Can You Get a Title Loan for a Leased Vehicle?

If you’re leasing your car and find yourself in a financial bind, you might wonder if you can still get a title loan. It’s a fair question. After all, title loans are known for being fast, simple, and handy when unexpected expenses pop up. But if you drive a leased vehicle, your options for getting a title loan are limited.

What Is a Title Loan?

A title loan is a way to borrow money using your vehicle as collateral. You hand over the title—not the car—get the cash you need, and keep driving while you repay the loan. Once it’s paid off, the title comes right back to you.

When you go through a company with low interest rates and flexible terms, you get a much better deal than you’ll ever find with payday loans or high-interest credit cards. Best of all, no credit check is required to get the money you need.

What Is Vehicle Leasing?

Leasing is like renting a car long-term. You make monthly payments to use the vehicle, but you don’t actually own it. The leasing company holds the title, and you agree to specific terms, like limiting your mileage and maintaining the vehicle regularly.

At the end of the lease, you either turn the car in for something else or buy it outright for a predetermined price. Only if you purchase the car does the title transfer to you. Until then, the leasing company retains full ownership.

Can You Get a Title Loan for a Leased Vehicle?

No. Since the leasing company owns the vehicle, the title stays in their name—not yours. A title loan requires a clean, lien-free title, so you don’t have the right to use the car as collateral until you buy it at the end of the lease. That’s why leased car title loans aren’t an option.

Alternative Loan Options for Leased Vehicles

Just because you can’t get a title loan on a leased car doesn’t mean you’re out of options. Here are a few alternatives that might work better:

• Lease buyout loan: To make the car officially yours, consider a lease buyout loan to help you purchase the vehicle. This gives you full ownership—and access to a title loan down the road.
• Personal loans: These loans don’t require collateral, so they’re a viable option if you have good credit.
• Credit card cash advances: While quick and easy to apply for, cash advances are often expensive. The high interest rates add up fast, so use these with caution.
• Borrow from friends or family: Asking loved ones for help is sometimes the easiest and cheapest way to get through a financial crunch.

Contact Us with Any Questions

VIP Title Loans offers low-interest title loans that put money in your pocket when you need it most. Our terms are flexible, and our rates are the lowest around. While a leased vehicle might not get you a title loan, we’re happy to discuss your eligibility and point you toward other financing tools. Call us today or stop by one of our five convenient locations across the DFW Metroplex, and we’ll help you figure out your next move.