As simple as it is to apply for an auto pawn or title pawn, it is not uncommon for mistakes to occur during the application process. Often, these mistakes can be avoided given a little research. Knowing what mistakes to avoid can aid you in getting approved with ease.

4 Mistakes To Avoid When Applying For An Auto Pawn

Some of the most common mistakes people make when applying for car title pawns are the following:

1. Being Inadequately Prepared

As mentioned above, a little research goes a long way when it comes to applying for an auto pawn. Without it, borrowers will find themselves ill-prepared for the application process. Applying for an auto pawn is a fast procedure, which means you will want to be well-informed so that you can ask the questions most important to you.

To avoid making mistakes when applying for an auto pawn, you will want to find out how the process works and what items are needed to apply. By knowing what is required from you and what the application looks like, you will have more of an opportunity to address any concerns you have.

Tip: Understand the auto pawn process before you begin. Gather all the required documents, such as proof of ownership, identification, and vehicle details. Knowing what to expect will save time and ensure you ask the right questions.

2. Disregarding The Requirements For A Vehicle Title

Just because you have access to a vehicle does not mean you can use it to get an auto pawn. The title must meet certain specifications to be used to apply for an auto pawn.

To get an auto pawn, you need to provide proof of ownership. This means that the vehicle cannot have a lien against it. If you are still making car payments, you would be disqualified from using the vehicle title to obtain a loan. Another common issue is if the title of the vehicle is under someone else’s name, such as your parent or sibling. If that’s the case with your title, go to the Department of Motor Vehicles and have them transfer the title to your name.

• Key Requirements:
  • The title must be in your name. If it's in someone else's name, visit your local DMV to transfer ownership.
  • The title must be lien-free, meaning you’ve fully paid off the vehicle. If you’re still making payments, you won’t qualify for a title pawn.

3. Having Unrealistic Expectations About The Loan Amount

Another mistake is that you may expect to get an amount greater than the value of your vehicle. Typically, a loan specialist will offer you an amount before you finalize the application process and find out if you are approved. It is important to realistically estimate what your vehicle could be worth before showing your dissatisfaction and objection to the loan amount offered by the representative. Such things as the make and model of the car, its mileage, wear and tear, and any add-ons basically determine the value of a vehicle.

Tip: Factors like the car’s make, model, mileage, and condition determine the loan amount. Use online valuation tools or consult your loan provider to estimate your vehicle's worth before applying for an auto pawn or title pawn.

4. Not Reading Through The Contract

It is crucial to read and understand all the documents before signing them when you get an auto pawn. With Alabama Title Loans, Inc., you don’t need to worry about looking stupid asking questions about the agreement, as our friendly and dedicated representatives are always there to help and explain anything that needs clarifications. Always make sure you prioritize your interests and make sure you’re clear with due dates, terms and conditions, or any other important information.

Tip: Take your time to review the contract carefully. At Alabama Title Loans, Inc., our representatives are happy to clarify any details. Make sure you’re comfortable with the due dates, interest rates, and other conditions before signing.

Why Choose Alabama Title Loans, Inc.?

With the competitive nature of auto pawns, you won’t want to sell yourself short by selecting the wrong provider. With Alabama Title Loans, Inc., you won’t have to worry about making the above mistakes.

When you call or submit an online inquiry form, one of our loan representatives will go over the specifics of how the entire process works. They will explain you everything that is needed to apply and give you ample opportunities to ask any questions you may have. Once you feel adequately informed and confident that your required items meet the loan requirements, you can begin the in-person application. It is as simple as:

• Steps to Apply:

  1. Visit our store or schedule a meeting with a representative at your preferred location.
  2. Complete a quick vehicle inspection to determine your loan amount.
  3. Submit the required paperwork to finalize the application and find out if you’re approved.

  With Alabama Title Loans, Inc., you can receive funds as soon as the same day or the next business day.

Once approved, Alabama Title Loans, Inc. can get you your funds as soon as the same day or the following business day.

Apply Today for an Auto Pawn or Title Pawn

Alabama Title Loans, Inc. offers auto pawns and title pawns ranging from $300 to $15,000. To find out how much you qualify for, start your application online or call us today! Whether you're applying for an auto pawn or a title pawn, our friendly team is here to help.

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