Reasons Why You Might Need A Registration Loan Instead of A Title Loan
When people want to borrow cash, there are several options available to them. Two of these options involve either borrowing against your vehicle’s value or using the title as collateral. You can either choose between a title loan or a registration loan in Arizona.
While either loan can be an option to help you get the cash that you need to cover emergency expenses, they function in slightly different ways. This means one option may be better for you than another.
An Overview of Arizona Title Loans
Arizona title loans are when you borrow cash by using the vehicle’s title as collateral. Fast Auto Loans, Inc. can provide title loans between $300 and $15,000. In order to obtain a title loan, you need three things:
- A driver’s license or state-issued photo ID;
- A lien-free title to your vehicle to use as collateral;
- Your vehicle for inspection to determine how much you could get.
Keep in mind that you must finish paying off your vehicle and have the title in your name prior to coming in for a title loan.
An Overview of Arizona Registration Loans
A registration loan is a loan that you get regardless of whether you’ve finished paying off your vehicle or not. Plus you do not need to have anything put up as collateral for this kind of loan. This loan considers your vehicle’s equity instead. The items you need to obtain a registration loan is as follows:
- A driver’s license or government-issued photo ID;
- The registration to your vehicle;
- An active checking account in your name;
- A valid social security number.
That's it. You don't need to bring your vehicle in for inspection at all. You just need to provide these items and you can get through our simple process. With this loan, you can get up to $900.
When Is A Registration Loan A Better Option Than A Title Loan?
Now that you know what each loan is, you can now go on to see just when a registration loan might be a better option. There are several times when a registration loan could be a better option than a title loan. Here is what you need to know to make your decision.
You Don't Have The Full Title To Your Vehicle
A title loan requires that you have a lien-free title in your name. This means that if there is any financing that you have yet to pay off on your vehicle, then you cannot obtain a title loan.
This doesn't matter with a registration loan. The loan is issued using the registration of your vehicle and considers its equity. Even if you have financing still due on your vehicle, you will have 100% ownership over the registration.
You Can't Drive Your Vehicle
As we do not need to inspect your vehicle for a registration loan, you don't need to be able to drive your vehicle. This means that a registration loan could be an option for those that want to borrow cash against a vehicle, but can’t – for whatever reason – drive the actual vehicle over. Just make sure you do have a license or state-issued ID.
You Need To Borrow Smaller Sums Of Cash
Registration loans will be for smaller sums of cash than a title loan. Since both loans are designed to help cover emergency expenses, it is likely that you want to keep the amount that you want to borrow to the absolute minimum.
There is no sense in borrowing a lot of cash against the title of your vehicle when you only need to borrow a small amount of cash against the registration of the vehicle. Since you are borrowing smaller sums of cash, the debt will likely be faster to pay back as well.
Your Vehicle Can't Be InspectedWhen you take out a title loan, you need to have your vehicle inspected. This is to check what the overall value of the vehicle is. You don't need to worry about that with a registration loan. You only need to worry about bringing the registration along.
This means that a registration loan could be an option for those that need vital repairs carried out to their vehicle. These are repairs that could potentially impact how much somebody is going to be able to borrow.
Fast Auto Loans, Inc. Could Be An Option For A Registration Loan
Fast Auto Loans, Inc. can be an option for those that need a registration loan to cover emergency expenses such as:
- Medical bills;
- Traffic tickets that are on the brink of being sent to collections;
- Prevent rent from going late;
- Repairs to a vehicle;
Our process can take as little as 30 minutes to complete. The inquiry process can be started online. One of our agents will then talk to you. You then need to head to one of our locations with the required items.
We will assess your items and determine if you qualify for approval and for how much. If you are approved for a registration loan, then you could potentially receive your cash the same day. This can help meet emergency expenses sooner rather than later.
Inquire About A Registration Loan Today
If you want to borrow money against the value of your vehicle but the vehicle still has outstanding finance on it, then a registration loan could be an option. Fast Auto Loans, Inc. can provide a registration loan of up to $900 in just 30-minutes. It all begins by filling in the short inquiry form on our website.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.