Answer 1/1 - Submitted 1/5/2011
Car title loans are loans made to individuals who pledge the pink slip of their car as collateral for the loan. If you own a car - paid off, or nearly paid off - and the car has some real value, there are certain companies who are willing to lend you money against that value. Interest rates can be fairly high, and many car title loans have very short repayment terms, one to three months. If you don't repay the loan, the lender can take the car.
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