Title Pawns

What is a title pawn?

• A loan secured by a vehicle title

• A type of insurance policy

• A real estate investment

• A government bond

Which of the following is a characteristic of a title pawn?

• High interest rates

• Long repayment terms

• No collateral required

• Government-backed

In which situation might someone consider a title pawn?

• Needing quick cash with a vehicle as collateral

• Investing in the stock market

• Buying a new home

• Saving for retirement

What is a potential risk of taking out a title pawn?

• Losing your vehicle if you default

• Improving your credit score

• Gaining equity in your home

• Receiving tax benefits

How does a title pawn differ from a traditional bank loan?

• Title pawns require vehicle collateral

• Title pawns have lower interest rates

• Title pawns are government-regulated

• Title pawns are tax-deductible

What is the typical repayment period for a title pawn?

• 30 days

• 5 years

• 10 years

• 15 years

Which of the following is a common requirement for obtaining a title pawn?

• Owning a vehicle outright

• Having a high credit score

• Providing a down payment

• Being employed for 5 years

What happens if you cannot repay a title pawn?

• The lender may repossess your vehicle

• You will receive a government subsidy

• Your credit score will improve

• You will own the vehicle free and clear

Which demographic is most likely to use title pawns?

• Individuals with poor credit

• Wealthy investors

• Government employees

• College graduates

What is one advantage of a title pawn over a payday loan?

• Larger loan amounts

• Lower interest rates

• No need for collateral

• Longer repayment terms