Payday Loan 
Title Loan 
Personal Loan 
Business Loan If you’re in need of quick cash, you may be considering a title loan in Arizona. But before you make a decision, it’s important to understand exactly how title loans work and whether they are the right choice for you.
What are title loans?
A title loan is a type of short-term loan that uses your car as collateral. If you own your vehicle outright or have a substantial amount of equity in it, you may be able to borrow money against it by taking out a title loan.
How do title loans work in Arizona?
To get a title loan in Arizona, you’ll need to bring your vehicle to a lender and provide proof of ownership, such as a car title or registration. The lender will then assess the value of your vehicle and offer you a loan based on a percentage of that value. In most cases, you’ll be able to borrow up to 50% of your car’s value.
Once you’ve accepted the loan offer, you’ll be required to hand over your car title to the lender as collateral. You’ll then have a set period of time to repay the loan, typically 30 days, with interest and fees added on top of the principal amount. If you’re unable to repay the loan within the agreed upon time frame, the lender may repossess your vehicle.
Eligibility Requirements
Vehicle ownership requirements
To be eligible for a title loan in Arizona, you must be the owner of the vehicle you’re using as collateral. This means you must have the car title in your name and be able to provide proof of ownership to the lender.
Credit score and financial history
Title loans are generally available to borrowers with poor credit, as the lender is using your vehicle as collateral rather than relying on your creditworthiness. However, some lenders may still consider your credit score and financial history when determining loan terms and eligibility.
Age requirements
In Arizona, you must be at least 18 years old to take out a title loan.
Repayment Terms
Length of loan
Title loans in Arizona typically have a repayment period of 30 days. However, some lenders may offer longer repayment periods for an additional fee.
Interest rates and fees
Title loans in Arizona are subject to high-interest rates and fees. The state does not regulate the interest rates that lenders can charge, so it’s important to shop around and compare offers from multiple lenders to find the best terms.
Payment options
Most title loan lenders in Arizona offer a variety of payment options, including in-person payments at a physical location, online payments, and automatic debits from your bank account. Be sure to ask about the available payment options and choose the one that works best for you.
Potential Risks
Repossession of vehicle
If you’re unable to repay your title loan on time, the lender may repossess your vehicle. This can be a major inconvenience and may leave you without transportation.
High-interest rates and fees
Title loans in Arizona are known for their high-interest rates and fees, which can make them expensive to borrow. If you’re unable to repay the loan on time, you could end up paying significantly more in interest and fees than you originally borrowed.
Damage to credit score
If you default on your title loan and your vehicle is repossessed, this could have a negative impact on your credit score. This could make it harder for you to get approved for other loans or credit products in the future.
Alternatives to Title Loans
Personal loans
If you need to borrow money, a personal loan from a bank or credit union may be a more affordable option than a title loan. Personal loans typically have lower interest rates and fees, and you won’t have to put up your car as collateral.
Credit union loans
Credit unions are non-profit financial institutions that often offer more affordable loan options than traditional banks. If you’re a member of a credit union, it’s worth inquiring about loan options and seeing if you qualify.
Borrowing from friends or family
If you have a close relationship with someone you trust, you may be able to borrow money from them rather than taking out a title loan. Just be sure to put the terms of the loan in writing to avoid misunderstandings or hard feelings.
Fill out a loan application online on our website
If you’ve decided that a title loan is a right choice for you, you can easily apply online on our website. Simply fill out the online application form, provide all the required information and submit any necessary documentation. Our lenders will review your application and get back to you with a decision as soon as possible.
Conclusion
Title loans in Arizona can be a quick and convenient way to borrow money if you own your vehicle outright or have a substantial amount of equity in it. However, it’s important to carefully consider the terms of the loan, including the interest rates, fees, and repayment period, before making a decision. If you’re unable to repay the loan on time, you may risk losing your vehicle and damaging your credit score. It’s always a good idea to explore all your options before taking out a title loan.
F.A.Q.
Most title loan lenders in Arizona will allow you to borrow up to 50% of your car’s value. However, the actual amount you can borrow will depend on the lender and the value of your vehicle.
Yes, title loans are legal in Arizona. However, the state does not regulate the interest rates that lenders can charge, so it’s important to shop around and compare offers from multiple lenders to find the best terms.
If you’re unable to repay your title loan on time, the lender may repossess your vehicle. This can be a major inconvenience and may leave you without transportation. It’s important to carefully consider your ability to repay the loan before taking one out.
Yes, there are several alternatives to title loans, including personal loans, credit union loans, and borrowing from friends or family. It’s always a good idea to explore all your options before making a decision.