Best Answer

Typically you need a car with insurance to get a title loan. If your car is totaled, the loan company are entitled to that money since they hold the title for your car.

User Avatar

Wiki User

โˆ™ 2012-12-07 00:02:24
This answer is:
User Avatar
Study guides

Add your answer:

Earn +20 pts
Q: What happens if you Car title loan in default and car is totaled?
Write your answer...
Still have questions?
magnify glass
Related questions

What happens to a title loan if the automobile is totaled in an accident?

you pay money

What happens if you are in default on a car title loan?

The creditor reposseses the car, and you take the bus.

What happens if you do not pay your check n go installment loan?

The loan will be a default loan

How do you get your car title from Bank of America?

The only way to get your car title back from the Bank of America is to pay of the loan that the title is collateral for. If the loan is paid off, they will send you the title in the mail.

Can your car be repo'ed if you have the title?

IF your vehicle is collateral for loan in DEFAULT, it CAN be repoed.

What happens if a loan is in default and is deceased but has a co signer?

The cosigner now owes for the loan.

Can credit union hold title on car if car used as collateral and loan is default?

Yes. That's why the credit union has possession of the title. If you used the car as collateral for a loan and default on the loan the lender will take possession of the car and sell it to offset what you owe on the loan.

What happens when you default on your loan and the insurance company pays out on your loan?

In most places the money goes to the BANK! Their name is on the title of the vehicle until you make all your payments and they sign a "release of lein".

What do you do if you lose the title to your car and it has a lien on it that you are default in?

You didn't have the title to begin with. The loan company or bank does. So, you didn't loose it, but you may loose the car since it is in default . The loan company/bank owns the car, not you.

Can you file for bankruptcy and not default on a title loan?

Yes. With the lender's permission, you can reaffirm the loan at the time your bankruptcy is executed.

What happens if you default on a loan used to purchase a lot?

If you default on a loan used to purchase a piece of property you usually lose the property through foreclosure.

What happens if a loan is sold with recourse and it goes into default?

what haapend if a loan is sold with recourse and it goes into defualt

People also asked