Alternative loan options
Posted by juliabennet on September 22nd, 2012
It has become increasingly difficult for people to borrow money from banks. For starters, the interest rates are way too high and the conditions imposed are too stringent. The global economic crisis has a lot to do with this and since the credit crunch hit several parts of Europe several years ago there has been some sort of ripple effect, which continues to be felt today. As a consequence, banks rarely give out loans. In the event that a loan is approved it is likely to be a bad credit secured loan.
This means that if for any reason you default on a payment or are unable to pay, your credit score takes a tremendous hit and you will find it increasingly difficult to borrow money from financial institutions. Unfortunately when you have been downgraded, it is nigh on impossible to secure a loan, especially from a bank.
This state of events necessitates one to look at alternative means of financing and the logbook loan can offer many benefits. You simply need to own a car and be able to present the logbook on request.
A logbook loan is basically a scenario where one secures a loan whilst using his or her car as collateral. Loans can be approved within 24 hours of application and the amount that you can borrow will be decided by the value of your vehicle together with your ability to repay the loan. You will be free to maintain full use of your car throughout the contracted period of the loan and will recover full ownership on completing your repayments in full.
How then does one go about acquiring a logbook loan? Before you can secure a logbook loan, you will be asked to provide proof of ownership of the vehicle and you must be able to prove your identity. It is advisable to engage in the services of a reputable company and if you start your search online you will inevitably find a company that can be relied upon. You can start the initial loan application by completing an online form and within 24 hours a representative from the company should be able to give you a call to arrange a meeting at your convenience. The vehicle that is to be used as collateral will then be valued and a sum of money will be agreed by taking the value of the vehicle into consideration. Loan amounts can vary from between £500 and £50,000 and the final loan amount is calculated by combining the value of the car together with your ability to repay the loan.
Looking for a loan? The logbook loan is an agreeable alternative to the trumps Bad Credit Secured Loan in simplicity and convenience. It affords you the benefits of borrowing money against the value of your vehicle, while enabling you to maintain its use.
