Why Do You Need Car Equity Loans?

A Car Equity Loan is truly what it sounds like. It is defined as a loan that uses the equity in your vehicle like a car, a van, an SUV, etc. as security to lend you money. Car equity loans are beneficial for borrowers with bad credit scores and need quick cash. To learn more about whether a car equity loan is best for you, read this complete guide to understand what an equity loan is, what are its requirements and how it can help you?

Home equity loans may be familiar to you. Well, vehicle equity loans are also similar except that your car’s equity will be considered. People who require instant cash for unexpected finances such as medical bills, sudden house of vehicle repair, business deals, utility bills, etc. prefer this option. Usually, people with a bad credit history or past financial issues find this option helpful. 

Vehicle Equity Loans Requirements

Fortunately, you need not worry about your credit history with a car equity loan. But there are some other requirements of this loan that you should meet for getting approval. You can check the below-mentioned requirements:

Identity Proof: To ensure that you are a genuine person, we need to verify your identity and thus, you have to submit an identity card issued by the Canadian government. 

Collision and comprehensive car insurance: Having comprehensive and collision insurance of your vehicle is mandatory and you need to submit it to us for taking a loan.

Car registration in your name: To get approval for a car title loan, your vehicle should be registered in your name and you need to submit the registration papers to us. 

Title Papers: To apply for an equity loan, you need to submit the vehicle’s lien-free title paper to us. The title paper will be kept as a security during the loan period. 

You also need to submit your valid Canadian driver’s license, proof of your permanent address, etc. 

Perks Of A Car Equity Loan

Here are some of the benefits of applying for this loan:

Relatively long loan terms: In comparison to other loan options available for borrowers with poor credit, equity loans usually come with a long term. We offer the longest loan term of up to 4 years so that you can easily pay your installments while managing other expenses.

Most people qualify: A good or an excellent credit score is typically one of the toughest criteria for financing. Several people cannot fulfill this requirement and thus find it difficult to get financial help at the required moments. But now you need not worry. With Snap Car Cash, you can get financial help at any time and apply from anywhere in the world. If you are in between jobs and have a bad financial history, you can still qualify for this loan.

No prepayment penalties: If you want and manage to make an early payment to close your loan account, you are free to do so. We do not charge any pre penalty for closing your loan account earlier than the due date. 

If you are interested to know more and apply for a car equity loan, you can simply contact us at 1-888-886-SNAP(7627) or visit our website online.