Motorcycle Title Loans

Are you searching for motorcycle title loans near me? You are in the right place. We partner with a long list of lenders who are compliant with all CFPB guidelines and who will be able to come to your rescue when you are in need.

This article breaks down motorcycle title loans and tells you how they work, what you need to qualify for one, and all the pros and cons to help you make an informed decision.

How Do Motorcycle Title Loans Work?

A motorcycle title loan (commonly referred to as motorcycle title pawns) is different from a credit card or cash advance since you give the motorcycle as collateral. However, the lender only needs your motorcycle title, and you can keep driving your bike while making the monthly payments.

It is easy to qualify for this type of loan if you have a lien-free, paid-off motorcycle title. You can borrow up to $10,000 depending on your state's laws and the value of your motorcycle.

As with most other types of loans, there are two main classes of motorcycle title pawns: single-payment and installment loans. Single payment motorcycle title loans are typically due in a month. On the other hand, installment motorcycle title loans are payable in equal monthly installments over three to 12 months, depending on the lender.

How to Get a Motorcycle Title Loan?

The process varies from one individual to another. Here is the general process:

• Estimate the value.

  Figure out the value of your motorcycle and how much you can borrow. If you are considering getting a motorcycle title loan, a quick google search will give you approximately how much you can borrow and what to expect.

• Find a suitable lender.

  Use WeLoans to find and compare the most reliable lenders in your area. Ensure to check that the lender offers motorcycle title pawns.

• Send in your request.

  In most cases, you can easily and quickly complete your request by filling in a simple online form. You will also need to provide your Social Security number.

• Deliver your motorcycle and documents to the lender.

  Typically, lenders will ask to see the bike and hard copy of the title.

• Receive your cash.

  If all is satisfactory, you can get your approval and driver back on your motorcycle since the lender only requires the motorcycle title as collateral.

How Do I Qualify for a Title Loan

Typically, lenders will not loan you the full value of your motorcycle title. In many cases, you are not able to know exactly how much you can borrow until you send in your request to a lender, who will assess your application and come back to you with the numbers.

To qualify for the loan, you need to:

• Being at least 18 years of age.

  This is a basic requirement for most states

• Have a lien-free motorcycle title.

  You can't qualify for a loan if your title is used as collateral for another loan.

• Have proof of regular income.

  Lenders need to know that you can pay back the loan in full and on time. So you need to provide proof of income, employment income or otherwise.

• Provide proof of residence.

  The lender will need to see evidence that you live in the state. This could be a lease agreement or a utility bill.

Pros and Cons of Motorcycle Title Loans

There are various advantages and disadvantages to title loans, and it is good to be aware of them before applying for one.

Pros

• You can get a loan in as quickly as 1 hour if you go to the lender in person.
• In most cases, you don't need a bank account to qualify and process a motorcycle title loan.
• Although the interest rates are still on the higher side, motorcycle title loans are still more affordable than payday loans.
• To qualify, you only need to prove a steady source of income. Not necessarily a job. You can be eligible for a pension, alimony, unemployment benefits, etc.
• You can qualify with a poor credit score or no credit score at all.

Cons

• Motorcycle title loans carry 300% APRs.
• Unlike many other short-term loans, you can not complete the application online. Most lenders will require you to show up in person.
• Not all states allow title loans, so the service might not be where you are. Some states have tough regulations for title lenders. Read your state's laws to avoid predatory lenders.
• The lender can repossess your motorcycle if you can't pay it off or default on your loan.
• If you are not able to repay your single payment loan on time, you can renew the loan, but this doubles up the interest and fees and can potentially lead you into a cycle of debt.

How Much Cash Can I Get With A Motorcycle Title Loan?

How much you can get depends on how much your motorcycle is worth. - it depends on several factors such as the model, make, year, mileage, and wear and tear.

Also, the age of the vehicle plays a role. Similarly to how an older car would fetch you less money with a title loan, the same holds true for an older motorcycle. Your credit history also determines the interest rate; thus, the higher your credit score, the cheaper your interest rate will be.

You can use websites like Cycle Trader to evaluate the approximate value of your motorcycle. To obtain an exact number, though, you will need to have it assessed by an expert. Typically, title lenders evaluate your vehicle before granting your loan, so you can determine its value when you apply.