Can I use my motorcycle as security to apply for a V5 loan?
The belief that only a car qualifies as collateral for a logbook loan is a fallacy, a misconception of sorts. If you own a motorcycle that is in good condition and whose value is enough to cover the amount of money you need under a logbook loan, we are happy to inform you that we will accept it as collateral. In other words, you are free to use your truck, your van, your commercial lorry and even your motorcycle as collateral for a V5 loan. Just be informed that you can only qualify for an amount equal to half the current value of your collateral.
Do I need a guarantor to apply for a logbook loan?
No. You are not required to produce a guarantor before you can be considered for a logbook loan. Owning a car, a van, a lorry, a truck or even a motorcycle is enough to get you approved or considered for a V5 loan. It is all the security we need and we can therefore unequivocally say that you do not need a guarantor.
Can I be considered for a v5 loan even though I am unemployed?
We are sorry but one of the requirements for a logbook loan is that you need to receive some form of income monthly. The income could be through full-time employment, part time employment or self-employment. In light of this, if you are not employed, approving your logbook loan application will be a bit difficult as we have no way of ascertaining whether you will be able to make your weekly, biweekly or monthly repayments as required.
What are my chances of approval if I have a history of arrears or defaults?
Please note that the status of your credit rating has no bearing on our decision to either reject or approve your application. So long as you have a car as security, we will be more than happy to be of service to you. As such, your history of CCJ’s, arrears or even defaults shouldn’t be a hurdle in your quest to get approved for a V5 loan.
I am just staying in the United Kingdom for a couple of months. Do I qualify for a logbook loan?
The rule of thumb is that you need to be a UK citizen before we can process your logbook loan. If you are a foreigner temporarily staying in the UK, we are sorry but approving your application will be an impossibility. You need to not only reside within the UK but also be a bonafide citizen. It is the reason why we request for a copy of your identity card as a prerequisite to your loan approval.
What factors come into play when determining how much money I qualify for under a logbook loan?
Kindly note that the condition and value of your car or even motorcycle plays an integral role in determining how much you qualify for under a logbook loan. Your monthly income is also a determinant as we cannot advance you more than what you can afford to repay monthly.
Can I apply for a loan equivalent to the current trade value of my car?
No. We can only advance you an amount equal to half of your cars worth. Your car is a depreciating asset and therefore undergoes wear and tear. What this simply means is that what your car is worth right now will not be the same after one year. To be on the safe side and taking into account economics of depreciation, we only advance you up to half the current value of your car.
What are the remedies should I encounter financial problems in the foreseeable future and am unable to meet monthly obligations?
Well, we understand that such things happen and that is why we encourage that you get in touch with us immediately should you encounter any financial problems. This is instrumental so as to help us come up with a new arrangement in tandem with your current financial position. We are always willing to work something out. However, in the event that you do not cooperate and fail to pay your obligations for a couple of months, we might be forced to repossess your car.