Many things have been written about the features, advantages, benefits, and disadvantages of a car title loan. But not too many people know about the top complaints with regards to it. There is no such thing as complaint free company that even big companies who frequently land in the Fortune 500 list also receives complaints. Based on various reviews found over the Internet, here are the most common complaints of borrowers with regard to car title loans companies:
- The interest is so high. Even though borrowers were informed prior to their loan application about this matter, still, they got the shock of their life when per their own computation; they realized that they paid thrice the amount of the original loan. The funny thing here is their complaint did not factor the reason that they were not able to pay on time and loan companies automatically rollover their loan; thus, earning more interests and other surcharges.
- Payment term is so short at 30 days only. Maybe some were just too lazy to search for other types of loans which they can avail longer payment terms for. In fact, they can even secure a loan from a family or friend that’s interest free at that and using the car as collateral. However, there is a tendency that people close to them will demand temporary possession of the car itself while borrowers cannot pay the loan which car title loans companies do not require.
- They realize that loan processing and approval takes longer than as advertised. There are many possibilities why this thing can happen:
- It took quite a time for loan companies to approve the loan. As per background check, the car title presented showed some encumbrances and they have to double check it first.
- Due to the increasing popularity of this kind of loan, many people have applied; thus, traffic for loan processing increased and loan companies were saving money that they do not want to hire additional manpower to facilitate things. The solution therefore is for borrowers to find the least popular one (check online visit stats to know this) if you have problems regarding speed of loan processing and approvals.
- Low appraisal. Loan companies have to earn and secure their operations too as they have employees to pay and families to support. Millions of borrowers whose personal lives will also be affected if loan companies will go down under just because they were too liberal in providing credits to customers. Thus, they have to be careful when appraising the car since the amount of loan to be approved is based on the appraised value.
As you can see, the above complaints were unfounded and just part and parcel of the whole car title loan industry. It is just some people who were quite disappointed with the amount received. Others were frustrated because of too little time granted for them to repay the loan and gives them additional stress and pressure.
For car title loan Norman, OK and throughout Michigan, Virginia, South Carolina, Tennessee, Alabama, Mississippi, Louisiana, and Oklahoma, contact Approved Cash Advance.