Logbook loans can be readily available to absolutely anyone as long as they possess a vehicle. They may even be a tenant,but as long as they own a vehicle, the loan is theirs. Once the logbook loan is achieved, he may meet with any emergency financial crisis he may be in. The procedural steps to obtaining a logbook are very simple. It is simply allotted according to the logbook of a vehicle that has been kept as a security deposit against the amount loaned.
What sets the logbook loans apart from the other schemes of getting loans is the very fact that anyone with can easily apply and manage to get the said loan under this new facility no matter what his credit status may be. In fact, even if one has been involved in cases like past defaults, debts, or bankruptcies, can never be stopped from obtaining the loan as long as he owns a car.
What is meant by Logbook Loans?
To understand what actually is meant by a logbook loan, you should know that a Logbook is a legal document proving that a person is the rightful owner of a particular vehicle. This legal document is actually allotted by the Driver and Vehicle Licensing Agency and does not expire until 5 years from the date it has been issued. So technically, your loan remains valid for 5 years. The logbook will include some personal details about the borrower like the name and address or the car’s owner, the owner’s car’s chassis number, the registration number of the car as well as quite some other technical yet necessary information about the vehicle and the owner’s identity.
How Are the Logbook Loans Different?
There are many types of loans out of which two are the most common of all: payday loans and the logbook loans. These are both gaining much acceptance worldwide,but it is often not understood how the logbook loans are different. In this article, it will be explained how the logbook loans stand apart from the payday loans and how they might even be better. This is to inform you well about the two so that it may become an easier decision to make as to which one is the better one for you. Each one comes with its pros and cons. Following is an account of how the logbook loans are different.
- Fast Loan Processing:
One of the best things about logbook loans is that it is a fast process. The necessary paperwork is actually a lot lesser than that needed for the traditional loans from various banks, payday loans, for instance. In the former, they ask about all sorts of details regarding the owner’s life history and his car. This kind of a process is certainly very time-consuming. Logbook loans require lesser paperwork, and it helps you get your money loan in a lesser time. As a result, it is effective in that it lets one take care of any financial emergency or crisis he may be in, within a matter of a few hours at most.
- Low-Interest Rates:
Logbook loans offer have very low-interest rates applied to them when compared with the regular kinds. However, it must be kept in mind that the rate would depend on the length of term you loan the amount for. With payday loans, the interest rates are actually quite high which makes it less beneficial for the borrower. For better rates, you could compare the rates offered by the different lenders or services. This would, in turn, pay you back with more affordable interest rates.
- Higher Borrowing Limit:
Most traditional loans such as payday loans give away very little money for loans and have a rather lower borrowing limit because the lender finds it a great risk to lend out a hugeamount of money should the lender’s history have defaults. The logbook loan lenders readily lend a borrower from £500 to the £100k amount of credit on your legal vehicles in England, Wales, Northern Ireland, and Scotland. You may take out the amount personally in the nearby branches presented on their web pages. But limited amounts are available for direct walk-in payouts at their branches. To be able to obtain the maximum amount of loan, bank transfers would be the best idea.
- Does Not Require Credit Checks:
As far as the logbook loans are concerned, there is absolutely no need for credit checks as part of this entire application process and the loan can be withdrawn with any sort of credit history that the borrower may have, be it bankruptcy, debts or any past defaults. The other loan processes do keep a check on your credit history.
- Amount Available for A Longer Term:
The terms for dealing with logbook loans are actually very flexible. You may repay your loan for a term as long as 36 months or maybe even more, which depends on your lender. So basically, for logbook loans, the length of term is usually flexible,and it is the borrower’s decision as to what suits him the most -several months or even a couple of years. But for payday loans, the loan needs to be repaid the next day entirely.
This was a fair comparison between logbook loans and the other traditional ones to help anyone who needs a loan choose the one that suits him best according to his requirement. So if a borrower is actually looking for a reliable loan which has easier, quicker and a lot more convenient application process, reliable payouts, flexible payment terms, confidential transactions, and instant money payouts, deciding on applying for logbook loans online may be the perfect choice for him to fulfill any financial requirements and help him out of any sort of an emergency or a crisis.
So, if you are looking for a loan that would fulfill all these clauses then do get in touch with the best company around to make your logbook loan experience a memorable one.