under such circumstances. Know your facts before opting for it. But remember your credit history is of no consequence and you could avail of this loan with even a bad or no credit history.

Related Stories