Bad Credit or No Credit is OK
During these uncertain economic times banks are turning down lenders just because of the recession we are in, never mind being turned down because of bad credit, bankruptcy, repossession or no credit history.
You may not be able to turn to friends and family for your personal loan but if you own a vehicle then there is money in your car – and we don’t mean the change under your seat – you can use the equity in you vehicle as collateral for a loan. That’s why there are no credit checks.
The type of loan we offer at Discount Title Loans in Studio City, Los Angeles, California is a secured loan – you are using your vehicle as collateral, meaning you have something of worth that can be repossessed if the loan isn’t repaid, so your credit score has nothing to do with it.
These are meant to be short term loans for emergency quick cash. They are ideal for anyone with no credit, bad credit.
Because of the high risk factor for us the lender they carry higher interest rates than other types of loans. But having said that we have extremely competitive interest rates for cash loans.
We do not offer unsecured loans (also know as a personal loan or signature loan) – these are based solely upon the borrower’s credit rating. They are often much more difficult to get than a secured loan and have lower interest rates because it carries less risk to the lender. Not all are based on your credit score, for example, if your friend lends you money without any collateral, then your credit score has zero to do with it, but rather the value of your friendship is at stake. Therefore the real meaning of an unsecured loan is that it is not backed by any object of value and is lent to you based on your good name. For financial institutional purposes, they may want to look a your credit score because they are not your friend and it is strictly a business transaction, therefore your good name may be associated with your historical payment history on prior debt, reflecting in your credit score.