If you need immediate financial assistance, title pawns offer a quick solution by leveraging the value of your car. Whether it's unexpected medical bills or urgent home repairs, auto title pawns allow you to use your car title as collateral while still driving your vehicle. In this guide, you'll learn everything you need to know about securing a title pawn in Alabama, how the process works, and what you need to qualify.

What is a Title Pawn?

Title pawns, also known as auto title pawns, are short-term loans secured by your car's title. Unlike traditional loans, title pawns don’t require a good credit score, making them accessible to a broader range of people. When you secure a title pawn, you can keep driving your vehicle while the lender holds your car's title until you repay the loan.

This type of loan is particularly useful for people who own their vehicle outright, meaning the car has no existing liens. With online options now available, the application process is fast and straightforward.

When Should a Title Pawn Be Used?

Unexpected emergencies, such as a past-due debt or a surprise doctor’s bill, are all reasons to get a title pawn - also known as a title pawn in many states. As a rule of thumb, online title pawns should only be used to bring financial relief during a crisis.

If all your other options have failed, an Alabama title pawn represents a way to receive fast cash regardless of your credit score or financial history. Title pawns represent a short-term financing option and borrowers can go to brick-and-mortar locations in Alabama or start the process online.

What Do You Need to Qualify for a Title Pawn?

An online title pawn can be quick and simple. First, all credit is welcome because auto title pawns do not factor your credit score into the approval process. The title of the vehicle is used as collateral for repayment on your auto title pawn, which is why your vehicle must be paid off to qualify. Now, before you head to a location in Alabama, here are the items you will need to have at the ready:

• Your vehicle for inspection
• Lien-free title (which means your car is paid off and no one else can claim to be an owner of the car)
• State-issued I.D.
• Proof of income

We also recommend shopping around, comparing ratings on the Better Business Bureau, and consulting customer reviews to see if there’s anything you should be concerned about. Compare several companies and examine which one has the best rates and policies for your situation.

Will the Auto Title Pawn Lender Run My Credit?

No, the lender will not run your credit score, nor report a missed payment to any credit reporting agency. Title pawns in the state of Alabama are not reported to credit agencies because they are secured by your vehicle’s title. Borrowers with bankruptcy on their credit history are welcome to apply. In short, all types of credit can qualify for an auto title pawn. Many fast-cash loans are given out on creditworthiness, but auto title pawns are dependent on a lien-free vehicle and its condition. Situations may vary so please check with your title pawn lender for more guidelines and information.

How Much Can You Get from a Title Pawn?

The amount of your title pawn will be determined after the inspection of your car. A certified representative will take a few minutes and value the price of your vehicle’s condition against a nationally recognized pricing guide. Again, this process is hassle-free and only takes a few minutes. After the inspection, you will complete the paperwork and have cash in hand. Amounts vary for Alabama title pawns, but the maximum amount you can borrow is $15,000.

Of course, it is wise to speak to your Alabama title pawns lender first to find out more information on loan periods, interest rates, and other fees. Always remember, never take out more than you can afford and know exactly what your payment will be each month and how that would factor into your monthly expenses. It is imperative to factor the title pawn payment amounts into your budget ahead of time. This way, the payments will not be a shock. Whenever it comes to your finances, make sure you ask plenty of questions and have absolute clarity before you sign your name on any auto title pawn documents.

Do you get to keep your car?

Yes, during the duration of your title pawn, you get to continue to drive your vehicle. As stated above, as part of the title pawn process in Alabama, the lender will keep your vehicle’s title and return it upon full repayment. The only way the car will be taken from you is if you fail to pay the monthly payments on your title pawn. The terms and conditions on a title pawn will vary from lender to lender, so you want to make sure you've done your homework before signing any loan agreements.

How long does the approval process take?

Alabama lenders understand title pawns are only used for emergencies, so the process is fast and easy. On average, the process takes around 30 minutes and you can leave the site with cash-in-hand. In Alabama, the approval process for car title pawn is stress-free, and your credit does not come into play.

Where Can You Get a Title Pawn in Alabama?

If you're ready to start the process, title pawns are available throughout Alabama. You can begin online by searching for Alabama title pawns or visiting a local location in person. Online applications can expedite the process and make getting fast cash even easier.

 

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.