People applying for auto title loans are required to pledge their car as collateral. Lending companies will insist that the vehicles should be lien-free and have enough equity to cover the loan. However, some lenders make an exception and accept salvaged vehicles as collateral. While you have a chance to get a poor credit car loan Saskatoon Saskatchewan, will it be worth the effort?
Should You Use a Salvaged Car to Get a Title Loan?
An auto title loan is a secured loan. The borrower must put up collateral, which in this case is your car. The lender will use the value of the vehicle to ensure they recover their money should you default. This makes using a salvaged vehicle in a car equity loan challenging as the designation means it has been damaged and declared a loss by the insurance company. Its value is lesser than a car with a clear title.
While many lending companies accept salvaged vehicles as collateral, the application process takes longer. These vehicles are riskier because they’ve been damaged extensively before being rebuilt, thus the underwriting process is stricter. The lender will also offer only half the amount a car with a clean title will typically get. It might not be enough for your needs, and the time to secure the loan might not be worth the effort.
The Number One in the Industry
You can rest easy with Canada Car Cash. This title loan specialist will give you the financial assistance you require. The company can offer more money and their interest rates are 70% lower than their rivals. They also offer extended loan terms and affordable monthly payments. You don’t even have to undergo credit or employment checks. Log on to their website to apply or call their toll-free number at 1-844-598-7631.
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