Some people think that title loans are ‘bleeding the poor’. However, this is perhaps not a fair description. After all, it is not as if title lenders are chasing people to apply for loans. Rather, they offer an emergency service to people who need money in a hurry. And it certainly isn’t true that only people who have a low income apply for these loans. Anyone is able to apply, so long as they own a vehicle.
Car title loans are short term loans. This means that they are most suitable for people who urgently and unexpectedly need some money. Their car may have broken down, they may have a medical bill, had an emergency repair and so on. In most cases, people will use their credit card to pay for these bills, but they may not have enough balance. Unfortunately, a regular loan will not be a viable option because it takes too long to apply for them and for them to be paid out.