Arizona Registration Loans (Everything You Need to Know)
A registration loan, also known as a vehicle registration loan, is a type of secured short term loan available for residents of Arizona. A registration loan is similar to a title loan, also known as auto title loan. However, there is a simple difference. A title loan will require you to have a title that is free of its lien. In other words, your car loan must have been repaid in full and you should have complete ownership of the vehicle. A registration loan does not have this requisite. You may be repaying the car loan and there could be several months or even years left in the repayment term. You would still qualify for a vehicle registration loan in Arizona. It should be noted that other states do not have registration loan so your only similar option would be a title loan.
What Do I Need for a Registration Loan?
You will need to prove your income, provide proof of identification and you should be able to furnish the title or the registration details to establish your ownership of the vehicle being used as collateral. You don’t have to give up your vehicle. You don’t need a title free of its lien. You don’t need to provide any details pertaining to other loans you may have. There is no credit check so your credit history or score will not matter.
How Do I Apply?
Most lenders of registration loans in the state of Arizona will ask for full name of the applicant, date of birth, residential address, valid driver’s license, social security card, registration details of the vehicle and proof of income. The application process should not take longer than a few minutes if you have the details and supporting documents handy. Some lenders may ask for more information. The loan approval process takes hours. A few lenders in the state may offer you the loan amount by the end of their business hours. The swift processing and easy approval are two reasons why most people will find registration loan a practical choice, especially during emergencies.
Conclusion
A registration loan is similar to a title loan in many ways. The points of difference include the loan amount, repayment term and early repayment. The amount you can borrow is much less with a registration loan that with a title loan. This is simply because you may or may not have a lien free title. You don’t need to prove outright ownership of your vehicle while applying for a registration. You can borrow a few hundred to two thousand and in some cases two and a half thousand in case of a registration loan. A title loan can be worth as much as 70% of the value of your vehicle. This could be ten thousand or even fifty thousand, depending on the present resale value of the vehicle. Registration loan usually has a repayment term of less than twelve months. You can repay the loan sooner without any penalty and avoid subsequent interest.
Originally published at titlelo.com on June 10, 2018.
