On one hand the ability to lower the interest rate, payment, and total loan cost on an existing title loan can be a big help, especially for borrowers who rushed into a loan with a very high interest rate.
On the other hand refinancing a title loan is not permitted in all states and therefor not available to all borrowers. Nevertheless, if you have an existing title loan with a payment that is not affordable it may be a good idea to consider a title loan refinance.
So the answer to ‘can you refinance a title loan?’ is yes, assuming you reside in a state that permits these and you can meet the requirements for doing so. We’ll cover those shortly, first, what factors are there to consider when refinancing a title loan?
Factors for Refinancing a Title Loan
Borrowers may want to consider refinancing their loan for a number of reasons which we’ll cover shortly. So what factors are considered by the lender when entering such a transaction?
The first item to consider is the vehicle value. As with all title loans vehicle value is an integral part of determining the loan amount. Continue reading