A car title loan is a means of getting quick cash loans and it can be the step you will take to get some forms of financial stability. If you are faced with an emergency that requires prompt financial intervention and you are short on cash, getting a car title loan can be the way out. This is because it is fast and easy to secure since there are no credit checks involved.
It is a way of leveraging the equity in your car to secure quick cash loans. However, to secure this type of loan, most lenders require you to show that you can repay the loan and this is why they ask for documents such as your pay slip or proof of having investments or businesses to repay the loan. So, what happens if you are not employed or don’t have a job at the time of your application? There are a lot of ways to go about this, we will explore some of the options available to those who are not employed but wishes to take out a title loan.
Not having a job should not mean that getting financial help in the form of a title loan should be out of your reach. Hence, if you do not have a monthly or weekly income but have a steady and consistent source of income that is verifiable, then you can still qualify to secure a car title loan.
How to Qualify For A Car Title Loan Without a Job?
A car title loan is a type of secured loan that allows you to borrow against the equity in your car with the car serving as your collateral. This is why most applicants can qualify for this type of loan as their credit status does not count. Hence, whether you have bad credit or do not have a credit history at all, you can still qualify for a car title loan.
If you do not have a source of income, you should be able to show your lender that you can repay the loan via other sources of income that may include pension, annuity, investments, personal businesses, and even your bank statement showing inflows into your bank account can be a proof to show that you can repay the loan.
The two basic criteria that qualify you for a car title loan are;
- The Equity in Your Car: Since your car is your collateral, you must be able to present a car that still has an appreciable amount of equity when you apply for a car title loan. You can borrow from 25% to over 50% of the equity in your car when you apply.
- Your Ability to Repay the Loan: Regardless of whether you are employed or not, you will be required to show proof of income. This can be from an alternative form of income that we will discuss in the section to follow.
Alternative Proof of Income That is Acceptable to Qualify for a Title Loan
Aside from the generally accept pay slip or paycheck stub that is also accepts by lenders, there are other proofs of income and persents to your lender to secure a title loan. Some of the other accepted documents that can serve as proof of income include bank statements, retirement or social security benefits, passive income, self-employment, and worker’s compensation plans among others.
In addition to the title of your car and proof of income, you also need the following documents to apply for a car title loan;
- Videos and photos of your car
- References
- Proof of residence
- Government-issued ID
Do not let financial difficulty get you into tight corners, take the advantage of the equity in your car to secure a car title loan. It is fast, and you can negotiate the repayment terms to suit your needs.