Unexpected expenses always seem to arise when people are the least able to pay them. Credit cards and lines of credit were created to help people through those rough patches. The problem is, not everyone has one or the other, and borrowing money from friends or family is not an option many want to consider. This leaves few options, and some of them are not financially safe.
Payday loans are an example of a dangerous type of loan. They do provide a handy service, the opportunity to get the money you need almost immediately, even with bad credit. When they are paid on time the interest is high, but not any higher than some credit cards. Unfortunately, miss a payment and the borrower could find themselves so deep in debt it can seem impossible to dig out.
A Car Title Loan in San Antonio is an option offering a little longer to repay and generally requires lower fees. More like a traditional bank loan, a title loan allows you to borrow against the equity in your vehicle. You keep possession of the vehicle and are responsible for its care as you would normally be, you are just using it as collateral for the loan.
It is similar to the way collateral is required by traditional lenders, except with a title loan the companies offering them will lend to borrowers with lower credit scores. Because it is considered a higher-risk loan, the interest will be more than what banks are currently charging, but it is still much less than what the average payday loan will cost.
There are some downsides. You can only borrow what you have for equity, the vehicle must have a clear title, and you need to have proof of income. If you do not pay back the loan, you will lose ownership of the vehicle.
A Car Title Loan in San Antonio offers the chance to have money in your hand within minutes. It can be the opportunity to get out from under the constant payday loan cycle and start rebuilding your credit again. Check out website to learn more and see if this is the right choice for you.
