One of the ways to quickly get extra money to solve urgent issues for car owners is a title loan in Wisconsin. A title is a vehicle passport. It is impossible to sell, exchange or officially transfer a car for use to third parties without it.
What is a title?
A title is a strict reporting form issued when buying a car to its owner. It is needed to get an insurance policy and register the vehicle. The following organizations have the right to issue it:
- car manufacturer;
- customs (if the car is imported);
- state traffic inspectorates;
- the company that carries out the re-equipment of the vehicle (in this case, a completely new title is issued, taking into account the changes made).
This document contains complete information about the operational characteristics of the vehicle, information about all owners of the car (previous and current) – passport data, registration address, number of the car registration certificate and ownership of it.
According to the US legislation, the vehicle owner is not obliged to keep the vehicle with him. Therefore, Wisconsin auto title loans are a widespread phenomenon.
How to get a title loan in Wisconsin?
It is usually not difficult to take auto title loan in WI – the procedure resembles issuing a loan at a car pawnshop. To do this, you do not need to officially confirm your income, and it is also not necessary to have a positive credit history. The borrower can continue to use the vehicle as it does not remain in the parking lot of the financial institution.
The requirements for a vehicle are as follows: it must be fully technically safe, not under arrest or wanted, and also not older than a certain age. Of course, this is only possible in countries where the title is issued.
There are also other requirements to qualify for a title loan in Wisconsin:
- be at least 18 years old;
- be a U.S. citizen;
- be employed and have a reliable source of income;
- have a checking account;
- have a valid email address and phone number.
Advantages of WI auto loans
Let’s consider the main advantages of applying to a private financial company for a loan secured by a car title:
- The lendier provides the client with money on the security of documents for the car, but the vehicle itself remains in the use of its owner. This is very beneficial as a client can continue to operate without leaving it in the lender’s parking lot.
- The interest rate for the use of borrowed funds is lower than for issuing a personal loan in bank. As you know, the more valuable the collateral, the higher the loan amount and the lower the agreement service fee.
- Maximum transparency of the transaction. Transferring a car to a company is not only unprofitable, but also difficult. When the title is pledged, these problems disappear. The deal is made quickly, the terms are as simple and clear as possible.
- High loan amount. The limit may depend on the assessment of the vehicle, that is, it will be large, but the borrower will send only documents as collateral.
- A minimum of documents for application. There is no need to look for a certificate of income, negotiate with the authorities about possible calls, ask relatives to confirm some information – the deal does not imply the need to involve third parties.
- The credit history, which is kept in credit bureau or in banks, does not play any role. All borrowers who take out a title loan in Wisconsin have equal terms and chances.
- There are not so many negative points as advantages. It is also worth noting that the advantage of this form of lending is the ability to repay debts ahead of schedule and pick up a title.
- The decision is usually made in 24 business hours – the representatives of the auto lender inform the potential client what terms the organization can offer him.
How is the procedure a title loan conducted?
You submit an application to the lending companies on the website, through a mobile application or a hotline. A company’s employee contacts you and offers to undergo a vehicle assessment. You choose: independently get to the office, send documents online or invite a manager to a place convenient for you.
The expert evaluates the appearance, working condition, make of the car, mileage and year of car manufacture. Usually the amount of a title loan is not over 70-80% of the car’s market value. You sign an agreement and transfer the title to the lender – the document will be stored there while the agreement is legal.
Reasons for refusing a title loanin WI?
Loan approval depends on the vehicle category. Typically, title lending companies work only with individuals (sometimes with individual entrepreneurs) and do not issue loans for titles of commercial vehicles, trucks and special equipment.
You may also be denied a title loan if you have:
- car age over 5-10 years old;
- there are fines for traffic violations.