A consumer who is strapped for cash could make a logbook loan using their vehicle as collateral for the money received in the loan. Logbook loans are loans made on a clear logbook from a car. There are a few criteria regarding the ability to secure a logbook loan, but for the most part, these are loans for people who do not want a credit check and need cash quickly.
A logbook loan will be given to a car owner if the logbook is clear. This means that there are no financial obligations attached to the vehicle. Any taxes or insurance owed on the car will need to be paid before a logbook loan can be extended to the owner of the automobile. The vehicle must also be registered under the name of the person requesting the logbook loan; it cannot be someone else's vehicle. And it must remain in the logbook loan recipient's name for the duration of the loan; the vehicle cannot be sold without first satisfying the logbook loan.
A vehicle being offered up for a logbook loan needs to be in good shape and no more than ten years old. To insure that the car is being well cared for and that insurance coverage is held on the car always, the owner must have a MOT certificate on it. Then, every three years, a new MOT inspection will take place to make sure the vehicle is up to the standards of a vehicle on able to drive on the roadways of the UK.
Besides keeping the car in good shape, a vehicle owner needs to pay all the taxes and insurance on their car while it is under a logbook loan. It will need a valid license at all times, along with insurance and the driver will need to cover any road taxes that arise during ownership of the car.
The owner of the vehicle must have a full-time job or a steady stream of income to obtain a logbook loan. This is so that the owner of the car can repay the logbook loan in a timely manor. Since logbook loans do not require a credit check, there is no need to be concerned over bad credit. These loans on the vehicles logbook are specially designed for people with poor credit or downright. It is a way for them to receive quick cash when they need it most.
Before applying for a logbook loan, a car owner needs to make sure they can comfortably pay back the funds through the payment schedule agreed on. If the monthly payments are going to be too much of a burden, then officials warn against going through with a logbook loan. However, if a car owner can fit the logbook loan payments into their budget and are in need of the cash, then this is one best way to obtain it if all the criteria are met and rules are adhered to during the loan period.
For people who need cash now, for emergencies or whatever life has thrown at them, they can obtain the money they need through a logbook loan quickly and conveniently. There are logbook loans online, through financial institutions and banks. Applying for a logbook loan is quick, easy and confidential.