Best Title Loans in Alaska – Complete Overview

best car title loans

A car title loan in Alaska – is it profitable and how much does it cost?

In a crisis situation, every solution seems to be right. Especially if it is a temporary financial hole, the result of which is the lack of money to meet basic needs and the lack of creditworthiness for a loan to meet them. However, that doesn’t mean your options for borrowing money are completely exhausted. It is enough to have your own car to get a secured loan. And you do not even have to go to a pawnshop for this purpose, most loan companies in Alaska allow you to arrange almost all procedures over the Internet.

Family loan versus loan company

Many people feel that it is best to turn to family for help in a difficult situation. However, even if someone from the family is able to borrow us the right amount, the so-called gratitude debt remains, which for many people is even worse than financial obligations. Unfortunately, not everyone will be able to borrow money or simply not in the amount we need. Either way, a better option will be to borrow money from a professional loan company in Alaska.

How does a title loan in Alaska work?

First of all, you have to be the owner of a car or a motorcycle to be able to dispose of it. A secured loan, as the name suggests, is a cash loan secured with such a vehicle. Estimated in this way, you can borrow an amount up to 70% of the value of the vehicle, but in Alaska you can get up to 50,000$ in the case of expensive cars. The minimum title loan amount in Alaska in 100$ and the minimum loan term is 14 days.

Loan companies’ offers in Alaska

The procedure for taking out a car title loan in Alaska is similar to other cash loans. It is enough to find the offer that interests us and the website of the company that grants such loans on the Internet. Then you fill out the registration form with your contact details and the amount you want to borrow and wait for the company to contact you. Successively, you can use consultant’s help and he will lead you through the next steps and write down the loan application. After receiving this detailed information, the loan company reviews the application.

In the event of a positive decision, we will get a loan agreement and a car transfer agreement, and more importantly, a power of attorney from the loan company allowing the lender to be entered in the registration certificate as a co-owner of the vehicle. On the basis of the transfer of ownership agreement, the lender becomes the owner of 51% of the vehicle. In practice, this means that in this way the lender secures the vehicle in case we fail to repay the loan. However, if we hand it over on time, the ownership will be transferred secondarily to the person who took the car loan. Thanks to the procedure of entering the co-ownership in the car registration certificate, the loan company in Alaska can be sure that the loan will be repaid, and if not, at least it will have something to compensate for the loss by selling the vehicle.

Such an agreement is also beneficial to the borrower, because the borrower can use it throughout the duration of the loan agreement. However, he cannot sell a lended car. You should also know that each change made to the vehicle registration certificate costs money, and these fees are borne by the borrower. You have to pay them to the communication department competent for the place of residence and submit an application there for entering the loan company as a co-owner, and after paying off the loan, deleting this company from the registration certificate. There is 7 days for this from the date of signing the contract. After making such changes, the loan company will still request a copy or a scan of the registration certificate with its name for documentation.

Returning the loan and rewriting the car

The registration certificate must be changed again at the communication department. However, the loan company will issue an appropriate document after the debt is fully repaid. This is usually a written declaration that includes a security waiver. The loan is usually repaid in monthly installments according to the contract concluded with the company. One of the attachments should always be the repayment schedule of individual installments and their amount. If the loan is not repaid in accordance with the provisions in the contract, the car will become the property of the loan company in Alaska.

Documents and details

To complete all the details of the transaction, you will always need an ID card and a registration document for the car you want to pledge. However, not all cars will be considered. By reading the detailed provisions of the offer, you can find information that the maximum age of the car is 8 to 12 years. Older cars will not be considered. In addition, the pledged car must have one owner. Cars with so-called co-ownership will also not be considered. In addition, each car must be in good technical condition, have valid diagnostic tests and a third party liability policy.

On the other hand, the loan company does not usually check your income when verifying the client who wants to keep the loan secured. Having a car is enough, because it will be covered by security anyway. However, it may happen that the company offers to sign a promissory note.

It is also worth checking what the costs of such a loan are, because each company may have a different offer within the maximum permissible costs. In addition, the loan repayment time often differs. So it’s best to compare the APR (Annual Percentage Rate) of several loans and choose the cheapest one, but also with the longest repayment period, because in practice this means that the monthly installments will be lower, and therefore theoretically easier to pay off (but a bit more expensive).


Can I get a Title Loan in Alaska with bad credit?

Yes, especially given the fact that you give the car as a guarantee that you will pay off the loan. That’s why your credit history doesn’t matter.

What is the cost of Alaska Title Loan?

APR is regulated by the Alaska government and cannot exceed 36 percent of the loan amount. So if your loan is $1,000 then its maximum final value will be 1,360$.

What is the maximum number of title loans?

By law, you can only take out one loan per term. This is quite logical, since several lenders cannot use the same car as a collateral and be 51 percent co-owners.

Are there any alternatives to title loans in Alaska?

Of course! As we said above, the easiest way is to borrow from family and friends. You can also take a payday loan, an installment loan or a personal loan. Also, you can contact the pawn shop or use the cash app.