Are Title Loan Legal in Arkansas?
Short-term Title Loans of Arkansas are regulated by the state’s laws what concerns their rates and terms. Arkansas Authorities set the maximum and minimum loan amount, repayment period, limit interest rates and other finance charges. For detailed information on Auto Title Loan regulations in Arkansas check the table below:
|MAX Loan Amount||$400|
|Repayment Terms||6 - 31 days|
If Title Loans are prohibited in your state, or you don’t want to use your vehicle as collateral, consider same day financing with fast and easy Payday Loans in Arkansas.
Can you get a car title loan in Arkansas?
Arkansas Title Loans with an easy online application have a number of benefits you can take advantage of:
- Online Title Loans are fast to get
- You can apply completely online
- The requirements are very simple
- You are guaranteed to qualify even with bad credit
- You get an approval decision in a few minutes
- No hard credit check
- The funds can be deposited into your bank account the same day
Title Loans in 3 Easy Steps!
- Fill out an application form completely online with no store visit or find a Title Loan company near you.
- Discuss the terms and conditions of the loan, provide your vehicle title as collateral and finalize the process in the company’s location after a car inspection.
- Sign the loan agreement and get the money in less than an hour.
Do I qualify for a title loan in Arkansas?
Car Title Loans are available for any Arkansas resident who meets the following eligibility criteria:
- Age over 18
- Arkansas residency
- A clear car title
- A proof of income
- A Government-issued ID
- Active bank account
- Valid contact information
What Is The Most Common Type Of Title Loan?
As you know, a Title Loan is a type of financing that requires an asset in order to approve a borrower's application for financing. This loan is quite popular because it does not have a large number of eligibility criteria and a good credit history of the borrower.
At the moment, the most popular type of Title Loan in Arkansas, as in many other states of America, is a Car Title Loan. With this type of loan, the car itself is the asset which is the collateral. More often than not, it is people with bad or poor credit who apply for such loans. However, in case of missed payments, they risk losing their car.
Do Title Loans Go Against Your Credit?
Many potential borrowers want to know if a Loan can affect credit history. It's important to note that more often than not, a Title Loan has no effect on your credit at all, which can be good news or bad news. More often than not, most lenders do not request a credit check when approving a borrower's application, so your credit remains unchanged. However, it also means that you will not be able to improve your credit history if you make regular payments.
How Do You Get Around A Title Loan?
At the moment there are several options that you should pay attention to if you want to get around your Loan. Below you can explore the main ones:
- Negotiate loan terms. The first thing you should do is try to negotiate with the lender to change your loan terms so that they are more convenient for you. Of course, you cannot be sure that the lender will agree to do this, but at least you can try. However, if he agrees to do it, you will be able to negotiate lower interest rates and repayment terms that you can meet.
- Pay off debt early. Another option you should consider is to try to pay your full balance as a fast as possible. Even if you don't have any money right now, you can still reach out to family and friends, find a part-time job, take on a few extra shifts at work, or sell things you don't need.
- Refinance your loan. Many people don't know that they can also pay off their balance with a loan refinance. However, if your credit score has grown since you took out this loan, you will most likely be able to qualify for a new loan now with lower interest rates and favorable credit terms. It is also more likely that you will be able to find a loan that does not require you to provide collateral.
- Make a budget. If you know your expenses and income, it will be much easier for you to cut unnecessary expenses and use the money received to pay off your debt.
What You Need To Know Before Getting Title Loans in Arkansas?
Of course, before applying for a Loan, you should know some information about it. For example, note that you may be faced with high interest rates and fees that can make it difficult to pay off your debt. Therefore, you will need to compare different loan offers in Arkansas in order to choose the best one for you.
You also need to consider the fact that Car Title Loans are secured, which means your car is collateral for the loan. That is why you risk losing it if you cannot pay the debt on time. The lender has the right to take your vehicle and consolidate the loan debt.
How Much Can I Get With A Title Loan In Arkansas?
You should note that in Arkansas, the loan amount a borrower can get with a Payday Loan most often depends on the value of the vehicle. Lenders look at factors such as cost, age, mileage, condition, and so on to assess the value of a car. So, the more it costs, the more you can get. As a rule, lenders in Arkansas provide borrowers with 25% to 75% of the value of the car.
Why Choose An Auto Title Loan Over A Traditional Bank Loan In Arkansas?
Many borrowers want an answer to the question of why they should choose a Title Loan instead of a traditional bank loan. Below you can explore the main reasons:
- Bad credit. Unlike banks or credit unions, title lenders work with different types of credit. Thus, even if borrowers have missed loan payments in the past, they will still be able to receive the Loan.
- Application approval time. Online lenders approve applications on the same day, while bank lenders may take up to one week to review an application. Thus, if you need urgent financing, the Title Loan is the best option.
- Eligibility criteria. Banks often have a large number of eligibility criteria, so not every borrower can apply and receive financing. Title loans, on the other hand, are designed to help each borrower get money quickly.