Car title loans in Atlanta are not the typical type pawn transactions, if you ever pawn an item at a pawn shop? The theory is that you hand a valued item over to a pawn broker, have it appraised, be granted cash, leave the item at the pawn shop and hope that you can retrieve the valued item at a later date. If you are unable to “buy back” the valued item by a certain date, the pawn broker will sell it. The valued item was collateral to cover the car title loans Atlanta in case you defaulted and is perfectly legal to sell if you don’t pick it up by the date determined by the pawn broker. It’s different with a car title loan in Atlanta, though.
An automobile is one of the most valuable items that any consumer can own. How can a car title loan Atlanta broker make a loan on a car title? The car title loan company cannot keep the automobile on display in his title loan office and the automobile is needed by the consumer to go to work, run necessary errands and get by day-to-day.
An automobile represents a “freedom” to the consumer. There is also the risk of the car title loan company storing the automobile; the Atlanta car title loan company would assume enormous costs to insure the storage of the automobile, let alone the cost of the storage space that would be needed to do so.
The idea of collateral is similar, however. The car title loan only stores the title of the vehicle and the borrower still has full use of the vehicle. The title of the vehicle will be released to the borrower upon the full payment of the loan, including all interests and fees. If the borrower is unable to repay the car title loan, the car becomes the property of the title loan company and could be sold as payment for the title loan.
The Atlanta car title loan company has the knowledge that as long as he is in possession of the “title “of the vehicle, he does not need the vehicle itself. The borrower merely needs to allow the title loan in Atlanta to lien the car title and the vehicle becomes collateral. Obtaining a car title loan is simple. There will be no credit check and the consumer need only to own the vehicle outright having no other liens to any other creditor. In addition, the borrower needs to be 18 and have a viable income. After the vehicle is appraised and inspected, the consumer relinquishes an extra ignition key and the actual car title (not a copy), of the vehicle to the lender and his instant cash is granted.
The title loan is usually granted for 30 days with extensions available after the paper work is signed. The value of the vehicle is the most important factor in qualifying for a car title loans in Atlanta.