An auto title loan is a way out for a lot of people who suddenly find themselves in a tight financial spot. Because you’ll be putting up can as collateral, you can easily secure the money you need. You can even get approval even if you have a poor credit score. But as with any loan, there are repercussions if you default on bad credit loans Cochrane Alberta.
3 Reasons You Should Always Pay Your Title Loan
Asset Repossession: The worst thing that can happen if you’re late or you miss a payment is the lending company repossessing your vehicle. They can even do it anytime or anywhere, regardless of whether you’re at home or at work. This can lead to embarrassing questions and you’ll be left with no means of transportation.
Additional Penalties: Companies offering car collateral loans are amenable to giving you an extension with your payment schedule. However, it will come with penalties and even additional interest. Rolling over on your account is common, but it can bury you deeper into debt as you struggle to pay off the original loan and the accumulated interests and penalties.
Black Mark on Credit Rating: Title loan companies don’t check your credit rating, but they will report to credit bureaus when you default on your payment and have your car repossessed. This report will stay on your profile for years and can further pull down your credit score.
Lowest Possible Payment in the Industry
Avoid large penalties and repossession by working with a company like Canadian Equity Loans. The company offers the lowest interest rates and payment schemes in the country. What’s more, you can loan as much as $50,000 without worrying about mandatory employment questions or credit check. Simply log on to their website to apply for a loan online. You can also call their toll-free number at 1-844-586-6311.
For more information, visit us on: