A car title loan is like a payday loan in some ways. Both loan types offer fast processing and receipt of the proceeds, and both fall into the short-term loan category. The difference is that a car title loan requires a title from a vehicle, whereas a payday loan does not. If you have a car title, you might qualify for a title loan. However, one requirement is proving that you can repay the money, and most people prove this through pay stubs. Can you get approved without pay stubs? Here is some information to help you answer this question.

Pay Stubs Prove Employment and Income

The reason that most lenders require pay stubs is that they prove income. When you work for a company, they pay you for your work, and you receive pay stubs that show your income. Lenders that issue car title loans can view these pay stubs to see that you currently have a job that produces income. They can see how often you get paid and how much you earn. Proving that you have income is essential when borrowing money because lenders expect you to repay the money you borrow. If you have income, you will have a greater chance of repaying the debt than if you do not have any income.

People Have Other Sources of Income

The good news is that you can have income from other sources, and lenders often accept other forms of income. For example, if you collect unemployment, they might accept this as a form of income. They might also accept disability payments as proof of income. If you are self-employed, you might be able to prove your income by offering bank statements or tax returns.

The Lender Might Factor in Other Details When Processing Your Loan Application

When applying for a car title loan, your income is not the only factor that lenders consider. Instead, they view many other details when processing applications. For example, they consider your car value and your status with previous loans. They might also view other factors when evaluating your loan application for a car title loan.

If you need some fast cash, a car title loan is a great option to consider. If you have pay stubs, you can use them to prove your income. You can also use other sources of income to prove you can repay your loan if they issue you one. Contact a car title lender today to learn more about the process.