Title loans in Arlington Virginia: A Full Guide
If you need fast cash, own a car, and are a resident of Arlington, Virginia, you might be interested in getting title loans.
However, you should think twice before you do since they can cost really high! After all, title loans commonly come with extra fees and high-interest rates.
This article serves as a simple guide to everything you need to know about title loans.
So without further ado, let’s begin.
What Is a Title Loan?
In a nutshell, title loans are loans granted to borrowers in exchange for their car titles.
Your vehicle will be used as collateral, meaning you need to pay your loan in full and on time; otherwise, your car may be taken away from you.
Obviously, this sort of loan is risky, especially when you’re uncertain of your financial capacity.
More importantly, when you can’t afford to lose any of your property, such as your car!
An exception to this is if you’re truly confident about having to pay a certain sum of money on an agreed due date, then this wouldn’t be a problem.
Why Should You Apply for Car Title Loans in Arlington, Virginia?
Many people depend on loans, especially when they need emergency cash.
Fortunately, as Arlington residents, you and your folks won’t need to travel far to get quick financial assistance!
You can find multiple loan services where you are and even have the option to apply online!
Getting Arlington title loans is one of the most convenient and easiest ways to get the funds you need in no time.
But before you get ahead of yourself, let’s go over the required documents and qualifications you need to get started.
Requirements for Title Loans in Arlington, Virginia
The quantity and types of requirements for car title loans would vary depending on your chosen lender.
Below is a list of possible requirements you might need to prepare.
As long as you have them ready with you, rest assured you’ll be granted a title loan in Arlington, Virginia.
1. Original Car Title
To obtain title loans, you must have an original copy of your car title that proves your sole ownership of your vehicle.
2. Government-Issued ID
Your valid ID should exactly match the name indicated in your car title for it to be accepted.
3. Recent Documentation to Prove Arlington Residency
You can submit your utility bill, driver’s license, or any documentation that proves your residency in Arlington, Virginia.
Note that the name on your documentation should also match the name on your car title.
4. Latest Vehicle Registration
In Arlington, Virginia, you need to renew your vehicle registration every after 2 years.
Make sure to show your latest vehicle registration.
If it turns out to be expired, you might have a hard time finding a lender to grant you a loan.
5. Proof of Vehicle Insurance
Of course, your vehicle registration should also come with insurance for you to be considered by lenders.
6. Recent Documentation to Prove Financial Capability
It can be your bank statement, a copy of your living expenses, or anything that shows you’re fluid with money.
Although other lenders do not require you to show your credit history, it’s good to keep such documentation in handy.
7. Duplicate Vehicle Keys
Some small businesses and lenders in Arlington, Virginia, require borrowers to provide a duplicate of their car keys.
In case you fail to pay the loan, your vehicle will be repossessed.
8. GPS Tracking Device
One of the ways lenders ensure car ownership once borrowers default is by requiring a GPS tracking device to be attached to their vehicle.
If you’re fortunate, you might come across a lender in Arlington, VA, who has more lenient terms!
9. Car Information
A couple of essential things lenders might ask you once you request an auto title loan is your vehicle information.
These pieces of information are typically used to help lenders measure the current equity of your car.
Here are the following:
- Model
- Year Made
- Current Mileage
- Current Condition
Note that lenders might also ask for recent photos of your vehicle too.
Qualifications to Getting Car Title Loans in Arlington
Now that you know the usual requirements when taking title loans, it’s also essential to check if you pass the ideal qualifications of a common borrower.
You can refer to them below.
1. Age 18 and Above
Obviously, you need to be at an appropriate age for you to avail of auto title loans.
As legal adults, having a regular source of income will also be eyed in order to ensure that you’re capable of paying your loan amount.
You can express written consent to certify that you are at least 18 years of age, followed by providing your contact information in your application form.
This can help lenders keep in touch with you via text message or mail.
2. Must be a US Resident
If you’re planning to get Arlington car title loans, you must be a citizen residing in Arlington to begin with.
In addition, many lenders prefer granting money to borrowers who are permanent residents within the vicinity of Virginia.
This explains why it’s a common requirement to submit addresses and documents to prove your Arlington residency.
3. Have a Car in Good Shape
Even if you have all the requirements needed to get a title loan, one of the most important things is having your car in good condition.
This will help strengthen your eligibility to get a title loan during the approval process.
How to Apply for a Title Loan in Arlington, Virginia: Step-by-Step Process
Applying for a title loan in Arlington, Virginia, is actually very simple!
Once you’ve settled and considered all possible requirements and qualifications, you can expect things to flow easily for you.
Here are four quick steps so you can finally get Arlington title loans:
1. Find Good Title Loan Providers
As a borrower, it’s ideal to find a lender who is professional, easygoing, and will likely consider granting you a loan in simpler conditions.
REMEMBER: Always choose title loan providers who offer sufficient funds with payment times that are convenient for you.
You can access tons of online title loans in Arlington, Virginia while having the option to visit actual offices within the area as well.
If you can’t reach them from home, you can leave voicemail messages or pre-recorded messages and wait for their response.
2. Submit Your Application and All Needed Requirements
For convenience, you can apply online to get a car title loan.
Luckily, most companies and individual lenders in Arlington, Virginia, already indicate all basic documents they need from you on their sites during the pre-approval period.
- These may include your vehicle title, vehicle information, government ID, credit history, credit information or bank statements, proof of residency, and a payment schedule that works for you.
One great perk about having to apply online is that you get to receive responses faster! You can expect to get updates as quickly as the next business day.
3. Prepare for Inspections
Before car title loan lenders finally make the decision to grant you the funds, expect that they will make quick inspections on the following:
- Your Qualifying Vehicle
- Your Income Stability
With this, it’s a must that you have all the details about your car, such as the model, vehicle year, and vehicle title.
Moreover, you must have good credit or, if not, at least some proof that you have a stable source of income to back you up.
Note that getting pre-approved doesn’t fully certify your chances of getting a title loan.
Typically it would just mean that your application is yet under pending review.
4. Wait for the Cash
Now, this is the best part!
Once you receive a contract from your lender, make sure you read the fine print carefully before you sign.
Be mindful of the implemented interest rates, the time period provided for payment, and other terms that should be inlined with your agreement.
After having signed the contract, wait for the final approval! Title loan lenders in Arlington, VA, usually provide money as soon as needed.
The Pros and Cons of Taking Arlington Title Loans
We’ve already discussed so much about title loans and how you can fulfill them in Arlington, VA.
Hence, now’s the time that we assess its set of advantages and disadvantages.
This will help set your expectations with title loans and hopefully get you to decide if it’s the kind of risk you’re willing to take!
Pros
1. Apply Online, Get Money Fast
Getting title loans in Arlington, VA, is usually a quick and easy task since most lenders within the area can also be found online.
This makes it a time and cost-efficient process wherein you can get your money instantly after approval!
Depending on your chosen lender, this would normally take as fast as the next business day or hours.
2. Continue Using Your Car
One of the most common misconceptions when getting an Arlington title loan is that borrowers won’t be able to access their car.
Fact is, you still can!
Title loans are called title loans for a reason, and that’s because you’re only exchanging the title of your car to receive a loan.
If you’re unable to pay your debt on the agreed due date to your lender, that’s only the time when you won’t have access to your car anymore.. and that comes permanently!
3. Simple Transactions
Right after you submit your requirements and get qualification checks, the approval process may take as fast as one business day until your money is sent through direct deposit.
It’s common in Arlington, Virginia, to make instant approval.
Just let your lender know how much cash you need, and you will also receive a clear quotation of your loan amount payable within a proposed time period.
Cons
1. High Costs
Title loans are generally expensive since they usually have an average monthly finance fee of 25%, which equates to an APR of a whopping 300%!
Although you can expect good transparency behind the costs you need to make in Arlington, there are also a few hidden fees that would increase the maturity value of your loan.
These fees would include the expenses made to process, document, and originate a loan.
Moreover, the interest rate itself is already high as it is, especially if you’re applying for a short-term loan.
2. Short Term Loans Means a Sooner Due Date
If you get short-term Arlington title loans, the common time a lender would require you to pay back can go from a minimum of 15 and a maximum of 30 days.
This can pose a big risk, especially if you don’t have a good source of income to help you pay back sufficiently with interest and add-on fees.
In a shorter time frame, many title-loan borrowers tend to renew or rollover their loans when they find that they won’t be able to repay punctually.
This can cause financing to grow more expensive!
Fortunately, there are lenders in Arlington Virginia who can provide you with a more generous time frame ranging up to 120 days.
But these lenders usually require a credit check or a bank account when you apply to ensure that you’re capable of paying them back.
FYI: Your credit check would reveal your open lines of credit, outstanding balances, other loans, payment records, and collection accounts.
3. Your Car Can Be Re-owned
When you avail of Arlington title loans, you’re asking for your property, specifically your car, to serve as collateral in case you won’t be able to repay.
This just means that your lender has the right to repossess your vehicle in order to recuperate money from your default.
They may ask you for a duplicate of your keys, or have a GPS or starter interrupt device installed in your car so they can locate your vehicle and disable its ignition system remotely.
For Arlington, Virginia residents, this may be a common requirement made by lenders to make the repossession process easier.
Alternatives to Taking a Title Loan in Arlington, Virginia
If you don’t feel like getting an Arlington title loan is for you, there are other types of loans that are also made accessible where you won’t have to risk your vehicle’s title.
Below are the following.
Payday Loans
Getting a payday loan is quite similar to getting a title loan since they both usually run on a shorter time frame where you can instantly get cash via direct deposit.
The only difference is that, instead of surrendering your vehicle’s title as you receive a loan, you make a commitment to repaying once you receive your paycheck from your job.
So, how does it work?
- You provide your lender a personal check for the amount you want to borrow as well as the fees indicated by your lender.
- Through this, in case you’re incapable of paying the loan on time, the lender can freely cash the check or have your account debited digitally.
- Note that with this kind of loan, you can borrow at least $500 cash without having to worry much about your bank or checking account to qualify.
This is since most payday loan lenders nowadays are more lenient compared to title loan lenders since they accept borrowers who have bad credit.
Lenders in Arlington, Virginia, provide a fast Payday advance wherein you get cash hours or even minutes after filling up their application form and submitting a few requirements!
The downside of getting payday loans is that they can be pretty expensive too.
Expect that lenders would usually charge you around $10 to $30 every time you borrow $100.
It also comes with a shorter time frame which makes it more difficult to prepare a complete payment for your loan amount before the agreed due date.
Unsecured Personal Loans
There are multiple business-owned sites where you can locate unsecured loan lenders in Arlington.
Additionally, there are banks and credit unions around Arlington that offer this type of loan too!
The good thing about an unsecured loan is that, unlike a title loan, you get a chance to receive instant cash while having ZERO property put as collateral.
It’s also a much more flexible alternative since it offers repayment terms when needed.
You might be wondering why some lenders are willing to provide unsecured loans?
Unsecured loan lenders usually make detailed assessments to check if you can afford to repay a loan.
That being said, you might not qualify for this sort of loan if you do not have a positive credit history or if you don’t have proof of having a stable income.
Since lenders are brought on an increased level of risk of not getting repaid, this equates to a higher rate for you too.
Here, you can expect the interest to be much greater than any other mature loan amount in exchange for keeping your property as your own.
Frequently Asked Questions
If you have other questions about Arlington title loans, you can refer to the following section!
Are Other Loans Better Than Title Loans in Arlington?
Payday and unsecured loans are some of the most popular kinds you can choose from.
They may offer you more flexible and lenient terms in contrast to getting title loans, but be mindful that they can also cost much more.
A good credit report may be sought by lenders in these sorts of loans, and they usually require proof that you’re regularly earning too.
How Can I Get Loans Easier?
Some other loans are actually much simpler to get.
You can apply for a credit card or directly request a loan from close friends and family members.
With a credit card, you can get approved for a certain credit limit.
Although it can accrue costs over time, it’s also seen as a wise alternative to title loans since it does have a much lower interest rate.
As for asking for loans from your loved ones, it can help you save more money to repay them since they’re less likely to impose interest rates that are too high.
You can professionally agree on terms such as dues and values that work well for both ends.
Remember to ask with caution, given that you won’t want to get your finances intertwined with your personal relationships!
Conclusion
Fortunately, residents in Arlington, Virginia, have many loan options available to them in case they struggle to make ends meet financially.
In fact, there are map displays showing numerous lending sites present in Arlington.
One of these options is obtaining a title loan, which you can easily get from a local lender online.
When we talk about this sort of loan, we understand that lenders dispatch loan proceeds or partial cash to borrowers during funding time in exchange for their vehicle title.
Some borrowers in Arlington may find collaterals such as this uncomfortable, and if you’re one of them, there are other forms of loans you can shift to as an alternative.
Explore your options and choose a loan that works best for you. Good luck!