The slogan reads, “WHERE THERE IS A BEGINNING AND AN END.” It is amazing what types of businesses desperate economic times has produced. Earlier this year I wrote about women selling their body parts to make ends meet. This title loan company has emerged at time when people are desperate. Never would I point the finger and say, or think, that someone who partakes in these financial dealings is dumb. Desperate is the appropriate word and sorrow the proper emotion.  Targeting the financially desperate is a sign of the times it seems.

Read these company’s FAQS and sample loan repayment schedule; I’m thinking loan sharks, how about you?

How do I qualify?

(1) Vehicle needs to have a wholesale value of $2500.00.
(2) Vehicle cannot be over 10 years old.
(3) Loan applicant must be at least 18 years of age.

What is required to apply for an auto title loan?

  1. Auto title ( free and clear of any liens)
  2. Personal Data
  3. Drivers License
  4. Social Security Card
  5. Vehicle Registration
  6. Proof of Insurance
  7. Most Recent Paycheck stub
  8. Current Phone Bill & Utility Bill
  9. Current Mortgage Statement or Lease
  10. References (4)

How much can I borrow?

The loan minimum is $1,000.00. The amount you may borrow is determined by the wholesale value of your vehicle.

How much does it cost?

The loans provided by TurboTitleLoan.com are installment loans. This means that a portion of your payment goes towards the interest and a portion goes to the principal. A customer can choose the term of the loan, either 12 or 24 months.

THERE IS NO PREPAYMENT PENALTY.

For example, on a $1000 Auto Title Loan for a twelve (12) month term with a 120% APR, the monthly payments are reflected in the chart below:

Payment Principal Interest Total Payment APR
1 $46.76 $100.00 $146.76 120%
2 $51.44 $95.32 $146.76 120%
3 $56.58 $90.18 $146.76 120%
4 $62.24 $84.52 $146.76 120%
5 $68.46 $78.30 $146.76 120%
6 $75.31 $71.45 $146.76 120%
7 $82.84 $63.92 $146.76 120%
8 $91.12 $55.64 $146.76 120%
9 $100.23 $46.53 $146.76 120%
10 $110.26 $36.50 $146.76 120%
11 $121.28 $25.48 $146.76 120%
12 $133.48 $13.28 $146.76 120%
Total $1000 $761.12 $1,761.12 120%

 

The only positive that is offered here is the no prepayment clause. I have yet to find a connection between their slogan and their business practices except for a business or professional who knows their receivables will more than cover the loan and the fee within 30 days. Especially for an expense that is vital for the business to continue operating. From that aspect, I can see where a loan could be beneficial and the slogan might then apply.

That said, what really angers me is hearing the politicians threaten and boast about punishing credit card companies and banks for hidden and/or exuberant charges. The terms of this particular company is an APR of 120%. Is that legal, really? Where are those politicians when small companies like one are doing much worse than the big guys? Are the companies who offer these car title loans New York  exempt from the same rules the big companies must abide by?

Like so many others, we are experiencing great financial difficulties these days as well. In fact, it’s been at least twenty years since we lived week to week and it is frightening. I am certain that had it not been for our faith and persistence, we would have lost our house and our company. We are blessed and have been spared of resorting to loans such as these. These loans are akin to payday loans. They boarder loan sharking and are dangerous because almost anyone can obtain one. Preying on desperate people in desperate financial times is simply unthinkable in my opinion.


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