Is It Possible to Get Out of a Title Loan Without Losing Your Car?
If you were struggling with an unexpected expense, you might have chosen a car title loan to seek financial relief. But what happens when you find another means to cover that cost? What do you do with the title loan you already have? As you may know, if you don’t repay an auto title loan, you will fall into what is known as a title loan default. You may be able to complete your payments after the fact, but other lenders will repossess your vehicle as soon as you miss a payment. So, the best way to avoid that consequence is to pay off the loan in full.
Keep that last sentence in mind, as it’s probably the only way to get out of a title loan without losing your car. However, there are different ways you can meet that expectation if you can’t do it yourself.
Take a look at some things you can do to repay a car title loan in its entirety:
Create a Fundraiser or Sell Items Online
Suppose you paid off your unexpected expense by selling items or raising funds online. In that case, you could take the same approach regarding your title loan repayment. As long as you legitimately raise funds, you can use that money to cover your loan debts.
Although you may know some ways to sell items or raise money, you can try other methods you probably haven’t tried. For example, you can create a fundraiser through GoFundMe and share the link to your social media accounts. That way, you can get as many people as possible to aid you. Or, you can always sell items online through eBay or similar websites to make sales as soon as possible. The only problem is that fundraisers or selling items can take a while to recoup funds; if you want to get out of your title loan quickly, this isn’t the best choice.
Ask a Family Member or Friend for Money
Getting help from a friend or family member is nothing to be ashamed of. After all, those same people may have helped you in many situations in the past. The issue with that method is that they may not have enough funds to cover the remainder of the auto loan. Not only that, but you may have to wait to get what you need.
Yet, your friends and family can assist you if you sell items or raise money! While they can contribute to your situation, there’s another way they can help: simply ask them to spread the word about your fundraiser or sale to people they know. Then, you will be able to get as many people to help you as possible. But remember, that method may not be helpful if you want to get out of a car title loan quickly.
Get Another Loan to Get You Out of a Title Loan Without Losing Your Car
Another possible way to repay an auto title loan is to acquire another loan. But a major issue with that option is how many loan types are difficult to qualify for. For example, if you apply for unsecured loans like a personal loan, you would need good credit to receive cash. But that’s not the only problem; if you qualify for an unsecured loan, you would deal with high-interest rates and hidden fees that can leave you in a cycle of debt. Isn’t the point of getting a second loan to pay off your current title loan?
It’s essential to note that you must repay the second loan you get after repaying the car title loan. That means you’d be drowning with so many payments that it’ll be a hassle to get through! Perhaps it’s better to ask someone for help instead of obtaining a loan for your situation. However, you could opt for an easier choice than the previously mentioned options.
Pay Off the Title Loan Yourself to Get Out of a Title Loan Without Losing Your Car
That may be the most obvious choice, but it may be the simplest one. If you want to get out of a title loan without losing your car, you need to be responsible. Depending on your lender, you can negotiate an extension of your loan term if you struggle with repayment. They could also find solutions to help you pay off the loan without issues. Another option is to ask your title loan lender if they have automatic payments you can set up to repay the loan for you. Whichever option you choose, you could always ask for help during the repayment process. You’re not alone in that situation.
If you’re not convinced about that option, you should contact LoanMart about other solutions. They could suggest ideas that work for what you’d prefer!