Title Loans El Paso - 828 N. Zaragoza Rd. - TitleMax (2024)

FAQs

Does TitleMax check your credit score? ›

TitleMax® does run credit checks on all new applicants, but that may not disqualify you for a personal loan or title-secured loan/pawn. When you need money unexpectedly, it's a good idea to look for loans that offer flexibility for people with bad credit.

In its order, the Consumer Financial Protection Bureau said TitleMax had intentionally evaded laws meant to protect military families from predatory lenders and, separately, charged illegal insurance fees to more than 17,000 customers.

It's important to note that Texas law limits the amount of a title loan to the lesser of 70% of the vehicle's value or 3% of the borrower's gross annual income. In addition, the interest rate on title loans in Texas is capped at 10% per month, which can add up quickly over the repayment period.

To ensure a timely payment, please visit your local TitleMax store on or before your due date. We accept cash, certified checks, money orders, bank card & Western Union Quick Collect. Please note that we do not accept personal or business account checks or credit cards.

TitleMax, a leading car title loan company, respects your privacy and does not install trackers on your car. Your vehicle remains yours to drive as you normally would.

We are known for our fast approvals; applying for a loan with TitleMax® can get you approved in as little as 30 minutes. No credit check is necessary to get you approved. We don't base the loan on your credit; we hold your car title as collateral. If you don't pay back the loan, you could forfeit your car.

The Consumer Financial Protection Bureau is taking aim at the practice of borrowers exchanging the title of their vehicle for a small-dollar loan. In February, the CFPB ordered TitleMax to pay $10 million for making unlawful title loans.

Disadvantages of Car Title Loans

Car title loans are also short-term loans, which means that they must be repaid quickly. If you are unable to make payments, late fees raise the balance even higher. Eventually, the lender repossesses your vehicle, which leads to a host of other problems.

How do I get my title back? After paying off your account, TitleMax will release its interest in your vehicle by removing its lien from your title. Thereafter, your title will be returned to you after it is processed by your state's department of motor vehicles.

Is it required? Texas does not require title insurance. The lender will require you to buy a Loan Policy of Title Insurance to protect their interest.

How long do you have to pay back a title loan in Texas? ›

The length of a loan depends on the lender, but most car title loans have a repayment period of 15-30 days. However, in Texas, you can extend a title loan beyond the 30 days for up to a max of 180 days.

Title loans carry high-interest rates, making them a costly borrowing option. Furthermore, these loans come with substantial risks due to their collateral nature—the borrower's vehicle could be taken if they fail to make timely payments. This risk should be balanced against the urgent need for cash.

Rescission. The act of cancelling the effect of a document or withdrawing from a transaction. In a refinance of a principal residence, the borrower has a 3-day right of rescission, or period, to cancel the loan without fees or penalties.

That said, title lenders also don't report your payments to the credit bureaus, which means a title loan won't help you build credit either.

Most of the time, title loans don't affect your credit. If the lender doesn't run a credit check, there will be no hard inquiry on your credit report. By the same token, your on-time payments won't help your credit either since the lender won't report them to credit bureaus.

With a car title loan, since you are using an asset as your line of credit, you don't get to put that as debt on your credit score. Whenever you pay off a loan, your credit score goes up. However, a car title loan won't effect your score for the better by that much.

When you are applying for a mortgage to buy a home, lenders will typically look at all of your credit history reports from the three major credit bureaus – Experian, Equifax, and TransUnion. In most cases, mortgage lenders will look at your FICO score. There are different FICO scoring models.

Current or potential creditors — like credit card issuers, auto lenders and mortgage lenders — can pull your credit score and report to determine creditworthiness as well. Credit history is a major factor in determining (a) whether to give you a loan or credit card, and (b) the terms of that loan or credit card.

To apply for a Tennessee title loan, you are only required to have full ownership of your car, proof of ownership, and your driver's license. Some lenders may also require you to show proof of residence in Tennessee and proof of income, such as a bank or social security statement.