Logbook Loans: Logbook Loans – Alternative to Guarantor Loans
Guarantor loans can be only availed if someone is there to support you in times of your non-payments to the lending institutions. Although it is very difficult for you to convince someone to be your guarantor in terms of difficulty, but for guarantor loan it is a pre-requisite; hence one can’t escape from this. They might be scared off as of your bad credit history even not it can lead them into trouble as well. Guarantor will be a person who has trust on you; hence in short it is always very difficult to get a guarantor within your family or social circle. On the other side the guarantor loan is unsecured as well as it has high rate of interest with the big amount associated with the APR’s.
There are number of other loans readily available in the market. They don’t need any guarantor and have very few documentation related matters. Further to this the repayments schedules are quite flexibly and lender do offer the loan as per the affordability and the creditability of the borrower as well. One of the most famous and accepted loan of UK is logbook loan. This loan is secured against the owned vehicle of the borrower. The loan is also known as quick cash loan and the reason is the processing time; which takes around 24 hours for application processing till the money transfer in to the borrower account.
Logbook loan works on unsecured collateral method whereas the logbook or V5 of the vehicle is handed over to the lender and is given back on the full repayment of the loan. Furthermore a person has not to worry about the credit check and delayed processing time.
There are number of logbook lenders who are giving loans ranging from £250 to £50,000; depending upon the current worth of the car. Being above 18, UK resident and having the vehicle on your own name and person can get a loan on behalf of the vehicle. This loan is flexible and unique; in a way that a person can use for what so ever purpose it is. They can use for the vacation, holidays, emergency needs, recreation and even to pay off any other bad credit or loan. Via filling the simple application form the service advisors call them borrower, visit them and evaluate the value of the car. Once agreed on the loan amount; they ensure that a person is well acquaintance with the terms and conditions, legal complications associated with the loan. On mutual agreement the bill of sale is singed and then the money is transferred or even given in cash.
Logbook loan has taken over the lending market in few years only. People do prefer logbook loans as an alternative as they are flexible, no processing time. Quick applications, less documentation and above all that no credit checks makes the loan handy and easy of the customers. They give you choice of repayments on easy terms and even though your vehicle is under in your possession as well. These are the few characteristics that make logbook loan famous amongst the borrowers.