Calculate the cost of your car loan with our online application
It is very simple. All you have to do is to visit our website and calculate the cost of your car loan by feeding in the relevant data in our in-built calculator to arrive at your weekly instalments and the total cost which includes the added interest.
Before you go through this simple process, you have to understand a few things about log book loans. They allow you a financing option to access secured loans against the vehicles you own. Borrowers are allowed to continue to use their cars until the time they are repaying the loans on a regular basis. If there is a default in the instalments, then the car will be seized by the lender as collateral.
What is the log book loan process?
The primary requirement on your part as a car owner is that there should be proof of legal ownership of the concerned car. The car should be estimated at a minimum value of £50. This particular valuation has to be ascertained at the time of processing the loan application and not at the time of the actual purchase of the car. The borrower also has to prove that he or she has a regular source of income.
The logbook and the registration documents of the car have to be handed over to the lender. A credit agreement is drawn out between the borrowing and the lending parties. This credit agreement is referred to as the `bill of sale’. Such an agreement implies that the lenders become temporary owners of the car for which the loan is being taken. These credit agreements are considered legal in Northern Ireland, Wales and England. The lender, however, has to register this agreement with the High Courts in Britain.
The logbook loans could be offered in cash or cheque. The additional fees charged could go up to as high as 4%. Generally, the logbook loans are made available for a time period of seventy eight weeks. Early settlement alternatives are also allowed.
Advantages of availing logbook loans
Logbook loans are mostly extended without any rigid credit checks. Owners of vehicles who have weak or poor credit ratings could also apply for these loans. Today, these loans are available easily online. When the cases are straightforward and the ownership along with regular source of income is proved, disbursement of a logbook loan could be done in a matter of hours.
Use of Logbook Loan Calculator
- Step 1 – Enter the amount of the logbook loan that you want to borrow.
- Step 2 – Enter the rate of interest and the term of repayment schedule
- Step 3 – Calculate and check out your monthly logbook loan repayments
Depending on the value of the car, logbook loans could be taken up to a maximum limit of £50,000. Generally, the loan value is anywhere from 50% to 70% of the actual value of the car. Our loan calculator is provided for your convenience online so that you could work out your repayment amounts per week. An amount ranging from £500 to £50,000 could be borrowed subject to the current value of your car and the affordability of making the repayments.
You can use our online logbook calculator to prepare an illustration of monthly repayments of the logbook loan amount. You will also be able to use amounts for different interest rates and terms of repayment. You can then email this logbook loan calculation to try out different permutations by taking few days and mulling over on your commitment in the future concerning the monthly interest repayments before you enter into the logbook loan. The online logbook loan calculator will allow you to work out your monthly interest repayments over a period of one-year, two-years, three-years, four-years, five-years and ten-year periods.
This calculator has to be used to give you an indication of how you could budget out your weekly payments in form of installments. You could also get in touch with us by calling us on the phone or apply online if you still have queries on the actual quote.
For the logbook loan rates to be kept affordable and transparent, borrowers are always recommended to avail of the free quote service and use of the online instant logbook loan calculator. This calculator will give you a fair idea of the amount of monthly installments required to cover a particular logbook loan transaction so that you could plan and budget your borrowing.
Once the calculation is done, you will need to submit key and relevant information concerning your financial and personal circumstances in life. Borrowers have to eventually fill out an application form online that is quite easy to complete. The basic requirements of the loan have to be met first. Given below is the list of requirements.
Eligibility for a Logbook Loan
- Borrower has to be minimum eighteen years of age
- Borrower has to be a resident of the United Kingdom
- Borrower has to be the legal owner of the vehicle and the age of the car has to under ten years old and it should be free of any previous financing agreement.
- V5 Logbook has to be submitted to the lender
- MOT Certificate has to be submitted to the lender
- Photo Identification documentary evidence to be supplied by the owner of the vehicle
- Proof of current address of the owner of the vehicle has to be submitted
- Proof of income of the owner of the vehicle has to be submitted
Despite the logbook loan lenders not running rigid credit checks on the borrowers, the regular source of income is a crucial consideration before a loan application gets assessed. Before entering into a logbook loan agreement, you have to be doubly sure that you will be able to comfortably afford those monthly repayments so that you avoid financial embarrassment and reduce the risks of vehicle repossession.