A question that people have is whether or not they can use a rebuilt title as equity to qualify for a title loan. We understand that things happen, and vehicle accidents occur constantly. If you’re looking for salvage title loans, it’s possible to use a reconstructed car as collateral for a loan. Anyone who applies for a rebuilt title loan should understand what’s required and what’s different with this type of secured cash loan versus the more common car title loans.
What Do I Need To Qualify For A Rebuilt Title Loan
The requirements for a title loan on a rebuilt title are similar to what you can expect for a typical car title loan. Even though your vehicle is not worth as much and has been damaged or rebuilt, it will still have some value, and you can use that as equity for your loan. An online company that offers fast title loans will want to see sufficient value in your reconstructed car.
To be approved for a title loan with a reconstructed car, you’ll need to have all this information ready, or you can get started by filling out our quick online application. Highway Title Loans works with borrowers in most states, and we can quickly process your application for a rebuilt title loan!
How Are Rebuilt Title Loans Different From Salvage Title Loans
The most significant difference between rebuilt title loans and salvage title loans is that rebuilt title loans are given to people who have a car that was once totaled or reconstructed but has been repaired to the point where it is now roadworthy. Salvaged titles, on the other hand, can encompass different types of vehicle conditions.
Salvage title loans are offered to customers with vehicles marked as “totaled” by the insurance company. This means that the car is not worth repairing and is only fit for scrap. However, some people choose to repair their vehicles themselves, which can lead to situations where they may need a loan on a salvage title.
The process for applying with a salvage title is often the same, although you will likely qualify for a lower loan amount with a vehicle valued at $5,000 or less.
What Else To Know About Title Loans With A Rebuilt Title
Another key difference with a rebuilt title loan is that your car must be inspected before receiving funds. That’s not to say that no inspection title loans aren’t common with standard vehicle equity loans, but there’s likely no way to avoid an inspection if you have a vehicle labeled as a salvage or rebuilt title. The good news is that most lenders can inspect your vehicle in less than 5 minutes. Sometimes, they can view your car remotely, either through an online video or picutes showing the inside and outside condition of the vehicle.
Rebuilt title loans are also different from conventional loan offers and car title loans because the amount of cash you can get will be limited strictly to the car’s lower value.
A lender is taking on risk when they offer an auto title loan for reconstructed cars and salvage titles. You can expect an APR or monthly finance rate of nearly triple digits, and the goal is to pay off the loan as quickly as possible.
Apply Now For A Salvage Title Loan With No Credit Check
If you feel that a rebuilt title loan is right for you, perhaps starting with Highway Title Loans makes sense. We work with borrowers all over the US, and you can be confident that our agents and loan processors will help you to understand all aspects of your application for a loan with a rebuilt title. Complete an application with us in less than 5 minutes and have cash for your reconstructed vehicle that same day. Get going with our application for a title loan with no credit check, or speak to our lending agents at 877-433-5454.
Janet Patterson is VP of Marketing Communications for Highway Title Loans and the feature editor of its Lending Blog. Janet has worked in the financial service industry for over a decade, with 7 years of experience in the car title loan industry. She previously managed a customer service team that helped and advised consumers on all their lending related questions and concerns.