payday loans versus title loans

What Are The Advantages Of A Title Loan Versus A Payday Loan?

If you’re stuck in a financial rut and need cash to get by, it’s time to learn about the advantages of a title loan versus a payday loan. Both may be viable options for someone who needs enough money to cover any emergency expenses that suddenly pop up, but there are certain situations in which a title loan might be the better choice. If you are trying to decide between these two loans, use this article to help get you started.

Learn About These Title Loan Advantages

Title Loans

When it comes to title loans, they use your vehicle’s lien-free title as collateral to secure the money. This means we here at Cash Cow do not look to your employment to see if you qualify for approval. Since we are using your vehicle’s title as collateral, this means your name has to be on the title and there can’t be any outstanding liens on the title. This also means you have to be finished with your vehicle payments before you can apply for this loan with us.

Benefits Of Getting A Title Loan

There are many advantages of a title loan you need to know about. Firstly, if you qualify for approval, we can lend you anything between $300 to $1,400. This is more than what we offer for our payday loans, making this loan suitable for larger emergency expenses. Secondly, the process to get this loan begins right on our website. And while you can’t finish it completely online – since we have to inspect your vehicle before we can approve you – you can set it up so that we come to you.

The third benefit is you can keep your vehicle during the loan repayment period since we aren’t using it as collateral. We are using your title as collateral, which means you are free to use your vehicle as you wish as long as you stick to the repayment schedule. We will put a lien on your title and hold onto it while you repay the loan. Finally, if you are approved for title loans with us at Cash Cow, you’ll get your money that same evening or the next bank business day at the latest.

advantages of a title loan

Keep These Things In Mind About Title Loans

While these benefits sound promising, like all loans, there are also a few things to keep in mind about title loans in LA. While Cash Cow offers title loans up to $1,400, not everyone will qualify for this amount. We determine the amount of your loan based on your car’s condition. We’ll consider things like mileage, age, make, and model during our inspection. This means the better maintained your car, the higher your potential loan amount will be – if you are approved, of course.

And when it comes to how you can find out if you qualify for a title loan, as we said above, your car title must be lien-free and in your name. If you haven’t paid off your car yet, you see that your name is not on the title, or you see that there is a lien on your title, you must go to the DMV to have everything fixed prior to coming to Cash Cow for this loan. Lastly, we only accept titles from cars, vans, pickup trucks, or SUVs. We do not accept vehicles like motorcycles, boats, or trailers.

Payday Loans

Now that you know the advantages of a title loan, you should know about payday loans. Payday loans, on the other hand, provide short-term cash to hold the borrower over until their next payday. This loan essentially bridges the gap between pay periods when you experience an emergency that can’t wait. When it comes to this loan, we use your financial situation and your employment to determine if you qualify for approval. This means we do not require you to put up any collateral.

Benefits Of Getting Payday Loans

Payday loans are great if you need a small amount of cash until your next pay period. And when it comes to repaying this loan, it is usually due by your next paycheck. This means the loan will be repaid and out of the way within a few weeks. And as we said, you don’t need to put up any collateral. In fact, to find out if you qualify you only need your driver’s license or state-issued photo ID, your most recent pay stub, and a blank check from your checking account.

You also can get through the process in a minimum of 30 minutes. And if you are approved, you can get the money you need either on the same day or the next bank business day. Having this money so quickly allows you to handle things like late utility bills, late rent, emergency home repairs, or emergency car repairs now rather than waiting and having these situations get worse as time goes on.

title loan advantages over payday loans

Keep These Things In Mind About Payday Loans

Payday loans are given in smaller amounts, so they may not be enough for a big bill for something like major medical bills. If you need between $100 and $300, though, they could be a viable option for you. Secondly, you need to have a monthly income to find out if you qualify for approval. This is how we know you’ll be able to repay your loan come the next pay period. If you happen to be unemployed, we might be able to accept other income sources with the right proof.

Here Is How You Can Apply For Either Loan

Now that you know the advantages of a title loan and a payday loan, you can start the process for either loan. To get either loan, head to our homepage and fill out the online form. Make sure you choose the loan you intend on getting. You will get a phone call from one of our loan representatives who’ll go through the required items of the loan you want and set up an appointment for you to either come into the nearest store – which you must do for payday loans – or have us meet you elsewhere.

Based on the loan you want, we will either inspect your vehicle and your title loan required items or assess your payday loan required items. If you are approved for either loan, we will go over the loan terms for that loan and help you finish the paperwork. This is also where you can ask any last-minute questions you have about the loans and our terms. Once you are done, you will get the money for either loan on the same day or the next bank business day.

Choose Your Loan And Get Your Cash Now!

Now that you’ve read the advantages of a title loan and of a payday loan, you should be able to decide which is best suited for your situation. Do you have a car in good working condition with a lien-free title? Or, do you just need a few bucks to get by until your next paycheck comes in? Once you’ve decided, you can begin the process of getting either loan at Cash Cow. Get started on our homepage by filling out the online form.


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

June Mckaig

June Mckaig writes articles on finance and budgeting, hoping to provide insight amidst the overwhelming crowds of information on the internet. She feels that with all this accessibility comes a lot of false data, and she would like to contribute astute, helpful input that she knows can help others. If you would like to learn more about June's research, read more here.