If you need money in your hand ASAP you might be considering selling your car. As a short term proposition (you get your cash) this works, but in the long term you’re getting rid of a valuable asset. Wait – there’s an alternative.
A Logbook Loan is a way to borrow money against the value of your car and release the equity locked up in it. The best part of a Logbook Loan? You get to keep driving your car – when you take out the loan you only leave your V5 as a surety, then once you’ve paid off the loan with regular monthly payments the logbook is returned to you.
It’s a very simple and convenient way of borrowing, and there are other advantages too. For example, Logbook Loans are a better value alternative to payday lending: because there’s less risk involved to the lender with a secured loan, the rate of interest is lower.
People raise money using Logbook Loans for a wide range of reasons, but there’s no need to lose your car in the process of dealing with a family emergency or kick-starting your plans for world domination.
Deal with emergencies
A common reason for the urgent raising of funds is because of damage to your home. If you need to make emergency repairs – like replace your boiler or fix the roof – but you’re not financially prepared, a Logbook Loan can really help. Because they can be applied for an authorised within days – sometimes hours – you can sort out the emergency and minimise the impact on your day-to-day life.
Keep everyday routines
Whether it’s the weekly Big Shopping Trip or the Taxi of Mum & Dad, your car is essential to your daily life because you’ve come to rely on it. How much easier is it to be able to go and pick your kids up from school, clubs or a friend’s house without having to rely on public transport? Not to mention the commute to work.
Don’t give up your dreams
While getting to and from work is easier with a car, if you’re self-employed or own a small business you might rely on your car or van constantly for getting around, so it’s not an option to sell your vehicle. In fact, some people take out Logbook Loans on their car and use it to invest in new equipment and tools to expand their business.
And don’t forget the essentials
Time away with the family, a kitchen or bathroom renovation or other big value plan can be funded using a Logbook Loan. While these might not seem like essentials, they might be part of bigger plans you have, so shouldn’t necessarily be overlooked or put on the backburner.
Remember to Budget
If you do need a loan urgently make sure you can afford the repayments. If you do find yourself in the position where you are unable to keep up any repayment the loan company will sell the car on your behalf and use the sale funds to settle your debt. Anything left over once the loan has been settled will be given back to you.
Auto Advance is an established Logbook Loans company committed to providing an excellent level of customer service and ethical, affordable lending.