Title loans are one of the most accessible loans in the United States, especially in Utah, as they guarantee banking institutions the borrowed money will be paid. In times of crisis, this type of loan is also the fastest cash assistance that borrowers can get. Contrary to the claims of some studies that Utah title loans have the highest borrowing rates, there are many financial institutions offering low interest rates in the state.
If you are experiencing challenging situations and your budget is tight, title loans may help you financially. As the professionals of UtahMoneyCenter.com explains, one of the perks of getting this loan is that you would most likely follow your chosen payment scheme and pay your debt to prevent your assets or properties from being seized or forfeited. Aside from this, the 2006 Utah Code, Chapter 24 or the “Title Lending Registration Act” also regulates your loan.
Under the Title Lending Registration Act, registered financial institutions have the responsibility to comply with the operational requirements for title loans. These include explaining to the lender the complete schedule of any interest or fees charged for the title loan, the total dollar amount, and the annual percentage rates. The Act also requires banks to have an oral review of the terms of with the borrower. The said provision help borrowers understand liabilities, preventing unpaid debts.
As you decide to get financial assistance through a title loan, it is important to study all the legal terms and provisions involved. Always remember that if you are educated about what you will deal with, you will be able to avoid problems. Talk to your lender to learn more about this financing option.