What is a Log book Loan?
A log book loan is a secured loan that requires collateral in the form of a vehicle. This means that you must own a vehicle to get this type of loan. The lender will temporarily take ownership of the vehicle until the loan has been paid off in full. If you are not able to pay back the loan, the lender will retain ownership of your vehicle.
You can get the cash you need fast
One of the primary reasons that logbook loans have become so incredibly popular is that they allow those who get approved to get the money they need within 24 hours. If you are in a tight financial situation and need money right away, this is a borrowing option that is worth looking into.
The repayment period varies
The period of time that you will have to pay back your logbook loans online will depend on the amount of money you borrow. You could have anywhere from three months to three years to pay back your loan. You will be required to submit monthly payments through automatic debit deduction of your checking account. There are some lenders who offer longer terms of 4 or 5 years. It is important to keep in mind that the longer the repayment period, the more interest you will pay.
The interest rate
The average APR or annual percentage rate for logbook loans is around 400%. Some lenders offer lower interest rates to keep up with the competition, but you can expect to pay at least 300% interest on your loan.
Logbook loan requirements
There are going to be certain minimum requirements that you will have to meet to get a log book loan, including:
• VS or logbook document
• MOT certificate
• Insurance details
• Proof of identification
• Proof of steady income
• Billing address
A log book loan can be an excellent borrowing option for those who need a significant amount of money quick. It is important that you take the time to learn everything you can about logbook loans before making a final decision though.