This year logbook loans are set to be the best way of borrowing money for lost individuals. This loan type is secured against the value of your car. But don’t worry; you still get full access to the use of your vehicle in the process. The loan simply means that you can borrow the amount equating to the value of your car. However, if you do not pay the loan repayments back, then your vehicle will be seized.
The main reason why logbook loans are popular is because the eligibility criterion is low in comparison to the other types of loans available in the country. However, this does not mean that absolutely anybody can secure money against their vehicle. There are certain requirements you will need to meet. Read on to discover what most loan companies will ask from you when applying for a logbook loan.
First and foremost, successful candidates must be permanently based in the UK. They will need to be eligible to work and live in the country. You will have to give proof of your address when applying for the majority of logbook loans available today. Moreover, this address will have to match the one you have on your driving license. If the address on your driving license is different, then update this before you apply for the loan.
Your driving license will have to be current and valid. You need to have a full driving license, meaning that you need to be over the age of 18 years old to apply. There are some companies that will require a clean driving license. However, this is a requirement that does not apply to all. If you search around on the internet you will be able to find loan companies with less stringent criteria.
Another variable eligibility requirement is the age of your vehicle. There are some companies that will not lend you money against your car if it is over a certain age – most of the time this will be ten years old. Nevertheless, again this is not something all companies are strict on. Companies like Hogg Motor Co can give you an accurate valuation of what your vehicle is worth when purchasing.
And finally, you will also need to show the company that you are capable of paying back the loan payments. This is something that differs from business to business. However, most will simply ask you to show them that you have been employed for at least six months. This gives companies the comfort of knowing that you are earning money and therefore they feel you are a good candidate to lend cash to.
In the grand scheme of things, the criteria of eligibility for logbook loans are not very strict. They are the general terms and conditions you would expect when asking to borrow money. And, these loans are a lot easier to get your hands on than other types of money borrowing. This is because bank loans and alike require strict credit checks and assessments. Nevertheless, it is important to be aware of what is needed so you can apply and get your money quickly.
*this is a collaborative post