Car Title Loans

Defaulting on a Car Title Loan

Living in the innovative era, borrowing cash is not a tough task. Moreover, there are different financial options present to help to experience financial freedom. At the time when the individual wants to apply for title loans, the requirement is to own the vehicle with a lien-free title. 

Individuals apply for title loans for different reasons. In addition, people apply for title loans to clear medical bills, late school fees, down payment for a new car, home repairs, and vehicle fixes. Title Loans serviced by Champion Cash Loans are the best option if the person has bad credit ratings. Title loans are based on the vehicle’s equity and do not go with your financial record. The ability to repay the taken loan and the documents provided will be checked before providing the amount required.

Most individuals want to know, what happens if you default on a title loan? This is fundamental to know everything about title loans before making any financial decision.

What is a Default?

A default happens when the borrower fails to clear the taken loan according to the payment plans assigned. Moreover, default takes place when you miss a payment, cannot pay the asked interest rates, or do not follow the terms mentioned in the loan agreement. Once the default happens, the lender will reach the borrower to discuss whether the default can be recovered effectively before getting the required financial assistance.

What happens if you default on a title loan?

Title Loans work flexibly and the individual has to submit a lien-free title that will work as collateral. In addition, you should own the vehicle having positive equity. The title loan agreement comes with great benefits and ensures the highest client support. Besides, you can expect flexible payment plans and the lowest interest rates. You won’t have to worry over prepayment penalties and can clear the loan as per your requirements.

If the borrowers default on the title loan, the lender either will add additional fees, or follow the vehicle repossession process. The conditions are mentioned in the title loan contract. In addition, this is why it is necessary to read the agreement before applying for title loans.

What happens if a Car is repossessed?

Considering the circumstance, if the client can manage the leftover payment according to the new guidelines of the lender, they can tackle car repossession. In case, the lender wants to repossess the vehicle then they have to send the notice mentioning the details of the repossessions. The lender will sell the vehicle at auction to cover the outstanding balance of the loan. If the lender gets funds of higher value than the actual title loan amount then lenders must return the additional funds to borrowers who have defaulted on the title loans.

If I cannot afford a title loan-Get a co-signer

Make sure to have a reliable person who can co-sign. If you consider that you require assistance from the person that can pay the loan, you can request different individuals to co-sign if they are unable to clear the loan. 

Defaulting on a car title loan- Choose to refinance

If you have a car title loan from other lenders and cannot afford the monthly payments, Champion Cash Loans is there to refinance the pending loan with flexible payment plans.

At the time to refinance the title loan, we will design the title loan with flexible terms and the lowest interest rates. You will get flexible payment plans making it easy to make payments without facing any complications.

What should I do to refinance the title loan?

You must submit the following documents to refinance the pending car title loan:

  • Lien-Free title having your name mentioned on it
  • Latest Vehicle Images covering all the important details such as VIN, interior, exterior, and rear panel.

  • Government-approved ID such as driving license, passport, or any other 
  • Residential proof such as mortgage bills, utility bills, and tax receipts.

If you cannot repay the taken loan according to the payment plans assigned, it becomes fundamental to allow the lender to know about your situation. By doing this, you won’t only avoid fees or repossession costs, however, you will increment the time to repay it. Being a reputed title loan lender we work with our clients ensuring they won’t face any complications while clearing the loan taken.


© 2023 Champion Financial Services DBA. Champion Cash Loans


DISCLOSURES TO CFS VEHICLE SECURED TITLE & PERSONAL LOANS

California: All loans are made or arranged pursuant to a California Finance Lenders Law License Number: 60DBO-35846.
Arizona: Loans made pursuant to Arizona Department of Financial Institutions Sales Finance Company License SF-1005405.

*Our loans can be up to $50,000 depending on certain factors. Depending on the time when the application is submitted, the funds could be given the same day or next day.

**Loans with an annual interest rate of 36% are limited to loan amounts between $2,500 to $9,999.00, while supplies last. The actual loan amount, term, and Annual Percentage Rate of the loan that an applicant qualifies may vary by applicant, lender, and the law requirements of those terms. Minimum loan amounts, terms, and rates may vary by state. Consumers need to demonstrate the ability to repay the loan.

THIS LOAN (Auto-Tile or Personal Loan) IS NOT INTENDED TO MEET LONG-TERM FINANCIAL NEEDS. Loan proceeds are intended primarily for personal, family, and household purposes. This service does not constitute an offer or solicitation for consumers in all states. This service may not be available in your particular state. The state of this site services may change from time to time without notice.

The actual loan amount, term, and Annual Percentage Rate of the loan that an applicant qualifies may vary by applicant, lender and the law requirements of those terms. Minimum loan amounts may vary by state. Consumers need to demonstrate the ability to repay the loan.

CFS Investments is licensed or registered as a finance lender as required by applicable state law and does not offer or service student loans. CFS Investments is not providing financial advice and does not warrant the accuracy of information as it subject to change without notice about its current product guidelines.

*CFS Investments may act as the broker for the loan, and may not be the direct lender or servicer of your loan. All loan applications are subject to meeting underwriting and credit criteria, which includes providing acceptable property as collateral. The actual loan amount, term, and Annual Percentage Rate of the loan that an applicant qualifies may vary by applicant. Minimum loan amounts may vary by state. Consumers need to demonstrate the ability to repay the loan. Credit Approval is subject to the credit criteria standards. A bank account is required as a condition and in order to obtain a Persona Loan. Loan proceeds may need to be disbursed via Automatic Clearing House (“ACH”) to the borrower’s bank account. The actual availability of funds can vary based on bank processing times, daily ACH deadlines, and weekends and holidays. Inquiring for a personal loan and its minimum requirements does not impact your credit score, however, completing a full application may affect your credit score.

CFS Investments, Inc. dba Champion Financial Services, Top Cash Loan, and PrestaQuickly. The terms and conditions set forth within the “General Terms and Conditions, up to and including but limited to the “Wireless Policy” applies to all CFS Investments, Inc. owned or operated websites in the aforementioned “DBA’s”.

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