The concept of instant online title loans sounds interesting. Fill out a form online and have money direct deposited into your bank account instantaneously; sound great, right?
However, in practice, “instant online title loans” is really just another name for fast title loans that you can complete online. Finding the fastest solution is often a top priority when an urgent financial need presents itself.
We’ll explain the topic of instant online title loans with direct deposit, how to get one fast, what they really are, and, just as important, what they really aren’t.
What is an Instant Online Title Loan?
An instant online title loan is a fast or quickly funded title loan that you can apply for and complete online. They are a way to get fast cash for unexpected expenses using the equity in your vehicle as collateral.
Usually they have short approval times that are only a few minutes and can be funded by direct deposit quickly the same or next day. They are very similar to storefront (in-person) title loans, except the borrower completes the process electronically (online) instead of in person.
Just remember to check with your lender if you have an immediate need for cash. A streamlined and optimized process can reduce the time it takes, but remember there is a difference between fast or quick and instantaneous.
How do Instant Online Title Loans work?
The process begins with an online application or inquiry. The lender reviews the application and then either denies or approves the application with a corresponding maximum loan amount.
It is important to note that just because you are approved for a certain amount does not mean that is the ideal loan amount. The more you borrow, the higher the interest costs.
Following approval and signing the loan agreement you are provided the funds; by one of the following methods:
- Direct Deposit,
- Bank Wire,
- Debit card.
Then, you make payments, just like any other title loan.
The process for getting an instant online title loan is usually quick and easy. There are five high level steps. Three before loan funding, and two after:
Pre-Loan Funding Steps:
- Apply Online
- Loan Funded
Post-Loan Funding Steps:
- Make Your Payments
- Get your Title Back
Step 1 – Apply Online
The first step is to fill out the easy online application. This only takes a few minutes and requires no commitment and no credit check. We recommend preparation prior to applying.
Step 2 – Approval
Next, you will need to get approved. This assumes you qualify for the loan. As a secured loan, approval is usually easy with no credit check. Taking the time to prepare helps ensure there are no delays as a result of incomplete information.
Step 3 – Funding
Finally, your loan is funded. If you have a preference for a specific funding method it is important to specify.
Step 4 – Make Your Payments
After your loan is funded you need to make your payments. Most “How It Works” explanations end after step 3: get your funds. This is actually only the beginning of the loan servicing.
This part of the process is where you will spend the vast majority of your time. Repaying the loan is critical to keeping your car. Missing payments can result in late fees, interest charges, and even default and repossession. This is one of the reasons why preparation for the loan is a critical step.
Step 5 – Get Your Title Back
Finally, after you make your final payment you get your title back. This is the best part of any online title loan; you get to move on when you are done with all of your payments.
Understanding the complete process is important. It is not always as easy as ‘1 2 3’. The sooner you start thinking about repaying the loan the better.
How do I Apply for an Instant Title Loan Online?
To start the process simply apply online by filling out a short form. There is usually no credit check so bad credit or no credit does not typically factor into getting approved for the title loan.
Instead, the value of the vehicle is the factor used to determine how much you can borrow. This is a big plus for borrowers without perfect credit.
Funding Methods and Timeframes
Instant online title loans do fund faster than many other loan types; significantly faster in some cases. However, they still require some time to both process and complete, even when funded online by direct deposit or bank wire.
While there is no title loan that is immediate, there are quick online title loans that are comparatively very fast. Just keep in mind that even the fastest title loans do take some time.
You can visit a title lender in-person and complete the process within 30 minutes if you have all of your information with you. That is about as close to an instant title loan as practical.
Online title loans do take longer than 30 minutes to fund; we’ll explain why and how long shortly.
Are there Title Loans Online with Instant Approval?
It is important to note that a car title loan online with instant approval does not mean instant funding. In addition, approval also takes time; even if only a matter of minutes. It is usually done swiftly and quickly, but does require verification of information.
In Person versus Instant Online Title Loan Times
Unfortunately, completing the entire process today is not “instant” or instantaneous. In fact, some online loans can take longer, in some cases significantly longer, to fund, than a direct title loan from a lender with a brick and mortar location.
Any title loan company that is promising an instant online title loan, or a 30 second title loan, is probably not providing accurate time related information.
As we’ve said many times, always read the loan agreement in full before signing and make sure you’re dealing with a reputable title loan company.
Funding Times are Different than Approval Times
Additionally, it is important to note that approval times are very different than funding times. A title loan can be approved very fast and still take time to fund. Make sure to check with your lender if funding time is important to you.
While many customers can usually get quick title loan approval, this does not always mean the loan is funded fast. If you have to mail the title to the lender before they fund the loan, this can take time. If the lender requires additional information or documents this can also take time.
Funding Time Examples
The following table shows some funding time examples for instant online title loans. As you can see proper preparation can have a major effect on how fast a loan can be funded:
|Type of Loan||Approval Time||Funding Method||Funding Time|
|Instant Online Title Loan with Preparation||Minutes||Direct Deposit||Same/Next Day|
|Instant Online Title Loan with Preparation||Minutes||Mailed Check||Next Day+|
|Instant Online Title Loan without Preparation||Hours||Direct Deposit||Same/Next Day+|
|Instant Online Title Loan without Preparation||Hours||Mailed Check||Next Day+|
|Instant Online Title Loan with Preparation||Minutes||Bank Wire||Same Day|
|Instant Online Title Loan without Preparation||Hours||Bank Wire||Same/Next Day|
Preparation is Important
We highly recommend preparing prior to applying for an instant online title loan. When we say prepare we’re talking about the key preparation steps for a fast online title loan that we often mention. Preparation is even more important for instant title loans for two key reasons:
- The need for accurate information when applying to avoid delay.
- To find the best deal and the fastest title loan.
Most lenders allow you to at least start the application process online. We recommend getting an estimate or quote from multiple lenders prior to applying with any particular lender.
Are there No Inspection Instant Online Title Loans?
It is now possible to get an car title loan online with no inspection, but these loans are not available in all states.
Instead of an inspection you will need to provide current pictures of your vehicle. These pictures typically include:
- The exterior,
- Odometer, and
The lender uses the pictures to assess the condition of the vehicle instead of a physical inspection. This has both positives and negatives. Obviously it is more convenient to complete the inspection without leaving your home.
At the same time, pictures can make it more difficult to assign an accurate value to your vehicle. This may have an effect on your max loan amount.
To help ensure your valuation is accurate make sure the vehicle pictures are current. Try to make it easy for the lender to assess your vehicle’s condition.
The lender will also use a vehicle history report. If you haven’t checked your vehicle history, now may be a good time to do so.
How long do Instant Title Loans Online with Direct Deposit take?
Unfortunately, no, there is no title loan that funds instantly; regardless of whether or not an inspection is required. There are also no 30 second title loans or any other time frame that is not realistic.
When you think about it, how could a lender realistically fund a title loan instantly? Use common sense and judgement when selecting a lender. If it sounds too good to be true, it probably is.
The truth is even the fastest online title loans can take a day at a minimum. 24 hours is possible and same day if you have all preparation steps complete when applying.
Funding time frames depend on the lender, however none are immediate or on-the-spot. You should consider that you will need to apply for the loan, get approved, complete the loan process, and then wait for the funding.
The process will include providing pictures of your vehicle, copies of your documents, and often mailing the original copy of your title.
Some lenders, depending on the state, may also require an appraisal by a third party. This all takes time. Depending on the lender it can be anywhere from a day to a week. The benefit of a vehicle inspection is a more accurate, and often higher, vehicle valuation.
Instant Online Title Loan Requirements:
The requirements for getting an auto title loan online are similar to the requirements for an in-person title loan, with the addition of vehicle pictures. Generally, you will need:
- A vehicle with equity,
- Lien free title,
- Drivers license,
- Proof of insurance, and
- Proof of income.
For title loans without the vehicle present there are some additional requirements including vehicle pictures. This includes the exterior, interior, odometer, and VIN.
Some lenders have excessive requirements like a GPS device, roadside assistance programs, and other unnecessary requirements that make the title loan process more complicated.
By complicating the process, this can slow down the process and add costs. We prefer to keep it simple to keep the process fast.
What are the Credit Requirements (Credit Checks?)
Many lenders do not check credit although it is important to note that some online title lenders do. It is also important to understand the difference between a soft credit check and a hard inquiry.
Most title loans do not require a hard inquiry on your credit report. This provides several benefits, the main one being it does not affect your credit score. Regardless, your credit score typically does not effect the loan amount because the vehicle is collateral.
Usually your car is your credit, so good credit or bad credit does not affect your car title loan amount or interest rate. This means you can typically get an instant online title loan with:
- Bad Credit
- Ok Credit
- Good Credit
- No Credit
The vehicle value is what is important not the credit score.
Are There Income Requirements?
While proof of income is typically a requirement, the more important requirement is the ability to repay the loan. This does not necessarily have to come from income from a job. It is possible to get a title loan with no proof of income, as long as you can demonstrate the ability to repay the loan.
In some cases repayment can come from other sources. To learn more, find out how to get a title loan with no income verification.
*Online Title Loan Tip: Get funded faster.
Want to make sure you get your title loan funded fast? The key to making sure your loan is funded quickly is having all of the required information and documents ready when you apply.
If you can’t find your title and have to get a replacement, that will add time. If you can’t find your insurance card and have to get a new one, that may also take some time.
Many title loans also require proof of income, so make sure you have your two most recent pay statements with the rest of your information. If you can’t find them and have to print or download replacements, that will take time.
We suggest gathering all the required information and documents and putting them in a single folder or file.
This will ensure there are no unnecessary interruptions to the process and will help make sure your loan gets funded the fastest online. When you go to complete the title loan application you will have everything ready.
Funding Methods – Title Loans Online with Direct Deposit
A common funding method for online title loans is direct deposit into your checking account. There are several other ways to fund the loan including a wire transfer (if time is critical), a paper check, and in some cases a Debit card.
Choose the funding method that makes the most sense for your situation.
What if I don’t have a Bank Account?
While direct deposit is a convenient funding method, it does require a checking account. There are other funding methods that do not require a bank account. Simply pick one of those to complete the loan with no bank account.
How much do Instant Online Title Loans Cost?
Instant online title loans typically cost the same as any other title loan; and can have very high interest rates. There are alternatives if cost is a major concern, one of which is to find the best online title loans at the lowest rates. This can save a significant amount over the loan term.
We also developed a title loan calculator to help customers determine the actual costs of title loans. Considering many lenders do not provide cost information readily, you can use the calculator to get an instant estimate in real time.
Generally, car title loans are either single payment loans or monthly installment loans. Many online title loans are monthly installment loans. This means they have equal monthly payments (or installments) of both principal and interest.
There are usually no prepayment penalties, however, make sure to confirm this with your lender.
Repayment terms can be anywhere from a month to over a year. A title loan in Florida, for example, has a 30 day repayment period while a title loan in California can last over a year.
Important – Car title loans are short term solutions. They are NOT meant to be long term loans. Making a car title loan a long term loan can cause a substantial increase in cost that can result in a financial problem.
Repayment Methods – Direct Payment or Online Bill Pay
As previously mentioned making your payments is a critical part of the process that should not be overlooked. Make sure you can easily make your payments on time without unnecessary delays.
If your loan was funded by direct deposit, then you should be able to make your payments the same way. If not, then online bill pay is another easy alternative that does not require a visit to the lender.
The way we use and acquire financial services is evolving. Title loans are a financial service in the form of credit, although they typically are not talked about in the mainstream.
As more services become electronic and online, we expect title loans to become both faster and easier to complete electronically. Eventually this will get closer to an instant online title loan.
In fact, 24 hour title loans are more available now. Perhaps the fact that title loans are not permissible in all states is a reason for the slow adoption of technology solutions.
Add that to different rules and regulations in the states that do permit title loans, and you can see the difficulty in attempting to standardize the instant online title loan process.
Additionally, laws change on a regular basis. While you can get a fast online title loan today, they are not exactly instant, so keep that in mind. Finally, if you do decide to move forward with an auto title loan online, make sure to find out the funding time frame and method.
Title loans can be completed very fast, in some cases in less than 30 minutes. Online title loans, on the other hand, can be completed the same or next day. It is important to note that approval and funding times are not the same. A title loan can be approved quickly but still take time to fund.
Preparation is a key step to ensuring you not only make the best decision about a title loan, but also ensure your title loan is completed without unnecessary delays. Preparing includes gathering required information, planning your loan amount, and finding the best title loan company. To get the fastest online title loan the best way is to do so is to have your information complete and ready when applying.
Yes, online title loans with direct deposit are available. Direct deposit is simply a funding method for the online title loan, however it does require having a bank account. Other funding methods include a check or debit card.
Generally, approval for an online title loan can be completed very fast (not quite instant, but can be done within minutes). It is important to note though that approval times and funding times are not the same thing. A title loan can be approved very fast and still take some time to fund depending on the lender.