How much is my car worth in a title loan?
Caveat: Do not get a car title loan if at all possible! Car title loan companies typically loan 25% to 50% of the WHOLESALE value of your car. Of course, wholesale values vary depending on the car and your geographic location. Go to Kelly Blue Book at http://www.kbb.com/ to get the wholesale value. http://www.AutomobilePawn.com indicates to qualify, you will need a clear car title (you cannot owe money on your car), the car title must be in your name, you will need full coverage insurance, an extra set of keys, they may place a starter interrupt device with a GPS system on your car, in some states you will need to provide a current smog certificate, and they will want your 1st child (just kidding).
Title loan companies charge extremely high interest rates, and you never get full value for your car. Value is determined by year/make/model, condition, that’s why you have to bring the car there, so it can be valued. An older vehicle, probably 10% of it’s full market value, newer may get you additional points, maybe 30%. But if you default on these loans, even a day late on a loan, your loan amount just grows and grows, interest be adding on to the loan, so fast, it’s difficult to ever get the loan paid off, and your car free of a lien.
