The short answer is that collateral bad credit loans are secured and short term loans are not. This type of loan is taken out against a fully paid car. When someone takes out a title loan, they get a lower interest rate because they can use their car title as collateral. Short term loan interest rates are also much higher compared to collateral auto title loans.
Collateral vehicle title loans allow people to get more money because of the collateral. This is because the loan amount is based on the car’s true market value after the car is inspected and appraised by the lender. Interest rates are also the lowest in the lending industry.
The most noticeable reason no credit check title loans are better than short term loans is because of their long payment terms. Title loans offer a lot of flexibility and the longest that can be offered up to 7 years.
At the end of the day, there are many reasons to choose a collateral title loan over short term loans. If you are in a situation where you have bad credit and really need emergency cash fast, give title loans a chance to help you.
When in need of immediate or emergency fast cash that offers no penalties for early payments and low interest, a collateral car title loan from Quick Cash Canada may be the best option for you. Call Quick Cash Canada Loans toll free at 1-888-517-1625 and apply now for a car title loan. You’ll speak with a member of our dedicated team and see how Quick Cash Canada can help.