What is a Car Title Loan?
How Does a Car Title Loan Work?
Loans for car title loans are usually for less than 30 days and change a high rate of interest. Borrowers offer the title of their car as collateral for the short-term loan. If the borrower is unable to pay off the loan, then the lender will take possession of the car and sell it in order to gain back the loan amount.
Why Does a Car Title Loan Matter?
Lenders who offer car title loans are often referred to as predatory lenders because they prey on people who do not qualify for credit card accounts or bank loans. Since the loans on a short-term basis, the interest rates on the loan are normally stated as the monthly rate instead of the annual rate. In reality, the annual effective interest rates for car title loans are 12 times higher than the stated monthly rate.
Personalized Financial Plans for an Uncertain Market
In today’s uncertain market, investors are looking for answers to help them grow and protect their savings. So we partnered with Vanguard Advisers -- one of the most trusted names in finance -- to offer you a financial plan built to withstand a variety of market and economic conditions. A Vanguard advisor will craft your customized plan and then manage your savings, giving you more confidence to help you meet your goals. Click here to get started.
Read This Next
On any given day, the stock market can fluctuate up and down without warning. While the goal of every investment is to make money, new investors may worry about losing money if their stocks go...Read More →
After the Facebook (Nasdaq: FB) public offering debacle and the August trading...Read More →