A car accident is one of these things we never like to consider. However, accidents are something that lots of individuals experience, no matter how safely they drive. Regardless of if you or the other driver are at fault in the accident, it can be an expensive experience and can be further complicated if you have a title loan on a car involved in the accident.
While there is not one single answer to what happens with damaged and totaled cars with online title loans, there are several factors involved with the matter. Keep reading below to learn more about what to expect if this happens to you.
What Happens After You Get into an Accident While You Have a Car Title Loan?
If you have a car title loan on a motor vehicle that was involved in an accident, you will still need to pay back the title loan. Upon signing the title loan agreement, you were given a cash loan by using the value of your car as collateral and allowing the lender to be the lienholder on the vehicle title. As part of the agreement, borrowers must also have liability insurance coverage in their car insurance policies to protect all parties in case the car is damaged in an accident.
If the vehicle that’s in the accident becomes too damaged and the insurance provider calls it a total loss, then the liability insurance policy will help pay off the title loan. However, if liability coverage is not utilized, the borrower is still likely to be held accountable for repaying the title loan in full. If the borrower has a new car where they can use as collateral for the title loan lending or the private loan financing, the creditor may be able to apply your outstanding title loan amount into a new car loan.
Title loan companies understand car accidents are a rather common occurrence and may work with the borrowers to work out a new auto loan payment plan or refinance the loan following the accident. If you’ve been involved in a car accident, speak to the title loan lender as soon as possible to describe the situation.
How Do Car Title Loans Work if I Get Into an Accident
Auto title loans are short-term loans, which you may apply for using the market value of the car as collateral to secure loan funding. One of the benefits of title loans is that they don’t usually require a good credit score to apply. That’s right, even if you’ve got bad credit or concerns about your credit check, you are still eligible.
Starting your online title loan application is simple and only requires some personal information such as your driver’s license, contact information, and car insurance to begin the pre-approval process.
If you’re new to the title loan process, here is what you can expect from working with Max Cash Title Loans:
Apply for Pre-Approval
The first step in the title loan process involves you submitting an application form online or calling us directly to complete the submission process with a loan specialist.
Provide Financial Details with a Loan Specialist
Once you submit your title loan application for pre-approval, a loan specialist will contact you directly to discuss the details of your title loan needs in-depth and what the next steps are.
Wait for Pre-Approval
Following the conversation, your loan processor will begin searching for a title loan lender that matches your needs. 5 Once a suitable direct lender is found, you may need to submit additional information to complete application processing.
Receive Final Approval and Get Your Cash 1 2
Once your application receives final approval, a loan specialist will contact you to discuss the overall loan terms and monthly payment plan. Should you agree to the conditions of the title loan, you can receive your title loan funding in one business day! 1 2
What Do I Need to Apply for a Car Title Loan?
When applying for a title loan found through Max Cash Title Loans, you will need a few documents to start the process. While the documents may vary depending on the lender, this is a basic overview of what to expect.
- Government-Issued Photo ID
- Lien-Free Vehicle Title
- Proof of Residence
- Photos of Your Vehicle
- Proof of income
- Valid Car Insurance
Why Use Max Cash Title Loans?
When you choose to work with Max Cash Title Loans, there are several great benefits to take advantage of:
Affordable and Competitive Interest Rates 4
When finding a title loan lender, we aim to find the most affordable interest rates for our customers. 4
Flexible Loan Terms 4
At Max Cash Title Loans, the network of lenders that we work with provide customers with flexibility throughout the loan duration. 4 Repayment may vary, and you can select the payment plan that matches your budget. 4
Quick Processing
We understand how valuable your time is. When you need emergency cash, our quick loan process reflects your needs. The application process usually takes less than an hour. Once you receive approval with a lender, you could have the money you need in one business day! 1 2
Friendly Customer Service
We provide our customers with excellent care and a helping hand during the title loan process. With years of expertise, we know all the ins and outs of title loans. If you have any questions, we’re available seven days a week to help you!
Apply with Max Cash Title Loans if You Got Into an Accident While You Have a Car Title Loan
While accidents happen, it’s essential to look at the bigger picture and be grateful that you are safe. If you think a title loan is something you could benefit from, contact Max Cash Title Loans today. You can call us directly seven days a week or fill out a brief online application to start right away. Give us a call to learn more about how we can help!