Title Loans in Nebraska: All You Need to Know
Are you strapped for money right now? Do you need fast cash? Do you own a car?
If your answer to these three questions is yes, then we've got all you need to know about title loans in Nebraska right here.
How to Apply for Online Title Loans in Nebraska in Five Easy Steps
It's simple to apply for a Nebraska title loan. Follow these five easy steps to get your emergency cash quickly.
Step 1: Prepare
Before you even start to look for car title loan firms online, there are some documents and items you need to prepare. You need:
- Stable internet access
- A personal computer
- Car titles of the cars you own
- Pictures of the car/s
- Bank statements proving you have monthly income (NOTE: This isn't required, but it depends on the loan agent or firm)
- A Nebraska-issued government ID
- Proof of vehicle registration and insurance
- Express written consent as you're applying online
Ensure that when you prepare these documents and items, you prepare them in soft-copy format, as you'll be submitting them online.
IMPORTANT NOTE: If you want to get the fastest approval possible, prepare these documents ahead of time. Pending review, Nebraska title loans can have same-day approval (same business day).
Step 2: Look for a Nebraska Title Loan Firm
The second step in finding the best title loan is finding the right firm to connect you with the best lender.
Most business-owned firms offer online title loan applications but always double-check. You'll also want to check customer reviews to see if they're a reputable company.
Look for three to five options and compare their interest rates, payment plan terms, prepayment penalties, and flexibility with payment deadlines.
Choose one that fits your needs and preferences.
REMEMBER: Not all Nebraska title loan lenders are created equal. Some charge ridiculous interest rates or are overly strict on payment terms. Choose wisely.
Step 3: Fill Out the Online Form
When you've chosen your Nebraska car title loan firm, go to their website and look for their online title loan application.
Don't worry if they ask for some personal information, like your name or address, as these are required documents that the firm needs for the loan approval.
Please fill out the application form and submit it when you're done.
CONSIDER: Before starting the application, look for your car title. If the car was a hand-me-down or a gift, the title could have someone else's name or a joint name. You can only get loans if your name is on the title.
Step 4: Send Over the Required Documents
The application process involves sending documents to the Nebraska car title loan firm. Prepare these documents and ensure that they're easy to read.
Send the documents as requested. The title loan firm will check these to see if the consumer qualifies for the loan.
If they're scanned documents, they need to be in widely compatible formats like JPEG, PNG, Word Document, or PDF formats.
PRO TIP: If you're trying to scan documents but don't have a scanner at home, try using your phone's scanner app or the scanner feature in the Notes app on iPhones.
Step 5: Receive Your Cash
Once your car title loan has passed final approval, you'll have a funding time waiting period from within a business day to a few business days.
You can have the loan proceeds transferred to your bank account through direct deposit when approved.
TAKE NOTE: Check the Nebraska title loan website to see if they offer instant approval. This means you can get your cash right nearly instantly after submitting your application.
Benefits of Getting a Title Loan in Nebraska
There are a lot of advantages to getting a title loan in Nebraska, as it is a quick way to help you get back on your feet financially.
Approval Rates Are High and Fast
For Nebraska residents, as long as you have a vehicle title in your name, you can apply for a loan with a high chance of getting it approved.
Firms are so quick to approve vehicle title loans that some even offer same-day approval (same business day).
This will encourage consumers to apply for the loan and immediately get the much-needed emergency cash.
REMEMBER: Same-day approvals are offered by many auto title loan firms. Complete and submit your application earlier in the day if you want to avail of this.
Bad Credit History Doesn't Mean You Can't Get an Auto Title Loan.
Credit checks are done to see if you can demonstrate the ability to make payments. In other types of loans, conditional approval is usually the case.
For other types of loans, if it is found that you have a poor credit history, your application may not be approved.
Compared to other types of loans like personal loans, auto title loans don't need a credit check. You can quickly get a vehicle title loan even with bad credit.
This is because the lender directly has access to your vehicle as collateral if you can't make payments.
Payday loans are an excellent alternative to title loans that don't require good credit.
KEEP IN MIND: While not required by federal laws, Nebraska title loan firms, depending on the lender's credit criteria, may still perform a credit check. This can affect the actual loan amount or how much cash you get.
Interest Rates Can Automatically Decrease During Your Loan Term
Car title loans in Nebraska have a great perk. As you pay back your title loan, the interest rate will automatically decrease over time.
This means that the total amount you will pay back will get lower each time you make payment.
Therefore, your last payment will have a significantly reduced interest compared to your first payment.
CHECK: Look at the auto title loan firm's website to check if they offer this. It's a great feature that will help you save more money.
No Prepayment Fees; in Fact, There Are Perks if You Pay Early
Some states have prepayment fees if you can and want to pay off car title loans earlier. You must pay these additional fees on top of the standard term payments.
The great thing about Nebraska auto title loans is that there are no prepayment fees, and most firms offer discounts on the interest when you do.
Therefore, if you usually can pay loans ahead of time, you should consider getting a title loan in Nebraska.
REMEMBER: This will also help save you money when coupled with the automatic loan interest rate reduction mentioned earlier.
You Can Keep Using Your Car as You Pay Back the Title Loan
The best part of all this is that you don't need to change any part of your lifestyle when it comes to travel. This is because you can still use the car during the loan duration.
Other types of loans may require you to, for example, vacate your home or give jewelry to the lender for them to approve the loan, but not title loans.
Once you've paid off the entire loan plus the interest, you will receive your auto title. The best part is that you've still been using your car as usual for the whole time. Isn't that great?
KEEP IN MIND: Receiving the title to your car may take a bit longer if the term ends on the weekend, as the lender may only be able to return it on business days.
Disadvantages of Nebraska Title Loans
Although title loans are an excellent option for most people, it's not all sunshine and rainbows.
When deciding whether to get a title loan or not, you must consider these things carefully before making that decision.
Short Loan Terms
Nebraska title loans generally have short loan terms - how long you will have to pay back the cash loan you received.
The maximum loan term is only 31 days or a month. This is because the state sees title loans as short-term emergency loans.
Therefore, you'd be better off looking elsewhere if you need a longer loan term than one month. If you can pay within a month, then you can apply.
CONSIDER: If you still need a title loan for a longer term, try looking at the regulations in Nebraska-nearby states like South Dakota, Missouri, Iowa, or Colorado.
Risk of Car Repossession
The worst thing that can happen if you can't make your previous or last payment is that the title loan firm can repossess your car.
Repossession is when your vehicle is taken from you legally, as the title loans company owns the vehicle title to it.
If you don't respond to the pre-recorded messages from the lender, they may start to look for the qualifying vehicle you used for the loan.
When they take your car as collateral for the loan, it's seen as providing acceptable property in place of payment and not bothering you any further. However, you've lost your car!
REMEMBER: Make good credit decisions. Avoid getting title loans if you cannot pay back the loan agent every payment term. There are other ways to get cash loans at a competitive rate.
Risk of Getting Into a Debt Cycle
A debt cycle is when you can't pay your current debt and have to keep refinancing your debt over and over again.
If you keep refinancing with worse interest terms than the previous loan, you may not be able to pay it back. This can happen with title loans.
PRO TIP: If you're in this situation right now, try to focus on finding lenders that will agree to lower interest than your current one. This will make the total amount you need to pay less overall.
Alternatives to Title Loans
If you've seen the challenges with title loans and decided that it isn't for you, we have a few suggestions to help you.
A payday loan, also called a cash advance loan, is taking a loan, the amount of which is a portion of what your employer will pay you.
You will then pay back the total amount plus interest for a number of set payment terms until you have fully paid for the loan.
A payday loan is one of the closest alternatives to title loans because they don't require good credit to apply for.
This is because, just like title loans, lenders have a concrete, valuable item guaranteed if you can't pay, which in this case is your salary.
The biggest downside of a payday loan is that it's easier to fall into a debt trap - meaning you take out loans to pay for the due loans.
This is because interest rates are usually very high.
However, it is still a good option if you really need extra cash and can pay the total amount plus interest back.
WARNING: Unlike title loans, this option is more dangerous because the lender may take portions of your salary if you can't pay the loan. This means you'll have less money to spend on living expenses.
A personal loan is a loan you can use for any purpose. You can get this from banks or online lender firms.
These loans can be either secured or unsecured, meaning you will either be required to provide an item as collateral or not, depending on the organization lending you the money.
They can also vary significantly on the APR (Annual Percentage Rate), fees, repayment terms, and minimum/maximum amounts.
The most significant difference between personal and title loans is that personal loans often require credit checks to demonstrate ability to pay while title loans don't.
You'll want to consider this because many people look at title loans because they don't need good credit to be quickly approved when they apply.
TAKE: You should consider personal loans a great alternative to title loans if you already have good credit. This is because you can find great deals where you don't have to put up anything as collateral.
Frequently Asked Questions
We know you still have a few questions about car title loans. We've answered the most frequently asked ones below.
What Are the Maximums and Minimums?
Here are a few facts about the minimums and maximums of title loans:
The maximum loan amount is $500.
There is no minimum loan amount. (NOTE: The minimum loan amounts vary depending on the title loan firm.)
The maximum and the minimum payment term is 31 days.
The maximum annual percentage rate is 288%.
KEEP IN MIND: Title loans are intended primarily for emergency cash, so the maximum can't be high. Therefore, you're better off looking at other types of loans if you need more money.
Are Online Title Loans Unsafe?
Online title loans are very safe. This is because all data between title lenders and borrowers are encrypted and not shared with third-party entities.
It is also safer for everyone involved because there's no need to go out and be exposed to other people at a time when multiple contagious viruses are out there.
CONSIDER: Online applications are safe, especially if you choose a trusted website with many positive reviews. Also, choose to receive cash through Direct deposit into your bank account, as it's the safest option.
Can My Application for a Loan Be Denied?
While the chance of being denied is rare, it can still happen. Some lenders can be very picky with credit scores.
You also may be denied the loan if you aren't eligible, don't meet the requirements, or don't provide important documents for requesting a loan.
A good example is if the vehicle title you provided doesn't have your name on it.
This is non-negotiable because no lender will deal with you as they can't confirm if you're the actual owner of the car.
REMEMBER: Lenders are mostly understanding and can adjust terms at your request, but you at least need to make the initial application properly. There are some legal requirements required for the loan.
Are Title Loans Good if I Can't Pay Within a Month?
No, they are not. Title loans are only for people who can pay within 31 days, as that's the minimum and maximum loan term in Nebraska.
Title loans are meant to be short-term loans, as the loan amount limit is also not too high.
TRY THIS: If you need a longer-term loan period, try looking for title loans in nearby states or alternative kinds of loans.
How Do You Negotiate a Title Loan?
There are a couple of things to consider when you negotiate your loan.
Suppose you're currently in good standing with the lender in making payments. In that case, you can try negotiating for lower interest or more frequent or spread-out payment periods.
If you're nearing the end of your current loan, you can also try refinancing the existing loan. You have to extend it if you need more time to pay.
PRO TIP: Whenever you negotiate, always try to get lower interest over longer payment terms. If you extend the payment terms with worse interest, you'll pay much more than the original agreement.
What if My Car Is Very Old? Will It Still Be Accepted?
Here's the tricky part. Some firms accept a wide variety of cars of all ages. However, other firms may not accept cars older than those made in 2000.
Even if your car does get accepted, the cash loan that the firm will give you may be not what you expect.
This is why checking each firm's website thoroughly is crucial, especially if your car is older.
WARNING: If your car is heavily damaged or has many technical issues, it may either be rejected or have a meager loan amount approved. You can't avoid this as car checks are mandatory for loan approval.
Do I Need to Go to the Title Loan Firm to Get My Car Evaluated for the Loan?
It depends on the firm, as some firms allow this process to be done online by sending them pictures, videos, and extra documents proving the condition of your car.
Other firms will either send someone to your home to look at the car or ask you to bring the vehicle to them for evaluation.
The important thing is to check the firm's policy when it comes to evaluating vehicles.
REMEMBER: The lenders may be particular in checking your car thoroughly as this matters more than a credit check. This is because the money you will receive is based on the car's value.
Apply for a Nebraska Title Loan Today
Getting a title loan in Nebraska isn't very difficult, especially if you do so online. It's safer, more convenient, and saves you a lot of time.
However, there are still many things to consider before picking up your laptop and surfing the web for the best title loan deals.
As long as you can pay the loan back by the end of a month, and don't need more than $500, then getting a title loan could be a great way of getting cash fast.
Follow our guide on applying for the loan, and you may receive your cash by the next day!
Now that you have so much more knowledge about title loans, you should get a Nebraska title loan today!