How Do Auto Title Loans Affect My Credit Score

Have you been asking, “Will an auto title loan affect my credit score?” The simple answer is yes, it can potentially impact your credit score depending on the situation. Continue reading to learn more about credit scores, title loans, and more. And if a title loan sounds like the right fit for you then Cleveland Title Loans Now may be able to help.

What is a Credit Score?

A credit score is represented as a number between 300-850, and that number reflects how financially reliable someone is, meaning that they are more likely to pay back loans or debts. The higher your FICO credit score, the greater your creditworthiness is. Having a good credit score is very important as it can determine whether you can get approved for loans, mortgages, credit cards, or emwegwncy car title loans.

Do I Need Good Credit to Get a Title Loan?

Typically, obtaining approval for an unsecured loan, such as a personal loan, can be difficult without a strong credit score to back you and your finances up. Many direct lenders see individuals with bad credit as a high credit risk, so even if you do end up qualifying for a personal loan, your interest rate could be incredibly high.

Will an Auto Title Loan Hurt My Credit Score?

A credit score can be hurt by a auto loan if you default. By not making your payments on time or not making payments at all can damage your credit score.

Can I Apply for Auto Title Loans During The Holidays

Yes! Holiday Auto Title Loans is a great way to get cash to go shopping, pay bills, or even consolidate credit cards. Lenders are online 7 days a week ready to accept your application.