You probably didn't realize you could get a loan to help you through financial difficulties, especially during periods of unemployment, but a car title loan can do exactly that.
Of course, making the decision to take out a loan when you have no job is a tricky one, and should be considered carefully. But for some people, a car title loan can be a perfect solution when they are literally between jobs (as in, they know another job will be starting soon, so they have a reasonable assurance that the money to pay off the loan will be there).
This is an option that many seasonal employees tend to overlook when they run into those "off season" money problems. Between that lifeguard job and the ski patrol position, it's easy to find yourself in a financial tricky spot. And the beauty of a car title loan is that it takes only the title of your vehicle to acquire; in the field of quick loans, your car's title might be available much sooner than others. And you get to keep using the vehicle while you have the loan.
Differences Between Traditional Loans and Car Title Loans
At this point, for a better appreciation of the subject matter, we will try to highlight the differences between traditional loans and car title loans to show the amount of difficulty or ease each imposes on you.
A lot of traditional lenders will ask you to submit proof of collateral before the loan you seek may be granted. Such collateral could be a car, house, boat, land deeds, or another object of value. The rationale behind this is to ascertain that they can recover the value for their money if you fail to pay your loan.
Proof of income
In addition to the above, traditional lenders more often than not ask for proof of income before they can grant you a loan. They do this as a way to know if you have the ability to repay on time. This protects their loan to you in the event of any failure on your part to make the required monthly installments. Furthermore, they do require a source of income to weigh it against your credit score and ascertain what your income-to-debt ratio is. This constitutes one of the major considerations they make before deciding whether or not you are qualified for the loan. This requirement is, however, also important in case of car title loans, and the process will be discussed later.
In some instances, if your credit rating is somehow low, you may be required by the bank to get a co-signer who has better credit. It is a smart measure put in place for proper recovery of the loan money in the event of failure to pay on your part. In other words, if you default in the payment, they get the money owed from the co-signer; thus, this places the co-signer in a state of financial responsibility if such a situation arises.
As earlier stated, credit rating and your debt-to-income ratio are some of the most important factors used by traditional banks to decide if you are worth the financial risk or not. If you do not have a credit rating or a bad credit score, it could prove fatal to your chances of getting the loan without a bank account. Traditional lenders will only give you a loan if they believe you can pay your bills. With a vehicle title loan, however, your creditworthiness is not essential.
The Process of a Loan without a Job
At this stage, we have to answer precisely the question of how can I get a title loan without a job. We provide you with the car title loan definition and what you should know to get a loan without a job. Take your time to go through the outlined loan process below:
Apply for a title loan
The first step to getting a loan with no job is to apply for one. There are several money lenders around that give car title loans to those without a stable source of income. You can search for title loans online in Arizona or Nevada. You will be required to submit your info online by filling out a loan application form. Though you can apply by visiting a physical store, the online application remains the best and most efficient way. Provided that you have a car that is paid off, along with its title, then you are qualified. You can be approved for title loans online fast. Therefore, do not hesitate to apply.
Income That Can Be Used for a Title Loan
When applying for a car title loan, while it is not necessary for you to have a job before you can get one, it's essential to know car title loan requirements and be able to provide proof that you have a source of income. There are lots of financial arrangements that can be used in this regard, and we will briefly touch a few of them here.
Social security benefits
Use your social security benefits as proof of income. After retirement, you are expected to start receiving social security benefits as well as retirement benefits from your state and from any pension plan you may have put into place via the jobs you have done. Therefore, the fact that you are in retirement should not constitute an obstacle to your chances of getting a title loan. A lot of lenders tend to be satisfied if you can provide pension statements from your retirement funds as a source of income. All you are required to do is fax a copy of the documents or take its picture, present it to your lender and you are good to go.
Apart from social security benefits, an annuity is another source of income to get a loan with no job. It is a sum of money invested to produce steady revenue for a given amount of time. As an individual, you could have an annuity that commences immediately or that begins in the future. It is commonly used for retirement purposes to make an income payment during the period.
Furthermore, it is possible for you to source money through court decisions. In legal actions, it is not uncommon for a company to try to avoid a lengthy court hearing by offering the opposing party monetary compensation. Similarly, the court in its judgment may order a monetary award by a party who has been established as guilty or wrong to the injured party. Where this is the case, such payments must be made. As such, whenever you receive a monetary award ordered by a court of law, you can split it up into regular and scheduled payments like an income which you can use as a source of income to get a car title loan.
Lastly, severance pay can also be used as a source of income to get a title loan. It is an amount of money that is paid to an employee after they have been relieved of service by a company. There is a significant amount of companies whose policies allow it to be a substantial sum of money enough to keep you stable for a considerable period. Thus, since a severance pay is a substitute for what ordinarily would be an income from the company, it can be used as proof of income to apply for a loan with no job.
Documents Needed to Get a Title Loan without a Job
For your application for a car title loan to be successful, regardless of whether you have a job or not, there are certain documents you will be required to submit. These documents often include:
1. proof of car insurance and registration
2. proof of income
3. State identification
4. The vehicle identification number
5. License plate number
6. The mileage of your vehicle
7. Your vehicle
You can also be required to provide personal references including their names and phone contact; proof of residency, and your vehicle's title. All these documents must be complete. You will be expected to put them together and present them to your lender. Their veracity goes a long way in influencing your chances of being granted the loan. If you have any issue submitting these files, you can approach the lender or their agent for clarification and assistance.
Get the Loan
After doing the things listed above, the question of how can I get a title loan with no job seems to be answered. All you have to do is wait to get your money. Once the prospective lender receives your paperwork, they are expected to contact you to discuss the types of option available for you. After it has been signed, you will be allowed to select how you get paid. The payment could be made electronically. It could also be made with a check, and you can also visit any of the participating store locations in your vicinity to get it.
With the information provided above, you now understand what it takes to obtain a title loan without a job, and should be able to manage the process yourself successfully.
CASH 1 has a variety of loan services that can help you get through financial tough times. Call, click or stop by and let us find a solution for you.