Title Loans in Pasadena, TX
With traditional financial institutions tightening their lending norms, car title loans Pasadena has emerged as an alternative source for the people in the city of Pasadena, Texas to raise money conveniently to address their unpredictable financial challenges. A title loan is given based on the equity in a customer’s vehicle with an attractive rate of interest and easy repayment options. In Pasadena, Texas, there are various companies offering car title loans within just a few hours without the requirement of much paperwork.
What are Car Title Loans?
A car title loan in Texas is a secured short-term loan, which can be acquired by using the vehicle title as collateral. The borrower in exchange for the loan amount has to temporarily surrender the hard copy of his/her car title as a security interest. However, the borrower doesn’t need to give up driving the vehicle, which is used as lien for the loan. Once the loan is repaid, the car title is given back to its rightful owner. The perk of such a loan is that it does not take into account count the credit score of the borrower.
How to Obtain Car Title Loans in Pasadena, Texas?
In Pasadena, Texas, obtaining a car title loan is not a daunting task. The car title lenders have completely simplified the entire process of securing a title loan. Following are the documents that a borrower has to submit to obtain a car title loan online.
- Age proof certificate, claiming that a borrower is 18 years or above
- Government-issued ID proof
- Vehicle registration number
- Monthly income proof
- A lien-free vehicle
- Driving license
Important Points to be Noted While Applying for Title Loan:
Let’s face; a title loan is an instant financial solution for the financially-challenged people, but there are certain key points that must be kept in mind before taking out a title loan in Pasadena, Texas. For example; you must:
- Thoroughly read all the terms and conditions
- Keep yourself fully updated on the laws that govern title loans in Pasadena
- Know about the interest rates for title loans
- Understand various repayment options
- Properly evaluate the value of your vehicle
- Take the help of an agency (if required) to get a better deal
Laws Governing Title Loans in Pasadena, Texas
- Usury protections in the Texas Constitution prohibit lenders from charging more than 10% interest unless the Texas Legislature specifically authorizes a higher rate.
- According to Article 16 of the Texas Constitution, the rate of interest should not be more than 6% per year if no interest is decided in a contract between a lender and borrower.
- Pasadena is one of the few Texas cities, which has introduced a model ordinance where a title loan can be rolled over up to three times, and be paid in four installments with each installment reducing the loan principal by 25%.
Whom to Contact If Laws Are Violated?
If you think that you are being cheated by a lender or are uncomfortable with the terms and conditions of the loan offer and require legal help, you can contact,
On the whole, a car title loan is a fast and convenient way of securing instant financial solution when it is direly needed.. With the least paperwork, no checking and verifying the credit history of a borrower, the existence of a number of title lenders in the city, people in Pasadena, Texas now don’t need to depend upon the traditional financial institutions for loan when they are struck with any unplanned and unexpected economic crisis.