Payday Loan Vs. Bad Credit Personal Loans: Which To Secure
When it comes to fast cash problems, you now have two feasible options: payday loans and bad credit personal loans, otherwise known as auto title loans. Read on below to know the difference between these two and come up with the best choice.
Payday loans are unsecured loans. The loan is not linked to your payday. However, you are required to show your previous employment records. Those records must be clean and favorable so that your payday loan application can be approved. As payday loans are not secured loans, expect that it comes with very high interest rates – much higher than that of New Tecumseth bad credit personal loans. Although they can help you solve your cash problems, you cannot find consolation from it if you have bad credit scores. Only borrowers with favorable credit are allowed to secure payday loans.
Bad Credit Personal Loans
Bad credit personal loans are also known as car title loan, auto title loan or pink slip loan. With these loans, the borrower is required to use his or her vehicle as collateral or security deposit for the loan. When you use your car as collateral, you don’t have to surrender it physically to the lender. You will just have to give the copy of your vehicle’s title to your lender temporarily. Such being the case, the lender will have the right to put a lien over your car and can exercise the right of repossession in case you default in your loan terms.
On a brighter side, however, bad credit personal loans are very easy to obtain. You can get the money in your hands in less than an hour as what the lender would only do is inspect your vehicle and give you an estimate as to how much you can borrow. You won’t have to undergo a credit and background check anymore. This makes bad credit personal loans a good option when you have instant cash needs.
Let Car Title Loans Canada Help You
Having a bad credit or having no credit at all can be detrimental especially if you have an urgent financial need. This is because most of the financial solution companies would decline any of your loan application as they consider you as a high-risk borrower. Fortunately, there are now bad credit personal loans which can be approved regardless of credit scores. At Car Title Loans Canada, we understand how devastating it already is for you to acquire a bad credit which is why we won’t make it much harder anymore. We can let you borrow money in less than an hour based on the market value of your vehicle. To know more about how we can help you, contact us today at 1-855-653-5451.