May 20th, 2019 | Updated on June 3rd, 2021
Getting a loan in a hurry can be a challenge if you have less than perfect credit. Lenders are leery to hand out money to those with a low credit score. If you haven’t established any credit yet, you could run into problems finding a lender too.
A secured loan is an opportunity to get cash when you need it regardless of your credit issues. If you have an asset that you can put up as collateral against your loan, you can get approved in less than a day. Get the money that you need for those unexpected expenses that seem to come up at the worst possible times.
Whether you apply for a car title loan, truck title loan or another form of collateral loan the process is quick and easy. If you need money in a hurry, here’s what you need to do to qualify for a secured loan.
1. Choose A Lender
Traditional banks and credit unions will often negotiate a secured loan, but you may need to meet strict credit guidelines. If credit is an issue for you, your best bet may be a private lender. The terms may even be more flexible. Your interest rates may be a bit higher, but that is the price of the convenience of a no-hassle quick loan.
2. Choose Your Collateral
A secured loan relies on you putting up an asset to guarantee your loan. Lenders are much more comfortable with the risks of lending to you if you have poor credit if they have some way to ensure repayment.
If you own your own vehicle, boat, RV or investment portfolio you can put any of these items up against the amount that you borrow. Your asset will go through a professional appraisal process to determine the amount of your loan. The condition, age and market value of the item will all be taken into consideration.
3. Fill Out The Application
A secured loan requires much less paperwork and red tape than a traditional loan. When you fill out the application for a secured title loan you will only need a minimum of information. Your personal contact information and proof of a reliable and consistent income is pretty much all you will need. You will need to be at least 18 years old and a resident in your state to qualify.
4. Get Cash Fast
Once your asset has been appraised, you will often be able to get a check and be on your way in just one day. If you need money for emergency bills, medical costs or whatever you want it for, you can get a lump sum payment in just a few hours. As long as you continue to meet your repayment obligations, you will keep ownership of your collateral item.
This means that if you put up your car for your secured loan, you will still be able to use it as normal unless you default on your loan. If you cannot honor your repayment terms, the lender will take over ownership of your collateral item.