Fast Finance With a Logbook Loan

The Value of Quick Cash

Imagine that an immediate family member has a life-threatening illness that needs emergency surgery to be removed. The surgery itself costs more than what you have in your savings account, but not going through with it is not an option unless you’re willing to let the person die. What are your options?

If you’re thinking of taking out a bank loan, there are two things you must take into consideration:
1. Do you have bad credit history?
2. Do you need the money within the next two days (or less)?

If you answer yes to one or both questions, a bank loan may not be your best solution. For one, banks place importance on credit history; and if yours is spotty at best, you might as well resign yourself to the fact that your loan application won’t be approved.

Banks also take time to process loan applications. Aside from investigating your credit history, they would need personal documents and a good deal of your time to go through the ranks until an approval is made.

While you wade through all the red tape, your wife or child is languishing in a hospital bed without much time left. In urgent cases like this, you should consider getting a logbook loan.

How does a Logbook Loan Work?

All you need to apply for a log book loan is a car that you own. The car’s logbook is given to the loan provider as collateral for the loan you’re taking out. Possessing the vehicle’s logbook, the lender is given the right to repossess your vehicle in case you fail to make payments.

With your car as a security blanket, the loan provider is able to offer you a considerable amount of money. The loan amount is dependent on your vehicle’s market value. Expect to be loaned for around 50% of your car’s value, which is more than what other loan options can provide.

Are Logbook Loans for Me?

The best people to apply for log book loans are those who need the money to tide them over until they have sufficient funds to repay the amount borrowed. The interest rates that come with a typical logbook loan make it a short-term financial solution for it to work as designed.

This is not meant for people whose looking for a repayment plan that spans years since log book loan APR’s are known to be around 400 to 500%. If you’re already struggling financially, a logbook loan might cause more problems than it can solve.

If you have a stable job and feel that you can adhere to the repayment schedule of a logbook loan, then this option is the best if you need quick cash.