Before you start applying for a logbook loan, you should see if you are eligible. When wondering if they are eligible for a logbook loan, there are several things people usually have questions or concerns about. Below we will list some of the most common ones so you can determine if you are eligible.
Age: For starters, you must be of at least 18 years of age to be eligible for a logbook loan. This is true for most loans, and logbook loans are no exception.
Citizen: The borrower must be a legal resident of the U.K. This is because non-legal residents can be hard to track down if payments are not met.
Criminal Record: This typically doesn't matter with logbook loans. We do not perform a criminal record check, so it won't hinder your ability to secure a loan with us.
Credit Rating: We also don't perform a credit check. The most common reason people get logbook loans is because of poor credit, so we don't check it. We'll use your vehicle and your current salary to determine your loan, not your credit rating.
Car Status: There are several things to note about your car to see if it is eligible. The first, is that the car must be legally owned by you. If the car is not in your name, the person who does own it will have to sign off on the loan. We can't give out a loan without the permission of the person who owns the car. This is typically the person requesting the loan. Secondly, your vehicle must have little to zero financing left on it. If your car still has money owed on it, it can't be used for a logbook loan. This also includes any tickets or taxes on the vehicle. Third, your car must be in good working condition. We won't take a car that isn't running or has major issues with it. Fourth, the vehicle must have been approved by the proper authorities as safe and reliable. You'll need a certificate confirming this to be eligible for a loan. Lastly, you should note your vehicle's age. Newer cars are worth more than older cars, and so your car should have been manufactured within the past ten years.
Value of Loan: This will vary depending on your personal circumstances and how much your car is worth. A good estimate is half of your cars worth, although this will vary.
If you meet the above requirements, then you are eligible for a logbook loan! Simply fill out our online application, and then you'll be contacted to discuss finalizing your loan.