Credit cards have wreaked havoc in the lives of many American consumers. In fact, is there one person who has not had the urge to swipe their card at the drop of a hat? At some point in time, all of us have gone through the euphoria of using credit cards to make unnecessary purchases and have also gone through the nightmare of paying back the money also. Many of us haven’t been able to pay off our credit card debt and have faced embarrassing situations too. But many people don’t learn from these mistakes, and make them over and over again with the same repercussions. Americans thrive on debt, whereas with the global meltdown we’re finding it difficult to pay off credit card debt. Severe defaults are making banks incur huge losses and so they stop lending money. This has indeed created major confusion in our society. The only answer to this chaos is pay off your credit card debt.
Let me tell you my story. I got my pink slip a few months ago, and I am now online trying to make some money through blogging as well as promoting businesses. My credit card was over used and I was left with little money to tide over my expenses. I also defaulted on my mortgage (not surprising) and my credit score took a beating. Not knowing what to do I was totally frustrated. There was no hope of finding another job though I had applied to several companies. That is when I heard about car title loans. Since I live in Los Angeles, one of the epicenters of the car title loan industry, I heard about the option of car title loans in California through a friend who had also gone through the process.
Car Title Loans Help
A car title loan is a simple, hassle free loan that is given for your car title. If you own your car, you can pledge the title and get a loan. Almost 50% of the car value is offered as a loan. My beautiful Nissan Versa, which was a gift from my parents, was around $18k. I got $9,000 as car title loan. I paid 50% of it for my credit card dues and the rest for mortgage. This helped me to improve my credit score immediately. Once I got into the 650+ mark of scores I was eligible for personal loan from banks. Moreover I could also rework my mortgage. On receiving a personal loan I paid off my car title loan.
Though the interest rate is higher than banks I took car title loan as a bridge loan to pay off my credit card dues as well as improve my score and it helped. Even a person with bad credit is offered this loan. So you see there is hope for all of us. Remember, you can use your car as well as get a loan over it. Isn’t this wonderful?
Author bio- Simon Wright lives in Los Angeles and blogs about financial news and auto equity loans.
