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Spanish Interest rates for car title loans depend on your vehicle's value and where you live, as each state has different restrictions and caps on secured loans. Still, the average annual percentage rate for a title loan can range from 20% to 175% for a vehicle valued at $5,000 or more . Remember that the APR listed here reflects a percentage on a yearly scale, and the rates can be even higher in some extreme circumstances or if you fall behind on the payments. Therefore, paying back your title loan as quickly as possible is best to avoid excessive rates.
Interest Rates For A Hyperlend Title Loan
Hyperlend works with lenders that offer some of the lowest interest rates available. That means interest rates that start at 20% and go all the way up to 125%. In California, for example, the APR is capped at 36% for title loan amounts between $2,501 and $10,000. In other states such as Georgia or South Carolina, there's no limit on interest rates and loan amounts and you can generally borrow up to 60% of your vehicle's value.
While the APR for a car title loan may seem higher than that for other personal loans, you can be confident that we check these terms often and only work with state-licensed lenders. We'll work to get you matched with a lender that has the best rates currently available in your state!
Some states cap interest rates for auto title loans. With that in mind, we recommend using title loans only when necessary and seeking different forms of financial assistance like credit unions or short term installment lenders. Consider online title loans if you have no choice, as these loans have some of the highest interest rates and finance charges. Check the lending disclosures with any finance company you work with.
What Percentage Of Borrowers Will Pay Back A Title Loan
There's no denying that some title loans default, which ultimately means the lender repossesses your vehicle. However, over 70% of secured lending applicants will repay their loans, which shows that most customers use these loans for financial emergencies and repay the balance by the due date.
A big reason for this is that many customers will prioritize title loan payments over other unsecured loans as they don't want to lose their vehicle. Still, most borrowers eventually pay back the amount borrowed and face little to no risk of a title loan default.
Make Extra or Early Payments To Avoid Excessive Finance Charges
Yes, you can always repay your loan early, and that's always recommended if you can afford the extra payments. You can save thousands in interest by repaying your lender early by shaving a few months off the lending term.
If you're dealing with a high-interest loan, contact Hyperlend. We'll work with you to find a more manageable repayment term and help you find other lenders in your state offering low-rate secured loans.
What Else Know About Title Lending Interest Rates
Before you agree to take out a car title loan, you must understand all the terms and conditions associated with the loan, including the interest rate and fee structure.
Another thing to remember about interest rates is whether or not there are any prepayment penalties. Most lenders should offer you a loan without charging fees for an early payoff! Seek out the nearest title loan companies licensed in your state and willing to disclose all the costs of your initial application.
Contact Hyperlend at 800-971-3022 to learn more about the interest rates associated with a title loan. We can also help you refinance your current title loan with a lower interest rate and potentially faster repayment term! Apply online or call us today!