For many people, access to a title loan may be essential. It may help you to get the money you need for various needs. Most other lenders, such as a traditional personal loan lender, require individuals to have a steady stream of income, and that typically means having proof of that income from a reliable source, such as payroll stubs. For those who need to get their hands on money quickly but do not have the ability to show income from an employer, title loans with no income may be the ideal choice.
What Is a Title Loan and Why Is It Different?
A title loan is given based on the title of a vehicle. For example, you may own a vehicle free and clear that’s quite valuable. That vehicle has value – you don’t want to sell the vehicle, but you want to borrow from some of that value to pay off other debts or free up some cash. A title loan allows you to do that.
With a title loan, you’ll provide the lender access to the title of your vehicle. They hold onto the title until you repay the loan. It’s that easy. When you have a title loan like this, you do not have to prove to the lender you have employment (in most cases) because the lender has the title as collateral. That gives them the security to know that you’ll pay back the funds you borrow.
Will an Auto Title Loan Lender Require Proof of Employment?
While every lender is a bit different, most do not require you to show proof of employment. Many people believe that they cannot borrow money to meet their needs because they do not have proof of income, like a paycheck stub. That’s not always the case, especially with an auto title loan.
You may be asked to show proof of income, which is different from proof of employment. Proof of income simply means you have money coming in from some source, but it does not always have to be a job. You may have social security payments or an annuity that is paying you. You could use that information as proof of income as requested.
What Are Examples of Proof of Income?
When income information is requested from a lender, you have several options that may help you show that you have a reliable resource for income. Every situation is different, and if you are unsure, it is always wise to ask the lender what type of income sources they accept. Some examples of income sources that may apply in your case include the following:
Social Security benefits you are receiving, such as retirement benefits or disability benefits you qualify for
Workers’ compensation funds and payments related to your injury coverage
Annuity payments you are receiving
Under the table income, you have
Severance pay given to you from a previous employer
Money from a trust or access to a trust
Money from a settlement you’ve been awarded at some time
Money from an inheritance
How Do Auto Title Loans No Income Like This Work?
Though there may be some differences between lenders, most auto title loans are simple and straightforward. You may even be able to get the cash you need right away, minimizing any delay in getting the financial support you need soon.
The first step is to apply for the loan. You may be able to start this process online. It will give you insight into your options, and you’ll learn how much money you can obtain from the auto loan. This is often dependent on the value of the vehicle and other factors. When you apply for a loan in this way, keep in mind you do not have to accept it. You have no obligation to accept the loan in many cases if the terms are not what works for you.
Once you start the application, you can visit the nearest location for your title loan and complete the final paperwork. The process is very quick, requiring you to sign some documents to put the terms in place. You’ll need to present your auto title to do this.
Then, you’re given the money you need and agreed to as a part of the loan. You’ll also learn about the repayment terms. Most of the time, it only takes a short amount of time to get the money you need. You can then use those funds for anything that fits your needs.
Getting Help Today
If you are looking for an auto title loan with no income, reach out to 1 Stop Title Loans and Motor Vehicle Services now. In a few minutes, you’ll be able to find out if you qualify and how to get the money you need fast.