It is quite easy to get a car title loan in Sumter, South Carolina, and
all you need is your car’s title as collateral. This type of car loan is much
preferred over other types of car loans, as you will still be able to keep (and
drive) the car while the loan is active as the car title is the collateral and
not the car itself. Today, car title loans are among the most popular
alternatives to bank loans, as they are an ideal choice for people looking for
quick cash for emergencies or for those wishing to borrow but have bad credit.
A typical car title loan in South Carolina is based on the fair market
value of the vehicle at the present. Thus, a new vehicle would provide a higher
loan amount than a late model. However, the condition of the car is also taken
into account as well, so a recent model Ford sedan that’s been frequently used,
for example, may net a smaller amount than last year’s model that’s rarely
used. It should be noted as well that most lenders do not accept car titles as
collateral if the car is ten years old or has a value of less than $1000.
When submitting a car title for evaluation, make sure that it is free
from any liens or financing. You may inquire with the lender whether the
insurance of your car is adequate enough; some car title loan companies might
not approve of a loan application because the car lacks insurance or may
request the borrower to purchase one.
Car title loans in South Carolina start at $601 due to state limits the
maximum allowable interest rate on consumer loans through $600. Thus, consumer
loans like those of car title loans in Sumter, South Carolina are not subject
to the interest rate limit. In addition, the state only allows a maximum of six
renewals or rollovers of car title loans. Most lenders, however, offer a 24 to
44-month loan term for easy payment.
A car title loan is a good option for those who want to get extra cash
when a standard bank loan is out of the question and the credit card is maxed
out. Online loan applications also make the application process faster and with
less hassle, and unlike other loans you will still get to keep your car during
the duration of the loan. So when you are in need of immediate or emergency
money that offers zero penalties even on early pre-payment of loans, a car
title loan might be the right choice for you.
