Can anyone apply for a logbook loan?
Technically, anyone can apply for a logbook loan if they so wish. That said, it’s imperative to note that logbook loans were primarily introduced for individuals with a less than average credit score or simply those that have a history of arrears or defaults. In addition to that, such individuals need to be adults of sound mind, residing within the United Kingdom and legally own a car, motorcycle, van or even truck.
Should I be concerned that my application will be rejected because I have a history of CCJs?
In most cases, individuals with a history of arrears or CCJs shy away from credit facilities because they believe that they will be turned away or rather their applications declined. That should not be an issue when applying for a logbook loan. In essence, the state of your credit score shouldn’t be a matter of concern when applying for our logbook loan products as we do not use it to accept or reject an application.
How fast are your logbook loan approvals?
To be sincere, how long it takes for your application to be approved is dependent on you. If you furnish us with all the required documents, you can have access to your logbook loan cash within a couple of hours. However, if you don’t furnish us with all the documents, this could prolong the process.
My friend got declined for a logbook loan? What are some of the reasons for the rejection?
Well, while we might assure you that a rejection is not as a result of the state of your credit rating, there are circumstances under which we might be forced to turn you away when you apply or seek for a logbook loan. The most common reason for logbook loan application is if you provide us with inaccurate information or simply lack a number of documents. The other reason for logbook loan rejections is as a result of provision of false information on the application form or simply not meeting all the basic requirements.
I am one week away from hitting 18 years. Can I be approved for a logbook loan now?
Unfortunately, if you are below the age of 18 years, we cannot approve your logbook loan application. The law is very clear on the minimum age under which a person can enter into an enforceable contract. If you are below 18 years, you are a minor and therefore cannot enter into a contract. Even if you were to enter into one, such a contract is deemed null and void.
Can I use a friends or even spouses car as collateral for a logbook loan?
What many people fail to realise is that we don’t just need any car as collateral. In essence, the car you use as collateral for a V5 loan need to be one registered in your own name. What this simply means is that you must (and there is no compromise on this) be the legal owner of the car you set up as collateral. You therefore cannot under any circumstance use your spouses, sisters, fathers or even colleagues car as collateral.
What is the repayment for a logbook loan like?
As regards repayments, you have up to 36 months to repay your loan. The repayment schedule is flexible which basically means that you are free to decide whether you will be repaying weekly, bi-weekly or month as you deem comfortable.
Do I stand to lose my car when I am unable to repay the loan?
It should be categorically noted that the risk or possibility of losing your car if you are unable to furnish your loan is very real. However, this is usually as a measure of last resort. We always endeavour to work out something with you and give you the necessary support to ensure that you come through with your logbook loan repayments.