Best Car Title Loan Alternatives for Bad Credit 2022

Last Update: January 25, 2022 Credit Report Loan Reviews Loans

We’ve all been there before. Whether it’s an unexpected crisis or finding the means to pay next week’s rent – when you have bad credit – it can feel like a car title loan is your only option.

At ElitePersonalFinance, we highly recommend you avoid them. But how?

Start by watching our video that shows how people with bad credit can get a personal loan. Many of you will qualify for something times cheaper.

What Exactly is Auto Title Loan?

As a type of secured loan, lenders require you to put up your car as collateral. If you fail to make the payments, your car can be seized in the process. Their average APR is 300%.

Because of a questionable reputation, car title loans are actually illegal in many states.

When marketing the product, lenders often lure customers by promising fast approval and no credit pull.

However, there is a reason for this.

Lenders know your credit score is low and use this information to profit off those in financial trouble. They specifically target borrowers in desperate financial situations or with really bad credit.

Without a doubt, car title loans are predatory in nature.

Now, how else do they cause financial harm?

  • According to the Consumer Financial Protection Bureau (CFPB), auto title loans have an average APR of 300%.
  • About 20% of car title loan borrowers end up losing their car.
  • Many auto title loans have hidden fees and rollover charges.
  • People often fall behind on their payments and get stuck paying interest-only; this increases your risk of falling into a vicious debt cycle.

Hopefully, there are alternatives !!!

So with all of this in mind, what are your options?

Well, the first step is knowing.

In 2022 – there are many alternative lending solutions available to those with bad credit. As lending markets continue to evolve, it’s become easier to obtain personal loans from legitimate lenders without the risk of losing your property.

And through our team’s diligent research, we found some of the best auto title loan alternatives available in the marketplace today.

So sit back, and see if there is a solution that’s right for you.

Best Car Title Loan Alternatives in 2022

Loan Company: Min. Credit Score: APR: Amount: Type:
ZippyLoan 0 5.99% – 35.99% $100 – $15,000 Personal Loan for Really Bad Credit
BadCreditLoans 0 5.99% – 35.99% $500 – $10,000 Personal Loan for Really Bad Credit
CashUSA 0 5.99% – 35.99% $1,000 – $10,000 Secured Personal Loan for Really Bad Credit
Finova Financial 350 17% – 30% $750 – $5,000 Auto Title Loan Alternative
OppLoans 0 59% – 160% $500 – $4,000 Alternative Payday Loan
PersonalLoans 580 5.99% – 35.99% $1,000 – $35,000 Personal Loan for Bad Credit
WellsFargo 0 5.74% – 24.49% $3,000 – $100,000 Bank Loan
USBank N/A 7.49% – 17.99% $3,000 – $25,000 Bank Loan
FirstTech Vary 3% – 18% $500 – $50,000 Credit Union Loan
NavyFederal N/A 7.49% – 18% $250 – $50,000 Credit Union Loan
MarinerFinance 600 24% – 35.99% $1,000 – $25,000 Personal Loan for Bad Credit


Loan Amount: $1,000 – $10,000
APR: 5.99% – 35.99%
Min. Credit Score: 0
Approval: 1 Day
Terms: 24 – 60 months
Origination Fee: N/A
DTI Ratio: N/A
Check rates

If you’re considering a car title loan, be sure to check out the quality offers from online lender CashUSA. Designed specifically for those with bad credit, CashUSA offers an extremely high approval rate if you put up your car as collateral.

But wait, isn’t this the same thing as a car title loan?

Not exactly.

While car title loans come with APRs that average 300%, CashUSA offers personal loan APRs that range from 5.99% to 35.99%. While those with bad credit can expect an APR at the high-end of the range, CashUSA rates are still much more affordable than a car title loan. If you have fair credit, you can expect a competitive interest rate that meets your needs.

And how much can you borrow?

CashUSA offers loans up to $10,000, but – according to their website – the amount can be increased.

Because of their outstanding reputation in the bad credit loan business, we recommend CashUSA as one of the best auto title loan alternatives in the marketplace today.

But what about the risks involved with secured loans?

Like many things in life, there are two sides to every coin. To protect themselves, lenders require collateral to cover losses if a borrower defaults. For you, this allows for increased borrowing capacity and a lower APR.

And the other side?

Well, it opens up the possibility of losing your car. We recommend you be extremely careful with secured loans. Only use them if you’re sure you can repay the debt on time and in full.


  • Easy approval.
  • Those with really bad credit can still be approved.
  • The company applies personal loan APRs ranging from 5.99% to 35.99%.
  • Borrowing amounts can exceed $10,000, but you have to speak with them directly.


  • Secured loans put you at risk of losing your collateral.
  • Bad credit means a higher APR, although it’s still much lower than a traditional car title loan.


CashUSA is a viable option for those with bad credit. While you’re still required to secure your car, APRs are much lower than traditional car title loans, and the company offers flexibility when it comes to the amount you can borrow.

If you need quick cash and are looking for a reputable lender – CashUSA should be at the top of your list.

Best Secured Personal Loans for Really Bad Credit

Loan Amount: $500 – $10,000
APR: 5.99% – 35.99%
Min. Credit Score: 0
Approval: 1 Day
Terms: 3 – 36 months
Origination Fee: N/A
DTI Ratio: N/A
Check rates

As another top-rated online lender, BadCreditLoans provides loans to extremely bad credit people. And like their motto states – we can help where others can’t.

Now, what separates CashUSA from BadCreditLoans?

The main difference is they offer unsecured loans. Instead of using your car as collateral, BadCreditLoans offers unsecured loans, which gives you extra peace of mind. If you’re stuck and in need of fast cash – can be a reliable resource.

So what else separates CashUSA from BadCreditLoans?

Because loans are unsecured, the amount you can borrow is much less. While they offer loans up to $10,000, those with really bad credit shouldn’t expect that much. Usually, the lender will provide up to $3,000 if your credit is extremely poor, while those with higher credit scores can get the full amount of $10,000.


  • Easy and fast approval.
  • Those with really bad credit still get approved.
  • APRs in the personal loan range, which means less than 35.99%.


  • Those with really bad credit expect high APRs ranging from 15% to 35.99%; however, this is still much less than a car title loan with an average APR of 300%.
  • Not all loans get approved.


Like CashUSA, BadCreditLoans is an extremely viable option for those in need of fast cash. What makes it even better is the company does not require collateral to obtain a loan. While we recommend you never take out a secured loan if you aren’t sure you can repay the debt – BadCreditLoans allow you to borrow risk-free.

So if you’re in the market for a short-term loan, make sure to check out all BadCreditLoans has to offer.

Best Personal Loan for Really Bad Credit


Loan Amount: $1,000 – $50,000
APR: 3.99% – 35.99%
Min. Credit Score: 500
Approval: 1 Day
Terms: 1 – 5 years
Origination Fee: 0 – 3%
DTI Ratio: N/A
Check rates

As another great online option for those with really bad credit, LendingTree has both the scale and reputation of a market leader. With over 10 billion in loans provided, LendingTree is one of the largest short-term lenders in the marketplace today.

What separates LendingTree from other major players, like Prosper and LendingClub, is that they lend to those with really bad credit. LendingTree provides loan options to people with credit scores as low as 500. Conversely, some of its 10 largest competitors often require minimum credit scores in the 600-700 range, making it much more difficult to obtain a loan.

With APRs ranging from 3.99% to 35.99%, LendingTree offers unsecured loans up to $50,000.

But will you really receive that much?

In all honesty, it’s unlikely.

If you have really bad credit, the amount you can expect will be much lower, and your APR will most likely fall 15% to 35.99%. However, with unsecured loans, like BadCreditLoans, you shouldn’t worry about losing your collateral. You can also discuss your situation directly with them and see what terms are appropriate for you.


  • As one of the largest online loan companies, LendingTree is a name you can trust.
  • APRs range from 3.99% to 35.99%.
  • Low credit score requirements (500 minimum).
  • 1-day approval process.


  • Some people with extremely bad credit won’t be approved.
  • A loan origination fee of 0-3% can apply.


When it comes to a name you know and trust, LendingTree has you covered from all angles. With loan APRs ranging from 3.99% to 35.99%, the company offers lending solutions that rival those mentioned above.

If you need a quick loan, LendingTree can provide great solutions when you need them most.

Best Online Personal Loan for Bad Credit


Loan Amount: $500 – $4,000
APR: 59% – 160%
Min. Credit Score: 0
Approval: < 1 Day
Terms: 9 – 18 Months
Origination Fee: N/A
DTI Ratio: N/A

As a relatively new player in the lending space, we categorize OppLoans as an alternative lender. Their APR is 59% – 160%.

For more detail on what separates them from the other options above, check out our detailed guide on the best payday loan alternatives.

OppLoans does not provide personal loans. The reason is their APRs exceed 35.99%, and while it’s quite expensive, they still provide a cheaper option than traditional payday or car title loans.

So if that’s the case, why do we recommend them?

Well, despite the obvious downsides, we want to provide options to help people avoid payday loans. If you have other options, it’s best to avoid OppLoans. However, if you’re torn between OppLoans or a payday loan, you’ll definitely save money by choosing the former.


  • Very easy approval.
  • Those with very bad credit can still get approved.
  • They don’t check your credit but will access your financial transaction history.
  • A much cheaper alternative compared to traditional payday and auto title loans.


  • Very expensive, with APRs ranging from 59% to 160%.
  • High APRs put you at risk of falling into a debt cycle.

OppLoans Currently Offers Installment Loans in:

New Mexico
South Carolina

OppLoans Currently Offers Line of Credit Product in:


Loans Originated and Funded by FinWise Bank:

District of Columbia
North Dakota
Rhode Island
South Dakota


OppLoans provide a reliable alternative to payday and car title loans. While their APRs remain higher than traditional personal loans, the out-of-pocket costs are still less than payday loans. Our recommendation is to use it as a last resort. However, it’s good to know the lender is there in case of emergencies.

What Is The Difference Between Secured Personal Loans and Auto Title Loans?

On the surface, both products look very similar. You borrow money and use collateral to back the loan. However, you can see significant differences when you look a little closer.

Let’s start with a quick definition of personal loans and payday loans to understand the difference better.

Personal loans come with APRs that range from 5.99% to 35.99% and allow borrowing amounts ranging from $1,000 to $100,000. They are usually repaid in installments ranging from 1-year to 10-years.

Conversely, payday loans come with an average APR of 400%, and borrowing amounts typically top-out at $1,000. As well, payday loans are repaid from your next paycheck.

When you collateralize a personal loan – using your car or another asset – it becomes a secured personal loan. The collateral increases your chance of getting approved by the lender.

Conversely, when you collateralize a payday loan, it becomes similar to a car title loan. Adding collateral to a payday loan allows you to increase the borrowing amount, but it will only lower the APR to roughly 300%.

As such, payday loans are much more comparable to auto title loans.

If I Have Bad Credit, Can I Still Get a Personal Loan?

In a word – yes.

As the lending market grows, companies are more willing to provide personal loans to those with bad credit.

Check out our article that breaks down the flexibility of the lending market. It covers all the details.

Who Are The Best Auto Title Loans?

Because of the financial harm they cause, we decided not to list them for auto title loans. As mentioned above, they are predatory – so our advice is to use them only as a last resort.

However, if an auto title loan is your only option, we have some helpful tips to ensure it goes smoothly:

  • First, conduct extensive research on personal loans; don’t get an auto title loan unless you’re sure you can’t get a personal loan; as well, if you can wait a few months, focus on increasing your credit score – this will open doors to much better offers.
  • If you decide an auto title loan is right for you, make sure the lender is licensed in your state.
  • Only take out an auto title loan if you’re sure you can repay the debt on time; if not, you risk losing your collateral.
  • Make sure to read the fine print: many auto title loans have hidden fees so ask questions about anything you don’t understand and be sure all details are clearly laid out; at their offices, many lenders try and complete the process as quickly as possible so take your time to avoid any misunderstandings; as well, many lenders list their interest rates instead of the APR; find clarity on how rates will be applied.
  • Ask about flexibility: what will happen if I can’t pay on time? Is there a grace period? Is there a late payment fee? Often – with late payments – you can be stuck paying interest-only, which increases your chances of falling into a vicious debt cycle; even worse, they can repossess your car; make sure you know all of the facts before your sign on the dotted line.
  • Before agreeing, ask if you can get an installment loan: many auto title lenders offer installment loans. However, we still don’t recommend them. They improve car title loans, but they are costly.
  • Ask what they do with your personal information: many auto title lenders share or sell your data to third-party companies; make sure you clarify what practices the company employs.

What Other Companies Offer Secured Loans?

Before settling for a car title loan, try some of these alternatives instead. Many companies offer secured loans with APRs much lower than a car title loan.

  • OneMain Finacial

With APRs ranging from 16.05% to 35.99%, OneMain Financial offers interest rates similar to what you find with personal loans. You can also expect loans ranging from $1,500 to $30,000. Although they don’t have a minimum credit score requirement, most customers’ average credit score ranges from 600 to 650.

  • Finova Financial

With an APR of 30%, Finova Financial offers products similar to car title loans. While you still use your car as collateral, the company charges rates that are 50% less than the current national average. You can also get loans ranging from $750 to $5,000.

The loan term is 12-months,  repayment length of 12-months, and you can pay off the loan any time without a prepayment penalty. However, the company charges a $75 DMV lien fee and a variable document stamp tax; both charges are rolled into the total loan proceeds.

  • Wells Fargo

With APRs ranging from 7.49% to 24.49%, Wells Fargo offers loans secured against your savings or certificate of deposit (CD) balance. Borrowing amounts range from $3,000 to $100,000, and the duration can extend up to 120 months. There is also a $75 origination fee due upfront.

Can I Get a Loan from a Credit Union?

Credit unions can be a viable alternative when banks are unwilling to provide financing to those with bad credit. Unfortunately, these lenders tend to avoid borrowers with really bad credit but offer payday loan alternatives to those who meet their minimum requirements. Their payday cash alternatives tend to come with APRs of about 28%.

What are Some other Ways to Avoid Car Title Loans?

  • Become a Lyft or Uber driver

You already have a car, so instead of putting it up as collateral for a loan, join Lyft or Uber and make a few extra dollars in your spare time. As a supplement to your current earnings, ride-sharing can be a great way to avoid the burden of high-interest debt.

  • Paid surveys

Since companies salivate over customer data, they often pay a decent chunk of change to fill out low-maintenance surveys. Many pay between $0.50 to $1.25 per survey and take less than five minutes to complete. Over the course of a few days, this can add up pretty quickly.

  • Deliver food with Uber Eats

As more and more restaurants branch out into food delivery, again, you can use your car to earn extra income. With flexibility in mind, its app allows you to sign in and out on your own schedule and deliver food at times that work best for you.



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