As the public trust in high street banks has been “decimated and needs to be rebuilt” after a number of recent scandals involving Barclays, Britain’s second largest lender, more and more consumers pressed for cash are turning to logbook loans as an alternative option.
Amid this tough economic climate, loans against cars are an easy cash option for people who are facing bad credit and need cash urgently. Here are the major benefits of applying for a logbook loan today.
- Loans secured on cars are perfect cash solutions for those who need from £100 to £5,000 urgently. If you use the money cleverly – on giving your business a boost or buying equipment to start one – the monthly repayments won’t hurt your budget.
- You can borrow relatively large sums of money, depending on the value of your car.
- Logbook loan companies sometimes charge up to 90% less in interest than payday lenders. Even though interest may be added after the loan has been taken out, borrowers don’t need to pay back much of extra money.
- After taking out a logbook loan, you have nothing to pay for 60 days, which means you have time to get revenue from your business.
- The application process is simple. No endless flow of red tape. In most cases, you only need your photo ID, address proof and the V5 log book to prove car ownership. You can save your time and effort on planning your marketing strategy and achieving business goals.
- After having applied for a loan, you are likely to hear back within 24 hours.
- No rigid lending criteria. You can apply for a loan if you have a bad credit history or even have been made bankrupt in the past. No bank would lend money in these cases.
- No credit checks are made. If you have a car and it’s free of any kind of legal or financial constraint, then you’re eligible to apply for a logbook loan.
- Most lenders offer flexible repayment options like equal monthly instalments, for example. Borrowers can usually pick the most suitable option and repayment period.
Loans against cars are beneficial for people to borrow money responsibly. It’s a great idea to apply for a logbook loan to give your business a boost if it requires some extra cash.