A logbook loan is a way that you can borrow money. It is basically a loan against car in UK. It can be an option for anyone who needs a loan and has some advantages over other types of borrowing.
A logbook loan can be quick to organise. You should be able to easily find a company online that can offer this type of loan. You will need to give the details of your vehicle so that they can check the value and the loan amount offered will be based in that. You will need to meet up with a representative form the company as you will need to give them the ownership documents of the vehicle and they will want to check it over to make sure that it is in the condition your described. They will want to make sure that as the car is being used as collateral, that it is worth at least the amount that they are lending you. These appointments can be set up quite quickly though.
It is easy to apply for a logbook loan. You do not have to contact a big financial institution and wait for them to deal with you. Logbook loan companies tend to be smaller and so there will not be so many customers to deal with. Their application forms are simple and often available to do online which makes things even quicker and simpler. You may not even have to provide them with that much information either.
No Credit Check
Often there will be no credit check necessary for a logbook loan. As you will be using your car as collateral, the lender will know that they can repossess it if you fail to make your repayments and get their money that way. This means that they may not be so concerned to check that you have a good credit rating.
A logbook loan can be a cheaper way of borrowing than some other means. Some loans have high charges associated with not paying back on time and things like that. The logbook loans may be cheaper comparatively. However, it is always wise to do a comparison to work out whether you are getting the best deal.
Log book loans are quite new to the UK and may not be a type of loan that many people have considered. Obviously you need to be a vehicle owner to get one and you need to not owe money on the vehicle already or at least have some equity in it.