What are the requirements for obtaining a car title loan?

Securing a car title loan requires meeting specific requirements set by lenders to ensure the borrower’s ability to repay. Car title loans fall under the category of secured loans, with the borrower’s vehicle title serving as collateral. While slight variations might exist among different lenders, there are common requirements that prospective borrowers must satisfy to be eligible for a car title loan.

How Do I Qualify for a Car Title Loan?

Necessary requirements for car title loans

Loan requirements can vary from lender to lender. However, in most cases, lenders require the following:

Ownership and Unencumbered Title

When applying for a car title loan, you must prove your ownership of the vehicle and possess a clear title, signifying that there are no unresolved liens or obligations linked to the vehicle. This verification assures the lender that they have a genuine claim on the collateral if the borrower defaults.

Verification of Identity and Age

You must provide valid government-issued identification, such as a driver’s license or passport, to establish your identity. You must also be at least 18 years old, the legal age for contractual obligations, to be eligible for a car title loan.


You will need to provide evidence of a consistent income source to ensure you can repay the loan. This usually entails submitting recent pay stubs, bank statements, or related documentation that substantiates financial stability.

Thorough Vehicle Appraisal

Lenders assess the vehicle’s condition and ascertain its current market value through an inspection. The vehicle’s particulars, such as its make, model, manufacturing year, mileage, and overall state, determine the maximum loan amount attainable.

What Are the Vehicle Requirements for An Auto Title Loan?

The value and condition of the vehicle determines the loan amount. Lenders have specific criteria to ensure that the vehicle being used as collateral holds enough value to secure the loan. While these requirements can vary slightly depending on the lender, vehicle requirements typically needed to qualify for a car title loan, include:

  • Lenders prefer vehicles that are less than 10 to 15 years old. Newer vehicles tend to hold more value and are less likely to have significant wear and tear.
  • Lenders often consider the mileage on the vehicle. Lower mileage vehicles are usually preferred as they suggest less wear and a longer potential lifespan.
  • The vehicle should be in good working condition. While some wear is expected, major mechanical issues or extensive damage may affect the vehicle’s value and consequently the loan amount.
  • Lenders typically assess the vehicle’s value using sources like the Kelley Blue Book or similar valuation guides. The loan amount is often a percentage of the vehicle’s appraised value.
  • Borrowers are usually required to have comprehensive and collision insurance on the vehicle. This is to protect both the borrower and the lender in case of an accident or damage.
  • Some lenders may have a policy against providing loans on vehicles that already have outstanding loans. The vehicle should be owned outright by the borrower.
  • Lenders might request a physical inspection of the vehicle to assess its condition, including its interior, exterior, and any modifications.

Find Out if You Qualify

At Fast Money Car Title Loans, we can connect you with a local reputable lender who can provide a fair car title loan based on the value of your vehicle and other factors. We take great care in vetting the lenders in our network to ensure you work with one that offers you the loan you need, with reasonable terms and payment options.

To learn if you qualify for a car title loan, fill out the form on this page to get started. Our customer service staff will respond promptly to answer any questions and connect you with lenders that can help you secure the loan you need, as quickly as possible.