At times, you may require money in a hurry, and banks just take too long. Title-based lending allows you to take out a loan by putting your car’s title as collateral. The lender sets the amount based on the condition, resale value of your car, and the lender’s policies. But you still retain ownership of the car, and you can even drive it while paying the loan back. The idea is to get temporary relief with no disturbance to your routine.
In this blog, we will take you through how a car title loan (จํานําทะเบียนรถ, which is the term in Thai) works and what the pros and cons you must consider. So, let’s get started!
How These Loans Typically Work
Often, the approval takes hours, not days. The lender will retain your car title until you pay off the loan. The repayment period is generally one to several months, making it very short-lived. This is the main reason why it’s essential to pick an amount that you will actually be able to pay back on time.
Pros and Cons to Consider
Are you confused about the pros and cons of these loans? Here’s a quick reality check list:
- Even with a low credit rating, approval can be easier.
- The money is released very quickly.
- Your car is still used normally.
- Not paying on time could mean losing the car.
- Interest rates could be higher than for bank loans.
A smart move: always read the fine print before making a commitment.
Apply with Tidlor: Fast, Clear, and Responsible
Tidlor is one of the options if you want a reliable one. They have a straightforward and clear-cut process. The platform of the company makes it easy for you to understand eligibility, repayment plans, and documents required so that you don’t get lost. While you are accessing the funds, you will be using your car, which will keep life running smoothly.
Visit Tidlor to discover how it encourages responsible borrowing, accurate vehicle valuation, and fast processing that allows you to deal with urgent expenses without the stress of delays.
Final Thoughts!
In the case of a car title loan, it can serve as a practical and instant solution in difficult financial times if you are not ready to sell your car. The most clever borrowers will compare several lenders, pick a repayment schedule that is doable, and just borrow the amount they need. As a result, financially smart decisions will enable your financial life to remain unscathed till the next emergency is over.
