Everyone knows car title loans are the epitome of convenience and ease. Sometimes, they’re even better than a traditional bank loan, especially considering how you don’t have to worry about the exorbitant fees and paperwork. It’s a quick way to get access to money when you’re in need of it. The only thing you need to take care of is paying back the loan in full. This way, there’s no fear of losing your car to the lender.
But if you get to keep your car the entire time, does that mean it is possible to drive it around too? Even while you’re paying the loan off?
The quick answer to that is yes, of course you can!
The long answer? Read this blog to find out.
Is It Possible to Drive Your Car While Paying a Car Title Loan?
The reason why title loans are so popular is because you’re really not losing anything when getting it. That is to say, while it may sound like you’re getting a loan by exchanging your beloved vehicle, that is simply not true.
Sure, the car is used as collateral, but the ownership and possession aren’t taken over by the lender immediately. You have until the payment deadline to continue using your vehicle as you see fit. Be it cruising down the highway in the middle of the night or planning a road trip that covers state-by-state mileage, you have the freedom to take your car anywhere! The only thing that you cannot do is sell it.
Tips to Ensure You Don’t Lose Your Car
There’s no doubt the benefits you can avail from a title loan. However, you have to be extremely diligent with the rules. In order to keep your car to yourself and avoid losing it, try following the tips mentioned below:
1. Do Not Bite Off More Than What You Can Chew
One of the most crucial aspects of taking out a loan is only using the money that you need. Rather than going all in, talk to your lender and start off small with a portion of a loan so it doesn’t weigh you down.
2. Create a Budget Plan & Stick to it.
The only way to ensure your finances don’t jumble up is by creating a strict budget plan and sticking to it. Take money out for regular spending and emergencies if needed. Schedule everything beforehand so there are no unnecessary expenditures.
3. Use the Money Wisely
It can be pretty tempting to suddenly come into a lot of money. But just because you have access to it doesn’t mean you should spend it all carelessly. Be very wise with your spending and keep a record of it all so nothing goes wasted.
4. Try to Pay Back as Early as Possible
The best way to relieve yourself of the loan burden is by paying it back as quickly as you can. Ask your lender if they accept extra or early payments, so you’re on top of the game, no matter what.
Ultimately, you have complete liberty to drive your car while paying off a car title loan. Just make sure the car is not sold off or put up for auction. For more information on title loans, contact Advantage Finance LLC at (281) 410-5337. You can also visit us at 616 Fm 1960 West #680 Houston, TX 77090, near the 45 and FM 1960 in Chase Bank Building.