Yes, indeed, I got a title loan in Louisiana. Was I scared? Absolutely. Did I let that stop me? No, of course not! And I’m really glad I didn’t because it turned out to be exactly what I needed.
Here’s How It Went
I started by researching. I’m of quite a nervous disposition so I wanted to make sure I was well-informed before I did it. I found all the usual statements online by people who defaulted and hated title loans with a passion.
But, I also found a bunch of people who had great experiences. So, I decided to practice optimism and go for it.
After my extensive research session, I realized I would need the following documents:
- My vehicle title.
- Identification (the name has to match the one on the vehicle title).
- Current vehicle registration.
- Proof of residency.
- My most recent payslips.
- Two references.
- A copy of my car’s keys.
I gathered them all together straight away. Quickly, I realized that I didn’t need a good credit score nor did I have to be employed (I am employed so I wasn’t too worried about that issue). However, I’ve always questioned whether my credit score is good enough for things like this and, as it turns out, it is!
My title loan lender in Louisiana didn’t judge me on my financial past and, overall, was incredibly friendly and approachable. This might not sound like a big deal. But it meant the world to me (as I said, I’m a nervous and introverted person).
I think I should mention here that you always need to ensure your loan contract meets the following guidelines for your own safety:
- It’s written down.
- It states the loan term clearly.
- It states the loan interest rate.
- It specifies the total payment.
Of course, this might be obvious to you. But, I was a real newbie at the beginning of the process. It’s safe to say that this taught me a lot!
Anyway, I’ll continue.
I shopped around for the best deal (naturally) and I encourage you to do the same. In Louisiana, the interest rates for title loans are capped at 36%, but you can find lenders that keep them at a solid 25%.
Fees do play a part in this whole title loan thing. But, let me assure you that they are so much cheaper than I expected them to be. I thought I was going to have to sell my soul, but it ended up being nothing like that (phew).
Once I found my lender (you know, the friendly one with the best interest rates and loan terms for me), I filled out their application form online. It took around 10 minutes for me to do as I wanted to make sure I did everything perfectly.
After I submitted it, someone rang and talked me through the rest of the process. They explained everything clearly and told me which documents I needed to send in (the ones I told you about above). Since I’d done a lot of research before all of this, I already had all the necessary paperwork in hand. So, I went ahead and sent everything straight away.
The title loan lender I chose didn’t ask me to install GPS trackers (read a little ditty from Lifewire on these babies) or anything which was a real positive for me. Why? Because, quite frankly, I couldn’t be bothered with the hassle. I was beyond thankful for the seamless application process.
I went with a one-month term title loan in the end. This turned out to be the best option for me as I could get it paid off relatively quickly.
Overall, I had a wonderful experience. I went into it fully informed which gave me the upper hand. I understood how much interest I was expected to pay and I knew the repercussions of defaulting. But, in reality, I should never have worried so much.
As long as you follow the rules and pay the loan back over the timeframe you and the lender have agreed on, title loans are fantastic! If I ever want to buy another hot tub or something else to entertain me (like a moped, maybe) I will definitely take out another title loan in Louisiana!
Here’s My Advice
Before I stop rattling on, I just wanted to give you some advice. This way, you can take out a title loan without all the worrying that kept me up at night!
- Read my story and others from those who have had great experiences with title loans to ease your mind.
- Find a lender with a good interest rate (most of them in Louisiana do).
- Make your payments on time (easy to do since you have to agree on the term).
About Carson Derrow
