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Jun 23

Are car log book loans a good solution for anyone in need of some cash?

Posted by:Kieran Davies

What is a log book loan? This is a loan that is secured against your vehicle. If you are accepted for this type of loan you will not have to hand over your car to the lender. Instead, you will need to give them your vehicle’s V5 log book. You only run the risk of losing your car if you fail to make the repayments you have agreed to. A log book loan tends to give individuals the opportunity to borrow up to 70 per cent of their car’s current worth. However, this is dependent on the lender. Keeping that in mind, read on to discover more about car log book loans and why they are a possible solution for anyone who is in need of some extra cash...

As briefly touched upon in the introduction, one of the features of this type of loan is the fact that it has no negative impact on your day-to-day life in the sense that you can keep driving your vehicle. So unlike a pawnbroking loan, for example, you don’t have to worry about giving something important up in order to benefit from the money you require. Contrary to what a lot of people believe, your car is merely used as security, and therefore will not be taken off you if you make the agreed repayments.

In addition to this, car log book loans are a flexible solution because a wide variety of individuals are considered. This does not mean everyone will be accepted. However, if you have a bad credit history or no credit history at all, you do not need to be worried about being rejected from all lenders. There is a chance you will be accepted. In general you need to prove that you are over the age of 18, that the vehicle in question is yours and paid for in full. In addition to this, it is extremely important that you prove you will be able to make the repayments. Thus, proof of income slips, or something similar, are extremely important.

Aside from the points that have already been mentioned, one of the reasons why car log book loans are favoured to other types of short term loans is because they offer a greater degree of flexibility. Pay day loans are a main rival to this type of loan. However, pay day loans only tide people over for a few weeks and you are only allowed to borrow a minimal amount of money. You often have a greater scope of flexibility with a log book loan. You will usually be able to borrow more and you will often have up to 18 months to pay your loan back.

When you take all of the factors that have been touched upon into account, it is not tough to see why car log book loans are a popular option for some people. They have received a wealth of positive feedback and this is because they are flexible, provide a solution a lot of different people can take advantage of, and you still get to keep a hold of your car.
 

Summary – If you take a look on the Internet you will be met with a wealth of different lending options. This post assesses the features of car log book loans in particular. Is this a good type of loan?

Author bio – Kieran Davies has been a journalist for over twenty years. During his career he has written on a vast array of topics. This ranges from car log book loans to political elections.

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350.5%APR Representative
Representative example: Loan amount £1000. Duration 18 months. Repayable by 16 monthly repayments of £170.42 and one of £198.42 (includes Bill of Sale registration fee of £28) commencing two months from the date of the loan. Total amount repayable £2925.14. Rate of interest 187% per annum fixed. Representative 350.5%APR. LOANS ARE SECURED ON YOUR CAR. The vehicle may be repossessed if you do not keep up the repayments.