A car title loan is a short-term loan that uses the borrower’s car as collateral against the loan amount. Most people who use a car title loan struggle to qualify for other kinds of personal loans and finance options.

While you can complete most of the application online, lenders will still need to see the necessary paperwork and the vehicle to verify your ownership and the car’s condition.

Wondering, ‘what do I need for title loan applications?’ Here we take you through how to get a title loan. We’ll cover the requirements for title loan applications and the terms you need to know.


What are the Requirements for a Title Loan?


If you want to qualify for a title loan, you’ll be pleased to know that the application process is relatively straightforward. To get started, you’ll need to meet some basic requirements:

  • You need to be 18 years or older to qualify for a car title loan.
  • You must fully own a vehicle with valid documentation to confirm this. Your government-issued ID should match the name given on the document.
  • Provide proof of income to show you can borrow money and repay the loan. Some companies may accept benefits payments as proof of income if you’re not working.

It’s worth noting at this point that to get a car title loan, you will also need to live in a state where these loan operators are permitted, as this kind of borrowing is banned in many states.

Once you’ve found a provider, you can usually begin the procedure of applying online. However, you’ll need to be prepared to have your car assessed in person and have all the relevant documentation in order.


Looking to secure a title loan? See our list of recommended title loan companies.


What Documents Do I Need for a Title Loan?

To apply for auto title loans, customers need a selection of documents depending on the provider. Some or all of the following paperwork may be required:

  • An original copy of the vehicle title, showing full ownership.
  • Ability to provide proof of zip code and address (such as a utility bill) matching the name on the title.
  • Government-issued ID that matches the name on the car paperwork.
  • Proof of valid insurance.
  • Vehicle registration documentation.
  • Proof of ability to repay the loan, such as recent payslips or bank statements.
  • Copies of the keys to the vehicle (not always required).
  • Full details and contact information (e.e. telephone number, zip code, and address) from two valid references.

Most lenders won’t check your credit rating before applying online, as the loan’s value depends on your vehicle’s estimated resale price. This makes a loan against your car title a good option for borrowers who struggle to qualify for other types of credit, such as unsecured loans.


Preapproved title loans


How to Apply for Car Title Loans

Customers looking to secure money in this way should follow the below process to get a loan:

1 . Send the title document to the lender.

2 . Prepare all documentation required, ensuring it’s up to date and valid.

3 . Complete the application in person, and sign the agreement.

4 . Continue using your car as you usually would throughout the loan term.

This is an incredibly straightforward way to access funds when needed quickly. There’s no lengthy process, and you won’t damage your credit history by applying. Companies that offer these deals tend to make the fund available instantly, so there’s no waiting around either.



How Much Cash Can I Get for My Title Loan?

You can usually get loan amounts for 25% to 50% of the value of your vehicle. The average amount taken out is between $100 and $5,500, but some providers will allow you to take out up to $10,000.

The real loan amount you’ll be eligible for depends mainly on your vehicle type and its condition. The loan provider will assess how much they think your vehicle is worth and may take your income into account and offer you a financial loan based on this.

Once your application has been approved, you must hand over the title of your car to the provider. Borrowers can keep possession of their car and can continue to drive it, but many lenders will make copies of the keys and/or install a GPS device on the vehicle so that they can track it.

These measures are implemented so the provider can keep track of your car and repossess it if you default on the car title loan. The repayment periods are short-term, between 15 and 30 days, but some providers will offer longer loan terms.


How Expensive is a Title Loan?

They are a quick and simple way for borrowers to get cash fast, particularly if you can’t take out a loan with a standard lender. But, it’s worth noting that they have higher interest rates than other types of loans, so you should ensure you have the income or ability to repay before you borrow money.

Lenders offer unique rates and deals. Unfortunately, there’s no standard interest fee that all lenders share. However, interest rates tend to be around 25% per month for car title loans. This is equivalent to an annual percentage rate (APR) of about 300%.

For example, if you secure a relatively small amount of money, like $1,000, at a monthly interest rate of 25%, you have to pay $1250 at the end of your term. This figure doesn’t take any additional fees (which are quite common) into account.

If you don’t repay the loan in full at the end of the term, providers may roll your loan over into a new package, adding a new interest rate and fees on top of what you already owe. You’ll have to call lenders interested in and inquire about interest rates to ensure you have all the information you need upfront.



Loans that utilize your car title as collateral offer a swift application process and have minimal loan requirements, making them more accessible compared to other types of unsecured personal loans. The ideal candidate for this type of borrowing typically possesses the following characteristics:

  • Has outright ownership of a vehicle
  • Understands the high-interest rates
  • Has enough financial resources to expect to pay the installments on time reasonably.

If customers or looking for fast cash and qualify for this type of lending but don’t have a plan to repay the loan, a car title loan amounts to selling your vehicle for less than half its value.


Need Help Getting a Loan Today?

Are you ready to secure a loan against your car as collateral? You’ll need the best rates and expert advice to make this decision worth it.

We recommend contacting Max Cash if you need to borrow money. These are the experts you need to consider taking out a loan against your vehicle. You can chat with a representative and discuss a deal right for you.

Max Cash has helped many happy customers secure a loan with minimal fees, the best rates, and quick approval. Get in touch with their team now to start borrowing right away.



Do title loans affect your credit score?

Unlike a personal loan, these loans won’t impact your credit ratings, as lenders don’t run a credit check to confirm your ability to repay. On the other hand, the fact that repayments aren’t reported to the credit bureaus means auto title loans won’t improve your credit rating either.


How much cash can I get with a title loan?

If you want to borrow with a car title loan, you may get up to $50,000, depending on your car type. Most lends have an online form that will give you an estimate of what you can borrow. The exact money you’re eligible for is around half the car’s cash value, although your income, state, and individual provider will also factor into this.


What information do lenders need?

For loan approval, they’ll need the following essentials:

  • Valid proof of ownership
  • The vehicle title
  • Basic personal information and details.

Customers must ALSO provide references, government-issued ID, and proof of insurance. Call your lender for clarification on the documents required.


Is there a minimum loan amount for customers?

This depends on the state you live in and the lender you choose. Minimum rates vary. Given that your car is used as collateral, these are usually medium-sized loans between $1000 and $5500.


Are car title loans worth it?

This depends on your circumstances — very often, they are. But, they can be risky for borrowers without a realistic repayment plan. Your car will be used for collateral, so there’s the risk of losing your vehicle if you can’t meet repayment deadlines. The interest rate on these loans is higher than other types of financial borrowing, so you need to consider these costs and fees before agreeing.


Is it hard to get a title loan?

No. Anyone who owns a car and is over 18 is eligible to apply. You must also live in a state where this is possible, as the practice is banned in several states. Otherwise, it’s straightforward and won’t alter your credit history, so it might be the right option if you can’t secure funds elsewhere.