Can I get a Title Loan without the car title?
One of the main requirements for a title loan is the vehicle title. So, how do you get a car title loan without the title? This is question that is asked often. Can you get a car title loan without the car title? The obvious answer would be no, but that is not necessarily the case. The real answer depends on the reason you don’t have the title. Is the title lost or damaged? Does the lienholder have the title? Did you recently pay off the vehicle and haven’t received the title? These answers will define whether or not you can get a title loan without the car title.
Getting a Title Loan without the Vehicle Title
To get a title loan without the vehicle title you will need to have proof you own the vehicle and that there are no existing liens on the vehicle. Let’s look at three use cases that involve trying to get a car title loan without the title. In each case, the lender will need to agree to move forward with the loan without a hard copy of your title. The process may be different in different states, but the concepts are the same.
Use Case 1 – You lost your title
In this scenario, you had a lien free title to your vehicle at one point and just can’t find it. You still own the vehicle with no liens but just can’t find your title. You have two choices: 1. Go to the DMV and get a replacement title before visiting the lender, and 2. Have the lender prepare the paperwork for a replacement title and do this at the time of the title loan. This is one way to get a car title loan without the title. Because the lender will be filing paperwork with the DMV to record their lien on the title, they may be able to save you a trip by requesting a replacement title at the time of the loan.
Use Case 2 – You recently paid off the vehicle and have not received the Title yet.
When you make a final payment on a car loan, the lender is supposed to send you a copy of your car title with no liens. In most cases, this happens in a timely fashion. There are some cases, however, where there may be a delay. Sometimes these delays can be significant and if you have an emergency you may not be able to wait. In this scenario, you will need to provide the lender with proof that you satisfied your previous loan. Similar to the first scenario, the lender will file paperwork to receive a replacement title to record their lien on. This option is not available in all states and not all lenders are willing to follow this procedure. If the lender agrees, this is one way to get a title loan without the car title.
Use Case 3 – The Title is in multiple names
In this scenario you don’t have the title because it is in multiple names. Perhaps you and your spouse. Maybe your spouse has the title and you want to get a title loan without the car title. Unfortunately, in this case you will not be able to get a title loan without the title. You and the other person on the title will need to visit the lender and complete the loan paperwork.
Electronic Liens for Title Loans
Some states now require lienholders to participate in the Electronic Lien and Title Program. This allows lienholders to place and release liens electronically, eliminating the need for placing liens on hardcopy paper titles. Some states do require title lenders to record their liens on the paper copy of the title, and some allow electronic liens. This does complicate things a bit, always make sure when you pay your loan that you receive confirmation that your lien was released.
Summary: Can I get a Title Loan without the Car Title?
You may be able to get a title loan without the car title if you own the vehicle with no liens. The lender can request a replacement title from the DMV at the same time they record their lien on the title, provided your state allows this and the lender is willing to complete this procedure. As a general rule, it is best to find your title, or order a replacement yourself prior to getting a title loan. If it is an emergency, and you cannot wait for a replacement, give your lender a call to go over your options.