If your car is broken down and you have no money to repair it, there are ways you can get the money you need. Below are two of these ways so that you can get your car repairs taken care of and get your car back on the road again.
Get a Loan
One way you can obtain the money you need is by getting a loan. One type of loan is a car repair loan, which is meant to be used only for car repairs. First, you need to have good credit in order to get this type of loan. To help determine your credit, you can get a free copy of your credit report once per year. There are three main credit reporting companies, and you should get a credit report from each of these.
If your credit looks fine, contact your bank and ask if they can offer you a car repair loan. Credit unions also offer this type of loan.
If you have bad credit, you can get a car repair loan through private lenders, which you can find online. These lenders will generally charge a higher interest rate because you are high risk due to having bad credit. This higher interest rate results in higher monthly payments to pay back the loan.
Another option is a personal loan from your bank or credit union. A personal loan generally has a fixed interest rate, which means your monthly payments will never change. You do have to have good credit to get a personal loan from a bank, however.
Get a Car Title Loan
If you own your car, one way to get the money you need to repair your car is to get a car title loan. With this, you offer your car title as collateral, and the lender will give you a set amount of money. The amount they will give you depends on the value of your car.
One thing to think about with this type of loan is that you will lose your car if you cannot pay the loan back. You will sign an agreement when the loan is first set up. Read this agreement carefully as it will tell you how many payments you can miss before the lender will take your car from you. If you do find that you are not able to make payments, contact the lender and ask them if they can work with you. In many cases, they will do so as long as you continue paying some money to them.
Car title loans work well for people who have bad credit. This is because the company has your car to pay for the loan if you are not able to. If you have more questions about how title loans work, contact a company like American Cash Advance and Title Loan.
These two options should help you get the money you need.Share