Title Loans in Largo, Florida
It is very difficult to meet a sudden financial obligation, if you are living a paycheck-to-paycheck life. Your salary is mostly spent on day-to-day basic needs of your family. Therefore, there is less scope to maintain regular saving. During an emergency situation, you most probably get tensed as you don’t have sufficient funds to address the problem. In such a situation in Largo, Florida, a title loan plays a pivotal role in bailing you out of the crisis.
Title Loans – An Easy Way to Acquire Instant Cash
A title loan is a unique financial solution, which has received an overwhelming response among the residents of Largo. This short-term loan enables you to acquire cash instantly without undergoing a lengthy and drawn-out approval process. The forte of title loan is that it does not discriminate a borrower on the basis of his/her credit score. Hence, you can easily obtain the loan, even though your credit profile is not at all satisfactory. A title loan is a secured loan that you can obtain by keeping the title of your vehicle as collateral. It is known by different names such as a car title loan, auto title loan, auto-equity loan and vehicle title loan.
You must permit a title loan company to place a lien on your vehicle title and temporarily give in the title paper of your vehicle for the loan amount. The best part of the Largo title loan is that it allows you to retain the vehicle and enjoy its normal drive all through the repayment period. The lenders evaluate the value of your vehicle with a quick inspection and fix the loan amount. Generally, the title lenders in Largo provide more than 50% value of your vehicle.
What You Need To Apply For A Largo Title Loan?
Acquiring a title loan in Florida is quite easy. If you are above 18 years old and own a lien-free vehicle title, you are eligible for the loan. In order to get this instant loan, you need to fill in the application form and submit the required documents. The lender will inspect your vehicle in 5 minutes and inform you about the title loan quote. The whole process hardly takes more than 30 minutes. However, it is important to consider certain points before applying for a title loan.
- Develop a better understanding of laws related to title loans
- Make proper evaluation to find the value of your vehicle
- Do online research to find out the reliable lender
- Understand various interest rates for title loans
- Critically analyze all the terms and conditions
- Compare loan offers by different companies
- Get familiar with repayment options
Title Loans Laws Applicable in Largo, Florida
- Florida Title Loan Act (Chapter 537 – Florida Statutes) – The Act mandates lenders to be licensed by the State Office of Financial Regulation. It also requires the borrower and lender to sign a written agreement before the loan is given out.
- Chapter 516 – Several lenders get licensed under this chapter. Provision hereunder governs the consumer lending in general and are not just restricted to title loans. However, it does offer consumer protection with respect to title loan transactions.
- As per the law, the maximum interest that can be charged on title loans in Florida is 30% on the first $2,000 borrowed, 25% on amounts exceeding $2,000 up to $3,000, and 18% on any sum more than $3,000.
- Interest has to be calculated as annual simple interest and cannot be compounded. If a lender deliberately charges interest more than the permitted rate, the title loan agreement becomes void and the lender loses any right to collect any amounts, including the principal, owed on the loan.
- The repayment term is limited to 30 days as per Chapter 537 but this can be extended for another 30-days period if both parties agree in writing. The interest rate levied for any extension cannot surpass the rate mentioned in the original agreement.
- The lender is prohibited from charging a prepayment penalty.