FAQ – 5 Star Car Title Loans
Questions?
We’ve Got Answers!
Below are simple answers to the most common questions we get. They can help you understand how title loans work and what to expect during the process.
Keep in mind that title loan rates, terms, fees, and consumer protections vary by state. For information specific to where you live, including the rules that apply and loan examples, visit our Title Loan Laws by State page.
If anything is still unclear, feel free to call us. We’re happy to answer any questions you have.
The Basics
A title loan lets you borrow money using the equity in your vehicle as collateral.
In simple terms, you temporarily use your car title to secure the loan while keeping your vehicle and continuing to drive it as usual. If approved, you may be able to borrow approximately 25% to 50% of your vehicle’s current market value, depending on the vehicle, your income, and your ability to repay.
You then make payments according to your loan agreement. Once the loan is paid in full, the lien is released and your title is returned free and clear.
Many borrowers choose title loans because approval is based primarily on their vehicle’s value and ability to repay, rather than their credit score alone.
Read more: How It Works.
Getting a car title loan is a simple process that usually takes just a few steps:
1. Apply online, by phone, or in person and provide basic information about yourself and your vehicle.
2. Submit your documents, including your vehicle title, ID, proof of income, proof of insurance, and any other required paperwork.
3. Vehicle review is typically completed using photos or a short video to determine your vehicle’s value.
4. Receive a loan offer, review the terms, and sign your loan agreement if you decide to proceed. The agreement will outline the loan amount, APR, payment schedule, fees, and other terms.
5. Receive your funds. In many cases, funds can be sent the same business day if approved before the lender’s cutoff time.8
You keep your vehicle and continue driving it during the loan term. Once the loan is paid in full, the lien is released and your title is returned free and clear.
Yes. You keep your car and drive it like always for the whole loan. We hold onto the title (the ownership paper), not the car itself. People are often surprised by this, but it’s the normal way title loans work.
Equity is the portion of your vehicle’s value that you own. For example, if your car is worth $8,000 and you still owe $2,000 on it, you have $6,000 in equity.
Title loans are based on your available equity and your ability to repay the loan. In most cases, borrowers can expect to qualify for approximately 25% to 50% of their vehicle’s current market value, depending on the vehicle, income, and other factors.
You can read more about auto equity loans if you’d like to learn more.
A title is “free and clear” when no lien holder is listed on it. That means the vehicle isn’t being used as collateral for any current loan and no other party has a financial claim against it. You own it outright.
The easiest way to check is to look at your physical title or your state’s online vehicle records. If a lien holder is named, the title isn’t yet free and clear. Once a loan is paid off, the lender notifies your state’s DMV and the lien is released. If you’re unsure where your title stands, your local DMV can confirm.
Even if your title isn’t fully clear, you may still qualify. Read more on car title loans on a Financed Car.
Can I Qualify?
If your vehicle has a clear title in your name, there’s a good chance it qualifies. At 5 Star Car Title Loans™, we work with several vehicle types depending on equity, condition, ability to repay, and your state’s rules.
• Car Title Loans: the most common choice. Avg loan $3,718; typical $1,425 to $8,586.
• Truck Title Loans: pickup or commercial. Avg $14,195; typical $3,500 to $22,500.
• Motorcycle Title Loans: avg $3,530; typical $1,550 to $4,330.
• RV Title Loans: avg $7,500; typical $2,500 to $18,000.
• Boat Title Loans: LTV 25% to 50%; state caps may apply (FL $25,000).
• ATV Title Loans: avg $2,900; typical $740 to $12,820.
Have a different vehicle? You may still qualify. The figures above show typical loan amounts from real 5 Star Car Title Loans™ funded loans between 2023 and 2026. Your actual offer depends on your vehicle’s condition and market value, your ability to repay,5 and the rules in your state.6
Read more: Title Loans Services we offer.
Requirements vary by state, but most borrowers only need a few basic items:
• A valid government-issued photo ID4
• A vehicle title in your name (or a vehicle with sufficient equity)
• A few photos of your vehicle
• Proof of income or another way to show you can repay the loan5
• Proof of insurance and vehicle registration
• Basic contact information
Additional requirements may apply depending on your state’s laws and regulations. You can also learn more on our Title Loan Requirements page or simply give us a call, and we’ll explain exactly what you’ll need.
In many cases, yes. Because a title loan is secured by your vehicle, we typically focus more on your vehicle’s value and your ability to repay than on your credit score alone.6
Having bad credit, limited credit history, or past financial challenges does not automatically disqualify you. However, approval and loan terms will still depend on factors such as your income, available vehicle equity, and your ability to meet our lending requirements.
Read more: Bad Credit Title Loans.
A pay stub is one way to show you can repay, but it’s not the only way. You’ll still need to show you have money coming in, and we can often work with things like:
• Bank statements
• Disability or Social Security payments
• Other steady income or benefits you receive
The main thing we need to see is a real way for you to pay the loan back.5 More Alternative Income Types that can be used for loan approval can be found here.
Not always. A bank account is one way for us to check your income, but it isn’t the only way, and we can often use other income documents instead.
Read more: Title Loans Without a Bank Account.
In most cases, yes. We need to confirm that the vehicle securing the loan is properly insured, and proof of active coverage in your name is usually part of the documents we’ll ask for. Requirements can vary by state.
If you don’t have insurance, or your current policy doesn’t meet the minimum coverage we need, it doesn’t have to be the end of the conversation. You may be able to add coverage first and then complete the loan. Give us a call and we’ll walk you through what’s needed in your state.
Read more: Can You Pawn a Car Title Without Insurance?
Having an expired or overdue vehicle registration does not automatically disqualify you from getting a title loan. However, in many cases, you’ll need to renew your registration before the loan can be finalized.
The good news is that many states allow registration renewals online. For example, drivers in California and Florida can often renew their registration without visiting a DMV office.
Once your registration is updated, you can typically continue with the loan process. If you’re unsure whether your registration status will affect your application, give us a call and we’ll review your situation.
Usually not, as long as the bankruptcy is finished and closed. We look at whether you can pay the loan back now, so something from the past often won’t get in the way.
If you’re still in the middle of a bankruptcy case, the steps can be a little different. There’s more on our title loans during Chapter 13 page, or give us a call and we’ll explain what your situation needs.
In many cases, yes. Vehicles with salvage or rebuilt titles may still qualify for a title loan, although the loan amount may be affected by the vehicle’s condition and value. We may also ask for documentation showing the repairs that were completed after the damage occurred.
If you have a salvage title and would like to know your options, contact us for a free review.
Read more: Salvage Title Loans in California.
Possibly. If your title has been lost, damaged, or you simply can’t find it, most states allow vehicle owners to request a duplicate title from their DMV. We can’t issue a title for you, but we can guide you on what to ask for and how to move forward once you have it in hand.
If you’ve never received a title because the vehicle is brand new, or the title is still being processed, contact us. There may still be a path forward depending on the documents you do have.
In many cases, yes. We work with borrowers who have out-of-state titles, although requirements vary by state.2
Depending on where you live and where the vehicle is registered, you may need to update your registration or transfer the title before final approval. The easiest way to find out is to contact us with your details, and we’ll explain the requirements that apply to your situation.
Possibly. If you’re still making payments on your vehicle but have sufficient equity, you may still qualify. In some cases, we may be able to pay off the existing balance and use the remaining equity to determine your loan options.
Leased vehicles may also qualify in certain situations, depending on the terms of the lease and the leasing company.
If you’re unsure whether your vehicle qualifies, give us a call and we’ll walk you through your options.
Read more: Title Loans for Leased Cars.
Possibly. If you’re still making payments on your vehicle but have enough equity, you may still qualify for a title loan. In some cases, we may be able to pay off your existing loan and use the remaining equity to determine your loan options.
Read more: Title Loans While Still Making Payments.
In many cases, yes. Whether you can apply on your own depends on how the names appear on the vehicle title.
If the title lists one owner “OR” the other, only one owner may be able to apply. If the title lists one owner “AND” the other, both owners will typically need to agree and sign the loan documents.
Requirements can vary by state, so it’s best to contact us to discuss your situation.
Read more: Title Loans With Multiple Owners.
How Much, and What Does It Cost?
There’s no one-size-fits-all amount. Your loan amount depends on your vehicle’s value, available equity, your ability to repay, and your state’s laws. In most cases, borrowers receive approximately 25% to 50% of their vehicle’s current market value, with loan amounts available up to $50,000.56
Recent funded loans ranged from approximately $1,400 to $22,500, with average loan amounts between $3,500 and $14,000.*
*Figures shown reflect historical averages from 5 Star Car Title Loans™ funded loans between 2023 and 2026.
Honestly, the best move is to borrow only what you actually need. To see the limits in your state, check our Title Loan Laws by State page, or try our title loan calculator.
Your rate and fees depend on your state’s rules and your specific loan, so there’s no single number we can quote for everyone.
You’ll find the cost details for your state on our Title Loan Laws by State page; you can learn how rates work on our title loan interest rates page; and you’ll see your exact numbers spelled out before you sign anything.
Straight with you: title loans are expensive, and they’re built for short-term needs, not long-term borrowing. There may be cheaper options out there for you, and it’s worth a look before you decide.7
Two good reads: our own Is a Title Loan Right for You? guide, and the government’s guide to auto title loans.
That depends on your state and the repayment term you choose. Many of our loans offer terms of up to 48 months, and we’ll work with you to find a payment schedule that fits your budget.
You can pay off your loan early at any time to save on interest, and there are no prepayment penalties.7 Your loan term, payment amount, and all other costs will be clearly outlined in your loan agreement before you sign.
Applying and Getting Your Money
Applying is easy. You can either give us a call or complete our online form. The online form takes just a few minutes and lets you know whether you’re pre-approved, with no obligation.8
If you’re pre-approved, one of our team members will contact you to review your vehicle and income information, answer any questions, and guide you through the remaining steps needed for final approval.
Whatever is most convenient for you. Many borrowers prefer starting online because the process is quick, and you can find out whether you’re pre-approved within minutes without leaving home.8
If you’d rather speak with someone directly, you’re always welcome to call or visit a nearby location. You can find the closest office on our Locations page.
The application itself may take about five minutes to complete and receive a pre-approval decision. Once all required documents are reviewed and approved, funding can begin.
In many cases, funds are available the same business day when final approval and signed documents are received before 2 PM local time on a business day.8
Read more: How Long Does It Take to Get a Title Loan?
Paying It Back
We keep it flexible. You can pay online via our portal, over the phone, or by mail, whatever’s simplest for you. Full details are on our How to Pay page.
No. You can pay off your loan early at any time without any prepayment penalties. In fact, paying off your loan sooner may reduce the total amount of interest you pay.7
Your loan agreement will clearly explain your repayment terms, and our team is always available if you have questions about your payoff amount or payment options.
Yes. Once your loan is active, you can access your secure My Account portal at any time.
Through My Account, you can:
• View your loan balance and payment schedule
• Make payments online
• See upcoming payment due dates
• Review past payments and transaction history
• Access important loan details and documents
• Track the status of your account
• View the status of your lien release after your loan is paid off
The portal is available 24/7, making it easy to stay on top of your loan from your computer, tablet, or mobile device.
No. Paying off a loan early does not result in any penalties from us. In fact, paying off debt responsibly is generally a positive financial habit.
Whether a title loan appears on your credit report depends on the lender and the specific loan program.9 If you have questions about credit reporting, just ask us.
Read more: Do Title Loans Go on Your Credit?
As soon as the loan is fully paid off, the title goes back to you, and with us that usually happens automatically. The exact steps depend on your state. In some states (California is one), it’s all electronic, so we just let the DMV know you’re paid up and the title updates on its own.
In other states, you might pick up an updated title from your local DMV. If you ever need to find yours, here’s a directory of motor vehicle offices.
Switching or Changing Your Loan
Often, yes. Refinancing just means swapping your current loan for a new one with different terms, which might mean a lower rate or a smaller monthly payment.
You can do it with your current lender or move to a new one. Approval depends on your qualifications and the lender’s requirements, but it’s usually quick and easy to find out whether refinancing is an option.
You can apply online to see what you’d be offered, or weigh it up first.
Read more: Should You Refinance Your Title Loan?
A title loan buyout happens when another lender purchases your existing title loan from your current lender. In most cases, your loan terms, payment schedule, and balance stay the same. The main difference is that you’ll make future payments to the new lender instead of the original one.
If you’re looking to change your loan terms, lower your payments, or reduce your interest rate, you’re probably looking for title loan refinancing, which is a different process.
Read more: Title Loan Buyouts.
You can sell a vehicle that has a title loan, but the loan must be paid off as part of the sale before ownership can be transferred to the buyer.
There are several ways to handle this, depending on your situation. The most important thing to know is that the existing lien must be satisfied and released before the title can be transferred to the new owner.
You’ve got a few ways to do it:
• Pay the loan off first, then sell with a clean title.
• Sell or trade it to a dealership that handles the payoff for you.
• Sell to a private buyer, but only if your contract allows the loan to be handled in the sale.
Read more: How to Sell a Car That Has a Title Loan.
Your Rights and Staying Safe
If you’re having trouble making a payment, contact us as soon as possible. In many cases, addressing the issue early gives us a better chance of helping you explore available options.
Because your vehicle secures the loan, failing to make payments could eventually lead to repossession if the conditions outlined in your loan agreement are met.9 Your contract explains when repossession may occur and what rights and responsibilities apply.
Consumer protections vary by state and may include requirements such as notices before repossession, opportunities to redeem the vehicle, and rules regarding any remaining proceeds if the vehicle is sold.
For details specific to your state, visit our Title Loan Laws by State page. You can also learn more on our Vehicle repossession page.
Not on the same car. A car can only back one loan at a time. If you have more than one vehicle, you might be able to borrow against another one, where your state allows it.
Our honest advice, though: it’s usually best to stick with one loan so you don’t stretch yourself too thin.
Read more: How Many Title Loans Can You Have?
Keeping your information safe is something we take seriously. We use encryption and secure systems to protect what you share, and our Privacy Policy explains exactly what we collect and why.
You can also check our Text Message Policy and, if you live in California, our Do Not Sell My Personal Information notice (CCPA).
Title lenders are licensed and watched over by a government agency in each state, so who oversees your loan depends on where you live. If you ever have a problem you can’t sort out, you have somewhere to go:
In California: the state’s Department of Financial Protection and Innovation (DFPI). You can file a complaint on their complaint page.
In other states: find the right agency for you on our Title Loan Laws by State page.
Nationwide help: the Consumer Financial Protection Bureau (CFPB) offers free guidance and takes complaints too.
More Questions?
Didn’t find what you were looking for? Give us a call at (888) 309-0994 or start your application online. We’re happy to walk you through anything that isn’t clear.
