3 Tips for Paying Back Your Georgia Title Loan on Time

3 Tips for Paying Back Your Georgia Title Loan on Time

October 15, 2021
3 Tips for Paying Back Your Georgia Title Loan on Time

A Georgia title loan is a short-term loan that requires an asset as collateral. This is a good option for those who are still building a good credit history and need to take out a loan.

However, as convenient as this may sound, this type of loan will have a higher interest rate than a bank. This means that if you don’t manage your finances well moving forward, you could be burdened with an even bigger debt or be forced to give up your asset altogether.

We’ve rounded up 3 tips to help you pay off early (or at least on time).

How to Pay Off Your Georgia Title Loan on Time

1. Make bi-weekly payments

Your lender typically asks for monthly payments toward your loan, but if you can negotiate bi-weekly payments, half-payments can help you manage your debt better.

Just consider these benefits for a minute:

  • If you get paid twice a month, it will be much easier to immediately pay your lender the money you owe. This way, you won’t be tempted to use the money elsewhere.
  • You’ll be making 26 half-payments in a year. When this adds up, you’ll be looking at 13 full payments in a year instead of 12. This gives you an extra full payment that could shorten your loan and decrease your interest.

2. Pay more than the minimum

If there’s a little wiggle room in your budget, you can also round up your payment for your Georgia title loan. This way, you can stay ahead of your payment term if you come across any financial snags in the future.

Essentially, paying more than the minimum results in you paying ahead of time. So, how can paying ahead of time help you pay on time? The truth is that it doesn’t—at least not right away. This will not help you with your loan payment immediately, but it can give you the much-needed buffer in case of a financial emergency at a later date.

Not to mention, making extra payments will also clear your debt much faster. This translates to reduced interest and quicker financial independence for you.

An easy way to pay more than the minimum is to simply round up your monthly payments. Say you need to pay $300 each month for your Georgia title loan. If you bring the number up by $50, you can reap the reward down the line.

3. Find ways to boost your income

We get it—this is easier said than done, especially with the current climate of the job market.

But if you’re finding it hard to repay your Georgia title loan, then maybe you can look for ways to ease your financial burden by earning more.

There are plenty of freelance opportunities online for extra cash. By taking on a second job, you’ll have another income stream to shoulder your loan. Although this may take some effort, at least your hard work will pay off and you won’t be forced to surrender the asset that you’ve used as collateral for your loan.

Apply For a Georgia Title Loan with Lending Bear

Haven’t taken out a title loan yet? Lending Bear offers a fast and friendly short-term solution for you. And now, with the tips that we’ve given you above, you won’t have to worry about missing out on your payments with us.

Receive up to $10,000 on your vehicle through Lending Bear today. Check out our website or give us a call to learn more about applying for a Georgia title loan with us.