A common question when contemplating a title loan is “do I get to keep driving my car?”
This is a fair question; if you pawn your car you need to leave it with the pawn shop. With a title loan one of the big advantages is the fact that you do get to keep driving your car. This means:
- No disruption to transportation.
- Continued use of your vehicle.
- No restrictions on using your vehicle.
We usually compare this to when you finance a car when purchasing. You make payment to the lender until the vehicle is paid off. Druing that time you own, drive, maintain, and use the vehicle. The same is true for a title loan.
If you stop making payments on a car loan, whether is was a new car or used car, the lender will likely repossess the vehicle to recover the cost of the loan. The same is true with a car title loan. Stop making payments and the vehicle can be repossessed.
So as long as you make your payments and keep the loan in good standing you continue to own, use, and drive your car.