Located in the heart of Pennsylvania’s fast-growing Lehigh Valley metropolitan area, Easton is often appreciated statewide as one of the most affordable and livable urban areas in the Keystone State. This reputation is based in fact, but that doesn’t mean it’s impossible to have a rough month financially.
In fact, many Easton residents might find themselves unexpectedly short on money when it comes time to pay monthly bills, schedule vehicle maintenance, get estimates for a home repair, or cover an unexpected medical bill that cannot fit into the budget. Title loans are a great option that can be used to cover these expenses, with a short-term repayment period that provides quick peace of mind and accessible financial stability to Easton-area borrowers.
How Does a Title Loan Work in Easton, PA?
Title loans are quite a bit different from conventional loans offered by major banks. While personal installment loans offer large balances and staggeringly long repayment periods, title loans are designed to provide near-immediate financial relief to customers without the hassle of long-term budgeting. Indeed, most title loans are repaid in 30 or 60 days, instead of as long as five years.
Title loans are also different because they are secured loans. This means that borrowers must provide their vehicle title in order to guarantee that the balance of the loan will be repaid in some fashion. If borrowers do not repay with cash, the car is used to cover the outstanding balance. This type of securitization also makes for much higher chances at loan approval.
Title Loans in Easton: The Application Process
Title loans in Easton require a very easy application process. First, borrowers must provide basic contact information. This includes their full legal name, current mailing address, zip code, and a primary phone number. Additionally, borrowers applying for a title loan in Allentown and the surrounding areas must certify that they own their vehicle outright; vehicle details required by the application include the following:
- Current mileage
- Year of production
When the application is complete and submitted, it will generate an instant title loan estimate of the maximum loan amount. A loan representative will review the application’s details and contact the borrower to confirm any other information necessary to originate the loan. Upon approval, funds will be transferred to the borrower’s bank account. In most cases, those funds will be available for use the following business day.
A Guide to State Regulation of Title Loans in Easton
Like many states across the country, Pennsylvania has passed a series of financial regulations and reforms that apply to title loans. For the most part, these regulations apply to interest rates. Title loan companies in Pennsylvania must be licensed; licensed title loan lenders can charge interest rates that max out at 24 percent per month.
If a company is not licensed to offer title loans in Pennsylvania, then they can only charge interest rates of up to 6 percent per month. In addition to requiring state licensure, Pennsylvania laws require that title loan companies use a middleman between the loan company and the borrower.
Title Loans Have Several Key Benefits
Title loans in Easton and the surrounding areas have many benefits for customers in a hard financial situation. They offer a simple application, higher rates of approval, enough money to cover unexpected expenses, and a short-term repayment period that doesn’t require making a 5-year budget plan to accommodate the loan balance. Thanks to Pennsylvania state regulations and laws, these loans also offer affordable interest rates and a commitment to ethical lending. This makes title loans a great fit for customers looking for short-term financial help.