Is A Car Pawn The Same As A Title Loan?
People hear different terms regarding alternative financing, leading them to wonder whether a car pawn is the same as a title loan. It can be unclear, but the term used depends on your state.
States regulate private lenders and alternative finance options, and state laws regulate the terms used. While a car title pawn and a title loan function are almost the same, the difference between them is legal in state laws.
If you’re facing a financial emergency, Georgia Auto Pawn, Inc. offers auto title loans to help in times of urgent need. Keep reading to discover the similarities and differences between a car pawn and a title loan.
Are A Car Pawn And A Title Loan The Same Thing?
A Car Pawn By Any Other Name
Georgia and neighboring Alabama list title lenders under pawn shop regulations, so the law states that type of alternative financing must be called a car pawn. Those that list private lenders under banking or financing regulations allow them to use the term title loans.
However, using the term title loan in Georgia is illegal because the state views these lenders as pawn shops rather than banking institutions. Both types of financing work the same way. These loans are short-term financing options that people can use for emergencies. A pawn shop holds onto your valued item until you repay the loan.
In all of these cases, you are taking out money based on the value of the object you own. With a vehicle, the amount can be significant depending on its value. Both car pawn dealers and title loan lenders hold onto your title only while you keep your vehicle. This means you can use your car as usual as you make monthly payments until the amount is repaid in full.
Both car pawns and title loans require some of the same things, but it depends on the company issuing the financing. All will require that you have a clean title and the vehicle in your possession, among other things.
A clean title means you own the car outright with no one else laying claim. It has no liens or judgments against it. Generally, the vehicle must be in decent shape to get the best car pawn amount possible. It needs to run and have a proper body.
Getting A Car Pawn In Georgia
Georgia Auto Pawn Inc. offers title pawns up to $15,000, depending on the vehicle. Our requirements are simple:
- You must be at least 18 years old.
- You must have photo identification like a driver's license or state-issued ID
- You must hold a clear title in your name
- You must have the vehicle handy for an inspection
While some issuing a car pawn requires a checking account, we do not have that requirement. Getting a car pawn with this company can happen after a meeting that can be done as quickly as 30 minutes. Those approved can get the money either the same day or the next business day.
One of the advantages of choosing George Auto Pawn, Inc. for a car title pawn is that the process is super easy. The car title pawn process is convenient and can take as little as 30 minutes. Here’s how it works:
- It starts with you asking for information. You can call them directly, but a more straightforward way is to fill out the online inquiry form. The form is found on the website.
- Submitting the form, which takes only minutes to fill out, sends it to the store location of your choice. A store representative will contact you to talk to you about your options. They will explain the process, what you need to apply, and answer all your questions.
- Then, they will help you schedule an appointment to fill out an application. You can visit a Georgia Auto Pawn Inc. store near you or choose a more convenient location. When a store representative meets with you, they will do a 5-minute vehicle inspection to establish its value.
- The value of vehicles is based on standard pricing guidelines that are recognized nationally. Once the store representative has the vehicle's value, they can tell you how much you are qualified to borrow.
- They will then walk you through the easy-to-understand paperwork, and you can arrange to pick up the money once approved. That can happen in as little as 30 minutes. The funds will be available by the end of the next day at the latest.
Why Use A Car Pawn?
A car pawn may solve a pressing, immediate problem like a home repair or an emergency dental bill. It can help you pay for something that can't wait until you save money and relieve stress in emergencies.
The only way you'll find out if a car pawn is the right choice is to get more information by filling out an inquiry form. Filling out the online form doesn't obligate you to take out a car pawn but will put you in touch with a store representative who can answer your questions. Fill out the form to see if you qualify for a Georgia Auto Pawn, Inc. car pawn.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.