Personal Loan Blog

The basics of how to start your own title company when you live in the state of Louisiana. Points out the importance of licensing, bonding and marketing.

Title companies in Louisiana handle property purchases made in the state. Individuals and businesses hire title companies to research properties and ensure it is free of liens and claims. Title companies also put together a comprehensive history of property ownership. Other duties include preparing escrow accounts, securing title insurance and providing settlement forms.

Licensing Procedures

Pass all Louisiana licensing requirements for your title company. To obtain a license in Louisiana, you must be over 18, own a business or reside in Louisiana, and pass a title licensing examination. Anyone in your office who handles title and insurance transactions must obtain a current license.

Incorporating Your Title Company

Contact the Secretary of State Department in Louisiana. File the paperwork to incorporate your title company. You must present financial records and pay the required fee to receive approval through the department.

Notifying the Taxation Department

Visit the Louisiana Department of Revenue and Taxation. This department handles the collection of state and federal taxes along with providing a new business with a state and federal tax identification number. Use this tax number during all financial transactions.

Bonding and Insurance

Bond and insure your title company. Insurance requirements include liability and errors and omissions coverage. Bonds protect your clients in the case of fraud. A surety bond covers 10 to 20 percent of the total value of your company.

Locating Office Space

Find rental space in Louisiana. Title companies need at least a small office to manage operations. The area needs to be able to accommodate a workspace, reception area, meeting room and file room. Check Louisiana zoning requirements to ensure your space adheres to all regulations.

Staffing Requirements

Staff your title company. Hire the required personnel to run your operation. At a minimum, title companies need a receptionist, search agent, title examiner and closing agent.

Networking and Advertising

Network with realtors and industry insiders. Title companies work directly with realtors and lenders who have clients looking to close on a property. Send out announcements to let contacts know you are opening a new title company in Louisiana. Place ads in industry publications and attend real estate conventions.

Once you build up a name for your company, you could consider expansion opportunities. Keep in mind that starting a title company can be costly and should only be ventured into established professionals from the real estate industry. Besides Louisiana, most states have similar requirements for launching a title company.

Locating someone other than a tote the note dealer that offers horrible credit auto loans to people with bad credit

Your questions

If you’re a credit-challenged consumer there’s a good chance you’ll have a problem finding a dealer that can offer you a problem credit auto loan.

We understand because we’ve been involved in bad credit car sales since 1992 here at Auto Credit Express. Our web site is even designed so that bad credit applicants can learn about issues such as down payments and cosigners as well as today’s topic, finding a dealer that’s close enough that works with lenders that offer no credit auto loans.

Locating a dealer

While many dealerships advertise bad credit auto loans, many of them usually turn out to be tote the note dealers – places that don’t report loans or payments to the credit bureaus. Taking out this type of loan means you’ll have transportation, but your credit report won’t show a car loan and you’ll be in basically the same credit situation the next time you need a car.

Another reason to avoid these buy here pay here dealers is that most are small used car lots not affiliated with a new car franchise. This means the vehicles they sell typically consist of older, high-mileage cars that are often unreliable and, if they have one, a warranty that’s usually very limited and covers just a short period of time.

It’s also true that many new car dealers don’t want the hassle of dealing with customers with bad credit.

This is because unlike regular new car financing, offering bad credit car loans requires special training for dealership employees. Dealers also have to stock the right kinds of cars. As a result, many new car dealers don’t have the experience or the patience to maintain a special finance department and the the right kind of vehicle inventory.

Going online

The internet has not only changed the way shoppers with good credit buy cars, but the way those with bad credit can locate a dealer that can help them get financed.

Websites such as ours can match the needs of customers with dealers that work with a broad range of lenders from traditional ones to those that offer bad credit car loans.

For customers with poor credit, these franchised new car dealers offer a number of advantages over buy and pay here dealers:

1.    You’ll choose a car from much larger vehicle inventories.

2.    Because of stricter lender requirements, these vehicles are either new or newer used cars with lower miles.

3.    Most of these vehicles are eligible for an extended warranty covering most of the loan term, helping you avoid potentially high repair bills.

4.    By reporting to the credit bureaus, timely payments help you establish your car credit while helping raise your credit scores.

Check with us

At Auto Credit Express we’ve help people with bad auto credit find a dealer for their best chance at getting approved for a bad credit car.

So if you’re serious about getting your car credit back on track, you can begin now by filling out our online car loans bad credit application.

All homeowners should lock in their rate for 45 to 60 days at application to avoid unpleasant surprises at closings that cost them money for up to 30 years.

Locking in mortgage interest rates can ensure a cost-effective and relatively stress-free mortgage application process. Market volatility and strict mortgage approval rules make this suggestion an imperative for prospective homeowners.

Lenders who have survived the mortgage and real estate crash have adopted much more strict approval standards. Unlike normal market rules, should your interest rate increase prior to closing, instead of possibly adjusting the rate upward, you can lose your approval–at any interest rate.

Mortgage underwriting regulations–particularly required monthly income and credit score minimums–have become so tight that many formerly qualified borrowers can easily be “shut out” of the loan process. Locking your mortgage interest rate at application has morphed beyond important into the “critical” area.

Before signing off on the title to a bad credit car you need to know what a branded title is to avoid buying a vehicle that has one

How we know

Practically all lenders will not finance a vehicle with a branded title, but it can also hurt you if you plan on buying a used car with a problem credit auto loan.

We have seen a number of applicants with car title issues in our two decades of involvement with bad credit car sales here at Auto Credit Express.

We even created a web site so that applicants can learn about issues such as tote the note dealers and horrible credit auto loans as well as today’s topic, branded titles.

Car titles

The majority of used cars have a clean title. This is the case even If the vehicle was in an accident – just as long as it wasn’t bad enough to declare it a total loss (which means even with a clean title you should ask for a vehicle history report and have the car inspected, since there might be hidden accident damage).

But if a car has been in an accident with enough damage to declare it a total loss, once repaired it’s issued a “branded title”.

Branded titles are also issued for other situations.

Branded titles

Title brands can vary by state but usually include the following:

Rebuilt – A vehicle previously branded as “salvage” that has been repaired and inspected. These vehicles might be drivable, but a rebuilt title means it was, at one time, a salvage vehicle. Bad credit auto loans cannot be used to finance a car with a rebuilt title brand.

Salvage – A vehicle with damage that would typically cost between 75% and 100% of its value to be repaired. In some states, the rebuilt brand does not exist and salvage vehicles that have been repaired still carry a salvage brand. Bad credit lenders will not finance salvage branded vehicles.

Junk – a vehicle that can only be sold for scrap or used for parts

Flood Damaged – A vehicle that has been water damaged. In some states a flood damaged vehicle might also be labeled with either a salvage or brand. Vehicles classified as flood damaged cannot be financed with no credit auto loans.

Fleet – Although typically not a brand, most states require any vehicle used as a taxi, a daily rental or for police use be designated as a fleet vehicle. Bad credit lenders will not finance a fleet vehicle.

Mileage unknown – Mileage unknown is not a brand, but most states require that the title be notated if vehicle mileage is unknown due to odometer replacement or other issues. Bad credit lenders will not finance these vehicles.

Stolen – Like fleet, a stolen vehicle is usually not a brand, although many states may refuse to title a recovered stolen vehicle. Due to the damage they sustain, many of these vehicles are branded so that they cannot be re-sold.

Vehicles with branded titles typically have either a different-colored title with a notation on it or a notation at the bottom of a regular title to set it apart from a clean title.

Title washing

During the practice of “title washing,” a vehicle with a branded title is purchased in one state and then re-titled in another state resulting in a clean title. In many instances, a vehicle history report and car inspection can reveal the fact that a car has had its title “washed”.

Failure to thoroughly research a vehicle’s history can be a problem because many states now run title applications through a national VIN database before issuing the new owner (you) a title, making it difficult to both license and insure this kind of vehicle.

The Bottom Line

Be especially careful when signing the title to a used car. Your best chance to avoid buying one is to run a vehicle history report and have it thoroughly inspected by a certified master mechanic prior to signing any paperwork.

At Auto Credit Express we can help you find a dealer for your best chance at an approval for a bad credit car.

So if you’re serious about getting your car credit back on track, you can begin the process now by filling out our online car loans bad credit application.

2012 Outlook: People who generally focus on local market conditions remain largely unaware of the national issues that pose a greater threat to home values.

The value of real estate will likely continue its slow and steady decline throughout 2012. Here are ten large scale predictions that may have a negative impact on home values in the near future.

The government and mortgage industry both agree that increasing down payments can help prevent future losses. Forcing buyers to invest more of their own hard earned cash towards the purchase price may prevent them from falling under water on the mortgage or defaulting and abandoning the home as easily as it was in the past. The government wants it raised as high as 20% across the board while the mortgage industry is pushing for more risk-based terms, meaning the lower a persons credit score is, the higher their down payment should be and vice versa. Regardless of who gets their way, as mortgage defaults continue to rise it becomes more likely that 5%, 3%, and 0% down payments will soon be a thing of the past.

The government no longer wants mortgage interest to be tax deductible, making it that much more expensive. This has always been a familys largest write off and without it they will receive significantly smaller tax returns every year and place a dampener on the yearly economic stimulus that the tax season provides our economy with. It would no longer be advantageous to purchase property for tax shelters and buyers will become more aware of how much interest is being tacked on to the mortgage. This triple threat of more expensive loans, buyer awareness, and smaller tax returns will have a devastating ripple effect throughout our economy.

There are at least two instances when gap insurance makes sense as part of no credit auto loans

In the know

Although gap insurance is never required, there are times when choosing it can be a good decision when accepting a problem credit auto loan.

We certainly know this because we’ve been in the bad credit car sales for close to twenty years here at Auto Credit Express.

A web site we constructed even covers the horrible credit auto loans process so applicants can avoid a tote the note dealer while studying the issues that can lead to repossession.

In particular, one thing that needs to be looked at is the benefits and drawbacks of gap insurance.

Why gap insurance?

Until the last payment, your car really belongs to lender. At the same time, if you get into an accident before it’s paid off, full coverage car insurance will pay for the damage, less your deductible.

Also, if you’re involved in an accident where the car is declared a total loss, the insurancepany will pay its retail value (possibly less any deductible) at the time of the accident.

The only problem with this is that if you’re early enough into a loan and you only had a small down payment, your vehicle could be worth thousands of dollars less that the loan payoff. If this is the case, you’ll need to continue making payments until the remaining balance is paid in full.

Admittedly, this is a worst case situation, but it can and it has happened.

This is where gap insurance steps in: If you have it, the insurancepany will pay the difference between the amount your auto insurance pays and the balance of your car loan (less any deductible – although if you weren’t at fault, in many states your car insurancepany will cover that as well).

When you need gap insurance

In some cases, gap insurance can be a waste of money. If you have a short-term loan (36 months or less) you will be in an equity situation, even with a bad credit car loan, in a short time.

Also, if your down payment was 20% or more, chances are very good that you will also be in an equity position for all or most of the loan – especially if the term is 60 months or less.

But in just about every other situation, it usually makes sense to buy gap insurance.

As we see it

In at least two instances, buying gap insurance means you can avoid the possibility of paying thousands of dollars to a lender for a vehicle that’s been damaged beyond repair. You can also avoid defaulting on a loan if this situation might result in your inability to pay the remaining balance of the loan.

At Auto Credit Express we help people with bad credit find a dealer for their best chance at getting an approval for a bad credit car.

So if you’re serious about getting your car credit back on track, you can begin now by filling out our online car loans bad credit application.

For all those who seek a tax-free retirement its best to head towards the Roth IRA which is an excellent retirement investment option. Details regarding the same can be read at roth-ira.org.

Depending on the income of an individual Roth IRA has a list of specifications regarding income eligibility. Roth IRA can be availed only if one’s income adheres to a specific level that is set by the IRS. Marital status of an individual determines the level of specificity. The income of an individual that is considered is usually based on the work performed and not the income that is acquired through other investments or rental income.

The basic guidelines that are followed are that if one is single or if he or she is the head of the household then the income should be less than $107,000 in order to contribute fully to a Roth IRA. In case one is married and filling jointly or if one is a qualified widow or widower then income should be less than $169,000 to contribute fully to a Roth IRA. In the case of a married individual filling separately then the income ought to be less than $ 10,000 to contribute fully to a Roth IRA.

Roth IRA has certain rules regarding contribution eligibility as well. People who have an income that adheres to the above mentioned guidelines can use Roth IRA to save for retirement. Age plays a important role and determines how much you can save. $5000 can be contributed towards a Roth IRA if one is under the age of 50. If married, each individual can keep aside $5000 towards their retirement. The contribution limit is not the total limit per account but total limit across any number of Roth accounts. If one is 50 or older then the same $5000 remains applicable. One is also allowed to contribute an additional $1000 as a catch up contribution towards retirement.