Personal Loans vs. A Car Title Loan

Oct 21, 2021
Title Loans

Sometimes, the money that we need isn't always available. Whether you need to pay for unexpected medical bills, plan a wedding, or even make rent, there are various financing options available. In most instances, personal loans require a decent credit score and lengthy paperwork. In comparison, car title loans work differently, allowing for fast approval and no credit check.


It's important to compare your options when making a decision on the best financing option for you. With this in mind, here's all you need to know about personal loans and car title loans.


Differences Between A Personal Loan And A Car Title Loan?


There are a few key differences between a personal loan and a car title loan that may influence your decision on which option to take.


A personal loan is taken out with a fixed interest rate that is usually determined by your credit score and credit history, as well as the lender's arrangement. The loan term usually ranges between 24 to 60 months. Individuals with bad credit scores won't get a favorable rate with this arrangement.


A car title loan is a short-term loan that typically comes with higher interest rates. With a car title loan, the amount available is based on the value of the car. In exchange for the money, the vehicle is used as collateral. When getting a car title loan with Rapid Auto Loan, no credit history needs to be shared and we offer competitive interest rates.


Pros Of A Personal Loan


Personal loans are a traditional option for receiving money. A fixed amount of money is loaned at a set interest rate, without having to offer collateral to secure the funds. There are a few key benefits that make a personal loan a good option.


Some of these key benefits include;


Flexibility and versatility for the money to be used for a variety of purposes


Lower interest rates that are usually lower than credit card rates


Higher borrowing limits than credit cards, especially those with a decent credit history


No collateral is required in order to secure the funds


Easy management as the money is shared as a single, lump-sum


Even with these benefits, there are a few drawbacks to consider. For example, fees and penalties can be high, personal loans can increase debt, monthly payments are more expensive than credit cards.


Pros Of A Car Title Loan


For many people, a car title loan is a better option than a personal loan. Car title loans offer their own unique benefits that are better suited for various individuals, especially those with a bad credit history.


Some of the benefits of a car title loan include the following;


Easy process with an application form and speedy turnaround time


Quick approval that offers fast access to cash when needed urgently


Easy to qualify as a car is offered as collateral instead of relying on a credit history


Life continues without interruption as the vehicle used for collateral can still be used by the owner


There are a few considerations when taking out a car title loan, such as higher interest rates and a shorter payback term. At Rapid Auto Loans, we understand that life can be stressful and offer 12 monthly payments, with the first one being due after 30 days from the loan date.


We're committed to providing quick, short-term loans with an easy application process. We offer an easy payment plan and don't require a credit history. Our valuable service has contributed to our high customer retention rate - and we'd love to add you to our list of valued customers.


Apply for a car title loan today, or contact us at 954-678-5781 to find out more.


Do Salvage Vehicles Count Towards Car Title Loans?

Looking for fast finance? Are you needing to use a salvaged vehicle as collateral? Salvaged vehicles are often declared as a complete loss by insurance companies. But there is good news. You can use your salvaged car as collateral in certain cases. Here are the distinctions for a salvaged car when it comes to car title loans.

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Car Title Loans: Rapid Auto vs. The Competitors

Car title loans offer quick cash to someone facing financial hardships and needing emergency money. These loans use the value of your vehicle as collateral for the loan.

car equity

Your vehicle may be worth more than you know. With a car equity loan, the value of your vehicle determines how much cash you qualify for. This is why you should do all you can to prolong the value of your car. If you’ve never thought too much about car maintenance, then now is a perfect time. Need fast cash? Give your car the TLC it deserves. Here are our top tips on how to prolong the life of your vehicle.

personal loan with a car as collateral

There are times where you may need a personal loan fast to cover unexpected bills and expenses. One way to do this is with a personal loan with a car as collateral. Things happen and you may need a personal loan just to make it until your next payday. One of the fastest ways is to get a personal loan with a car as collateral. Here is what you need to know.

who should consider a title loan

Emergencies and repairs are usually unplanned and completely unexpected. That can leave you vulnerable to unpaid debt, or it could prevent you from getting the help you need. When you need fast cash and your paycheck isn’t for another two weeks, or it won’t cover the cost of your expense, a title loan could be your solution.

Rapid Auto Loans is a consumer finance company licensed under Florida 516. The term title loan is used for marketing purposes only.
All loans have a repayment period of 12 months and there is no minimum prepayment penalty. Interest Rates are determined and approved by the State of Florida based on the borrowed amount and the maximum APR (which includes interest rate plus fees and other costs for a year) is 30%. You pay interest only for the time your loan is outstanding. Below is a representative example of the total cost of the loan, including all applicable fees:



Government Fee


Credit investigative Fee


Documentary Stamp Tax


Total amount Financed


Original Loan Date




Monthly Payment (x12)

Rapid Auto uses “Auto Title Loans” for advertisement purposes only and provides auto equity loans. The lenders are licensed under the “Florida Consumer Finance Act” under Florida Statute 516 and as such lenders loans is exempt from any licensing requirements under the “Florida Title Loan Act” to the extent that any of lenders activities involve the making of a loan of money to a consumer secured by bailment of a certificate of title to a motor vehicle.