A salvage title indicates that a car has suffered serious damage in the past due to accident or flooding. Cars with salvage titles means that over 75% of the value of the car has been eroded, cars in this category are cheap and an inexpensive option for car shoppers on a budget.

A car title loan is a type of secured loan, and like other secured loans, a collateral is required to get a car title loan. In this case, the title of your car is what you will use collateral.