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Can You Use Your Alabama Car Title For A Pawn When Your Car Is Damaged?
If you’ve ever tried to get an Alabama car title pawn from us at Alabama Title Loans, Inc., then you already know what role your vehicle plays in the process. We use your vehicle to determine how much money we can lend to you if we determine you qualify for approval. This means if you have a damaged car, it could impact the amount of money you could potentially receive. But how much does a car with damage impact your loan amount? Keep reading this article to find out.
How Does Vehicle Damage Affect An Alabama Car Title Pawn?
When you apply for a vehicle title pawn, we will send one of our loan representatives to inspect the vehicle. The inspection is what we use to verify your vehicle’s condition and resale value so we can determine the amount you can potentially borrow – which could be anything up to $15,000. We use the book value of your vehicle coupled with its condition to decide how much money your car is worth.
If your vehicle has unrepaired damage that impacts how the vehicle works, that can affect how much you could get if you are approved. If you have some cosmetic damage or small things in need of repair, it could just bring the value of the vehicle down a small amount. However, not so much that it wouldn’t still help with handling an urgent expense – or make it much easier to handle it fairly quickly.
Why Does A Damaged Car Matter?
Damage to the vehicle matters because the vehicle is what we would use to recoup the money lost should you not be able to pay us back on the loan. A damaged car isn't worth as much as the same car with no damage. Thus, we here at Alabama Title Loans, Inc. can't really offer you as much for a damaged car. Title pawns work by letting you put up your vehicle title as collateral. You keep your vehicle, but hand the title over to us for safe keeping until you pay back the title pawn.
Once you are finished paying off the title pawn, we hand your title right back to you after we remove the lien as well. In the event you can't pay the title pawn back, we have the ability to take possession of the vehicle to settle your title pawn. We have to look at the damage your vehicle has because we need to be able to value it correctly. Plus, we need to make sure your vehicle is safe enough to see if it is even worth you trying to get a car title pawn.
Could You Get Cash Even With A Damaged Car?
Now that you understand how we use your vehicle, you are probably wondering if you can even get an Alabama car title pawn with a damaged car at all. The good thing to know is the title pawn process is the same either way. All you need is your state-issued ID or driver's license, your vehicle's lien-free title that is in your name, and your vehicle for inspection. You can submit the online form right here on the website and one of our knowledgeable representatives will reach out to you.
You can then choose to go to your nearest store location to have the inspection performed or have the loan representative meet you at a location that works for you. If you're approved, you'll need to sign a few documents and that is it. In most cases, the whole process can be finished within 30 minutes. Generally, if you begin the process earlier in the day, you stand a better chance at getting your money later that same day. If you start later, you’ll get the money the next bank business day.
When You Should Use A Different Car For A Title Pawn
One thing to realize is when you just should not use your vehicle for a title pawn. If your vehicle has a lot of extensive damage – enough to lower its value and condition – this is probably a good indication you shouldn’t use it for a title pawn. As we said, we will use your vehicle to determine how much we can lend to you if you are approved. This means an extensively damaged vehicle will get you a small amount of money – which could be much less help than what you actually need.
Instead, if you have a spouse with a vehicle in their name – or have another vehicle in your name – you can use that one instead. If you do use your spouse’s car, make sure their title is lien-free, in their name or has your name on the title as well, and that they are present with you. And if you’d just like to come in and see how much your vehicle or your spouse’s vehicle can get you, that is possible as well. We will be glad to inspect your vehicle and give you a possible amount for free!
Find Out How Much You Can Get For Your Title Pawn
When it comes to getting a title pawn, the condition of your car plays a big role – as you can see from the article. But if you are wondering whether your damaged car will get you a significant amount or not, the best way to find out is to just come in and have us inspect the vehicle. We are happy to look at your vehicle, even if it's a damaged, to see how we can help you. So, don’t wait any longer and fill out the online form on our website now to begin!
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.