Here are some answers to common questions about using your vehicle for a loan with Republic Finance:

How can you use a vehicle as collateral?

Simply take your vehicle with you when you go to apply for a personal loan so that a loan representative can assess it. Make sure you have the necessary paperwork , including the vehicle title and insurance information.

How does Republic Finance value my vehicle for a loan?

The main factors in your valuation are the make, model, trim, and mileage of your auto. We use these metrics as a basis of comparison using a standardized third-party valuation tool, similar to Kelley Blue Book. Finally, we conduct an onsite visual inspection.

How does the amount of equity in my vehicle affect the loan?

It may be preferred that you own your vehicle and have 100% equity in your vehicle to use it as collateral for a loan with Republic Finance.

However, in some cases, you can use the loan to finish paying off your vehicle as well as borrow on top. For instance, if you want a $4,000 loan and still owe $1,000 on your vehicle, you can borrow $5,000 plus fees and we will use that extra $1,000 to finish paying off the auto on your behalf and transition the title to Republic Finance.

Once we work with you and your lender to get what’s known as a 30-day payoff statement, Republic Finance will issue a check directly to the auto-lender for that payoff amount, who then releases the title to us on which we will place a lien.

How does using my vehicle as collateral change the loan?

Most people who use their auto as collateral do so because they seek a larger loan, more favorable rates, or a higher chance of qualifying.

How long does it take to use a vehicle as collateral?

Not very long. Usually, the process adds only about 10-20 minutes to the total time you’ll be at the branch.

What documents do I need to use my auto as collateral?

Simply come in with your auto, insurance information, valid driver’s license, and title or contact info from your lender.

What should I expect when using my auto as collateral?

The process typically takes us about ten minutes. After reviewing your documents and inspecting the vehicle, we will call the lender and contact the insurance company to let them know that we will be the new lienholder on the title.

The information in this blog post is for general informational purposes only. Republic Finance does not make any warranties or representations of any kind, express or implied, with respect to the information provided in this blog post, including the accuracy, completeness, fitness, usefulness, availability, adequacy, or reliability of the information in this blog post. The information contained herein is not intended to be and does not constitute financial, legal, tax or any other advice. Republic Finance has no liability for any errors, omissions, or inaccuracies in the information or any liability arising from any reliance placed on such information by you or anyone who may be informed of the information in this post. Any reliance you place on the information in this blog post is strictly at your own risk. Republic Finance may reference third parties in this blog post. A third-party reference does not constitute sponsorship, affiliation, partnership, or endorsement of that third party. Any third-party trademarks referenced are the property of their respective owners. Your use and access to this blog, website, and any Republic Finance website or mobile application is subject to our Terms of Use, available here.