Debunking Three Popular Myths about Car Collateral Loans Toronto Ontario

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Vehicle title loans have become as mainstream as bank loans. Thanks to this secured loan, people from all walks of life were able to survive different kinds of financial emergencies. Despite its popularity and large following, there are still a lot of misconceptions about car collateral loans Toronto. Let’s debunk the three most popular myths about these loans.

The Truth Behind the Myths

  • Myth 1: You can’t apply if you have a bad credit score.

Anyone with a vehicle can apply for a title loan. This means even those who are currently unemployed or those with poor credit scores. Since this is a secured loan, the lending company doesn’t need to check the borrower’s credit standing or credit history.

  • Myth 2: You have to surrender your vehicle.

Unlike a pawn shop, a title lending company has no need (or space) to take your vehicle. The only thing the lender requires you to surrender is your car’s title of ownership. This means you retain possession of your car and can still use it during the duration of the auto loan. The only time the lender will take your car is if you default on your payments.

  • Myth 3: You will be penalized for early loan payment.

It will depend on the lending company. The majority of title lenders are amenable to borrowers paying off their loans early. They understand that in situations where their client receives a windfall (ex. tax returns), they would want to clear their debts.

The Best in the Industry

If you only want the best, then Canadian Equity Loans is the lender to talk to. The company offers loans as high as $100,000, with no credit or employment checks. They also offer low-interest rates, flexible payment plans, and affordable monthly payments. Log on to their website to apply or call their toll-free number at 1-844-586-6311.

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