Those who need money but have bad credit have limited options and may wonder which would be better, a bank loan or a title pawn? Several things must be considered to make that decision. 

Four key factors will play a significant role in getting the cash you need. From fast cash to credit, our guide will help you discover how to get an Alabama title pawn with bad credit.

Use These Tips To Decide Between Title Pawn Or Bank Loan

Credit Requirements

Banks are going to have stricter requirements for approving even a small loan. Most require a credit score of at least 600, with many moving that number up to 650. Those with a strong banking relationship and who have been a customer for years may be able to swing an approval. 

Yet, the truth is that banks are different from the type to forego their standard practices and policies even if they know you and your situation. Those types of banks don't exist anymore. 

A title pawn doesn't only look at your credit before deciding if you qualify. While your credit can always get checked for a title pawn, that doesn't automatically mean you will be disqualified if your credit is poor. Your lien-free vehicle title secures the money given, so credit scores don't play a major role in getting approved. 

Fast Cash

Banks are notorious for taking a few days to a few weeks to process a loan, get approval, and get you the money. According to statistics, it can take anywhere from a day to a week. However, the time it takes to gain bank approval directly correlates to your credit score. The lower the score, the more time it takes.

Alternative financing, which includes a title pawn, can give you a decision quickly after you apply. Money can arrive in your hands that day or by the end of the next business day, depending on the private lender. 

Paperwork

Banks require lengthy paperwork to be filled out before getting the money you need. They want a complete work history, proof of income, references, and sometimes an outline of your monthly expenses. 

Once you turn the paperwork in, a bank loan officer may contact you about something else they need, like your last year's tax forms, a Social Security statement, or some other government information. 

Private lenders that issue title pawns are different. Their paperwork is simple, and most only require extra proof of income or expenses. Every private lender is different, but the similarity is that the critical factor in approving you for a title pawn is the value of your lien-free vehicle title. 

Use Of Money

Banks will ask why you need the money but, generally, only care a little about how it will be used. You can take out a loan for a vacation, a new car, furniture, or practically anything else you need. However, those who need money for these things are those the banks also expect to have good credit. 

A title pawn is meant to be used for something other than those things. It is short-term financing to fund an emergency where you need cash now. Unexpected situations like a failed water heater, a high utility bill, or a medical expense are a few things that would fall into an emergency category. 

Private Lenders For Title Pawns

Alabama Title Loans, Inc. is one reputable company that accepts applications from those with bad credit. We work with people in all types of credit situations, and a credit check isn't required to get a title pawn. We offer title pawns ranging from $300 to $15,000 through a simplified process that only requires three things of the applicant: 

• A driver's license or a photo state-issued ID
• A lien-free or clear title to the vehicle
• The car for a vehicle inspection

The best part of all is: You keep your vehicle during the repayment process. 

How To Apply

From start to finish, our title pawn process is quick and can take as little as 30 minutes. Here’s how our process works:

1. The best way to find out more about how to apply is to fill out the online inquiry form.
2. Our loan representative will call you and explain how a title pawn works.
3. They will schedule you to visit the nearest Alabama Title Loans, Inc. store or meet a loan representative at your chosen place. 
4. Bring your license, lien-free title, and vehicle for the loan representative to validate.
5. Our representative will quickly inspect the car to determine its value. That will determine how much money you can get.

The process is convenient and can take as little as a half hour. Those approved will get cash either the same day or the following business day. 

Don’t Let Bad Credit Stop You. Inquire Today!

Filling out the online inquiry form takes only a few minutes. It's a great way to discover how a title pawn can work for those with bad credit. Alabama Title Loans, Inc. has representatives willing to answer all your questions. 

What are you waiting for? Fill out the online form today and find money to pay for your emergency.

 

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