Car title loans are a saving grace for many in desperate times. Since it will not help you during a job loss because you have to provide proof of income, other means of obtaining funds would have to be used in that instance. Auto title loans must be on vehicles that are paid off and have a clear title. The repayment plans for these loans are an installment type of loan where you pay back smaller amounts over a spread out period of time.
Emergency Medical Treatment
If you or an immediate family member has a medical emergency that requires payment immediately, an auto title loan can be obtained rather quickly to get the funds that you need. Services such as having a cast put on, requiring special testing, and an unplanned doctor’s appointment or to pay for expensive medication may require more funds than you have available. Medications can cost hundreds, for a single prescription.
An unexpected death in the family may require travel. The fastest way to get to your family is flying. While some airlines do offer bereavement fares, they are really not a big discount at all. Your best bet of obtaining the funds you need is to obtain a car title loan. The additional amount over the cost of your plane ticket can be used for expenses while you are with your family or can be saved for your return home to help supplement the deduction in pay if your employer does not offer bereavement pay.
If an emergency or job loss of your spouse has left you short or completely unable to make rent and mortgage payments, an auto title loan is a good option. Depending on the value of your vehicle, you may be able to borrow enough to make two or three payments to help get ahead a little. The additional funds after making the payment might help with groceries if you are also struggling to put food on the table.
Cover Utility Disconnections
Utilities, especially in the summer and winter months, can get quite expensive. The significant increase can really cause a big strain and you may even end up not being able to pay. Of course, there are assistance programs in most local areas, but these do have income restrictions and are often out of funds. The car title loan can help to provide the funds you need to pay these high bills and help you get ahead a little bit.
Car title loans should not be used for frivolous reasons such as vacations, to go gambling or just for some retail therapy. Use these loans responsibly and remember there are requirements for such loans. Irresponsible borrowing leads to unneeded debt, and eventually it piles up. Yes, these loans are for emergency purposes but you have to determine what a real emergency is. Flying out to see the last concert by your favorite music band is not an emergency, just as an example. When you have bad credit and your car is the only thing of real value that you own, consider the car title loan.