Frequently Asked Questions

What is a car title loan?

A car title loan is a loan based on the equity of you car. You can decide to borrow money against this equity in exchange for your car’s title, hence the name. Once the loan has been paid in full, your car’s title is returned to you.

What is an automobile title loan?

An Automobile title loan is based on the wholesale value of your car, truck or van. In exchange for you vehicle’s title, you can borrow up to half this value.

What is a pink slip loan?

A pink slip loan is a loan given to a customer in exchange for the rights to the pink slip of his/her vehicle, or the “title.” Although the lending organization technically owns the vehicle, the customer is allowed to drive the vehicle while making payments. Once the loan is paid in full, the pink slip is returned to the owner.

What is the difference between a car title loan, an automobile title loan and a pink slip loan?

The loans are essentially the same, save their names. Over the years, title loans have come to be known by different names because of the nature of the loan. Generally, a title loan is referred to as a car title loan when a car is the collateral, an automobile title loan when something other that a car is used as collateral, and a pink slip loan interchangeably with either of the former terms. A title loan can also be known as an auto title loan, though not as frequently.

How does credit factor into a pink slip loan?

Credit has very little effect on a pink slip loan. Trading Financial does run a credit check when a customer applies for a loan, but it is only for internal documentation. The determining factors for a customer’s eligibility are income, vehicle equity, vehicle condition, and the cleanliness of the title. These are not the only determining factors, but the most important. For a complete list of factors, call an Auto Title Loan Officer in your area. 1.800.737.0900.

How long does it take to qualify for an automobile title loan?

The application process is notoriously short. Qualifying for a loan only takes minutes, and a check can be issued to a customer from Trading Financial in as little as an hour.

How much can I borrow when choosing an automobile title loan?

The amount available to a customer depends on a few factors, the equity of the vehicle used as collateral us the biggest determinant. The general rule is 50% of the car’s equity, but other factors apply. To obtain a rough estimate of how much you could borrow, visit the Kelly Blue Book site and enter the make, model and year of your vehicle.

Can I still use my vehicle if I choose to borrow using a pink slip loan?

You may freely use your vehicle while borrowing from Trading Financial. Once the loan has been paid in full, your title will be released to you.

What is the loan period for a car title loan?

Generally, a customer can set a loan period of up to 36 months. A loan period can be shorter than this if the customer would like to reduce incurred interest.

Are there any pre-payment penalties if I can pay off my car title loan early?

There are no penalties for paying off a loan early.

Why choose a pink slip loan over a bank loan?

Most customers choose pink slip loans because they do not qualify for bank loans. Pink slip loans are also processed more quickly and have fewer stipulations than bank loans. Speaking with your local Auto Title Loan Officer is the best way to determine whether a pink slip loan fits your financial situation. Auto Title Loan Officers can be reached at 1.800.737.0900.

What is the difference between an automobile title loan and a payday loan?

Payday loans are generally issued on little more than good faith, so long as the customer has the ability to pay back the amount borrowed. As such, a payday loan is usually issued for a fraction of the amount a customer can borrow through an automobile loan.

What is “equity” and how does it factor into my automobile title loan?

Equity is the worth of your vehicle. The higher your vehicle’s equity, the more money Trading Financial will be able to issue to you through your automobile loan. Trading financial cannot finance through a vehicle with a wholesale value lower than $4,000 in most cases.