What Advance Automobiles does
Advance Automobiles is a car title loan company — you borrow money by using your vehicle's title as collateral. You keep driving the car while the loan is active, but the lender holds the title until you repay the full amount plus interest and fees. If you don't repay, the company can repossess your vehicle.
These loans are designed for people who need cash quickly and have a car with no outstanding loan balance. The process is faster than a traditional bank loan because the lender's main concern is the car's resale value, not your credit history or income. Most people receive money the same day or within 24 hours of approval.
Title loans come with high costs. Interest rates and fees vary by state and by how much you borrow, but annual percentage rates (APRs) typically range much higher than credit cards or personal loans. You should understand the full cost before signing any agreement.
Key Takeaways
- Advance Automobiles lends money based on your car's value, not your credit score, and you keep the car while repaying.
- The loan process is quick — often same-day approval — because the lender can repossess the vehicle if you don't repay.
- Interest rates and fees are high and vary by state; you need to read the loan agreement to know your exact cost.
- If you miss payments, the company can take your car, leaving you without transportation and still owing the debt.
- State laws set limits on how much you can borrow and how long you have to repay; these rules differ significantly by location.
How the borrowing process works
To get a title loan from Advance Automobiles, you bring your car and its title to a local branch. The company inspects the vehicle to estimate its value, which determines how much you can borrow — typically 25 to 50 percent of what the car is worth. You'll need a valid ID, proof of residency, and proof of insurance.
Once approved, you sign loan documents that spell out the loan amount, repayment term, interest rate, and fees. The lender takes a lien on your title — meaning they record their claim to the vehicle — but you keep the car and the keys. You then receive your money, usually by the end of the business day or next morning.
Repayment is typically a lump sum due in 15 to 30 days, though some locations offer longer terms. You can repay early without penalty at most Advance Automobiles locations. If you can't repay the full amount when it's due, you may be able to roll the loan over — paying just the interest and fees to extend the loan another month — but this adds to your total cost.
The real cost of a title loan
Title loans are expensive. A typical loan might charge 25 percent interest per month, which equals 300 percent annually. On top of interest, there are often origination fees, documentation fees, and storage fees if the car is repossessed. A $1,000 loan could easily cost $300 or more in interest and fees over a few months.
The cost gets worse if you roll over the loan. Each time you extend instead of repaying, you pay another round of interest and fees without reducing what you owe. People who roll over loans multiple times can end up paying more in fees than they originally borrowed.
State laws cap how much interest and fees a title lender can charge, but the caps vary widely. Some states allow much higher rates than others, and a few states don't allow title loans at all. Before you borrow, find out what your state's limits are and what your specific loan will cost in total.
What happens if you can't repay
If you miss a payment, Advance Automobiles can repossess your car. The company doesn't have to go to court first in most states — they can straightforward take the vehicle. Once repossessed, your car is sold at auction, and the proceeds go toward what you owe. If the sale doesn't cover the full debt, you may still owe the difference, called a deficiency.
Losing your car creates a cascade of problems. You lose transportation to work, school, or medical appointments. You still owe the loan debt even after the car is gone. Your credit report will show the repossession, which damages your credit score and makes it harder to borrow money in the future.
If you're struggling to repay, contact the lender when ready. Some locations will work with you on a payment plan or loan modification. The sooner you communicate, the more options you may have before repossession happens.
Title loans versus other borrowing options
Before choosing a title loan, consider what else might be available. A personal loan from a bank or credit union, even with a lower credit score, usually costs less than a title loan. Credit cards, payday loans, and borrowing from family or friends may also be cheaper or safer options depending on your situation.
If you have an emergency expense, look into whether you may have access to for hardship programs, payment plans with creditors, or local information programs. Many nonprofits and government agencies offer emergency funds or grants that don't require repayment. A 211 call or search can connect you to resources in your area.
A title loan should be a last resort because the risk is high — you could lose your car and still owe money. If you do decide to borrow, make sure you have a realistic plan to repay the full amount by the due date, not just the interest.
State rules and where title loans are available
Title loan laws differ by state. Some states cap the interest rate at 36 percent annually; others allow 300 percent or more. Some states require longer repayment terms or limit how many times you can roll over a loan. A few states — including New York, New Jersey, and Connecticut — don't allow title loans at all.
Advance Automobiles operates in multiple states but not all of them. If you're considering a title loan, check whether your state allows them and what the rules are. Your state's attorney general's office or consumer protection agency publishes this information. Knowing your state's rules helps you understand what protections you have and what the lender can and cannot do.
Even in states where title loans are legal, some cities or counties have additional restrictions. Before you sign, ask the lender to explain your state's and locality's rules in writing.
Questions to ask before you borrow
Before signing a title loan agreement, get clear answers to these questions in writing: What is the total amount you will owe, including all interest and fees? What is the exact due date? What happens if you can't repay on time — can you roll over, and if so, what does that cost? What is the process and timeline if you're late on a payment? Can you repay early without penalty?
Ask whether the lender reports to credit bureaus. Some title lenders don't report on-time payments, so repaying won't help your credit score, but they may report missed payments, which will hurt it. Also ask what happens to your car if it's repossessed — where it's stored, how long you have to reclaim it, and what fees explore.
Read the entire loan agreement before signing. Don't rely on what a salesperson tells you verbally. If something in the contract doesn't match what you were told, ask for clarification in writing.
Frequently Asked Questions
Can I get a title loan if my car has an outstanding loan on it?
No. The lender needs a clear title — meaning no other lender has a claim to the car. If you still owe money to a bank or credit union on your vehicle, you cannot use it as collateral for a title loan until that loan is paid off.
What if I need the money but don't want to risk my car?
Explore other options first: personal loans from banks or credit unions, credit cards, payment plans with creditors, or local emergency information programs. A 211 search can connect you to nonprofits and government programs that may help without requiring collateral.
How long do I have to repay a title loan?
Most title loans are due in 15 to 30 days, though some lenders offer longer terms. Your state's law may set minimum or maximum repayment periods. Check your loan agreement and your state's rules to know exactly when your payment is due.
Will repaying a title loan help my credit score?
Not necessarily. Many title lenders don't report to credit bureaus, so on-time repayment won't build your credit. However, they may report missed payments, which will damage your score. Ask the lender whether they report to credit bureaus before you borrow.
What should I do if I can't repay by the due date?
Contact the lender when ready. Ask about rolling over the loan, setting up a payment plan, or modifying the terms. The sooner you communicate, the more options you may have. If you wait until after you miss a payment, repossession becomes more likely.