When we plan to buy a car, we think of using it for going to our place of work, to go to market or go for a long drive in weekend with the family members. A good amount of time has to spend for getting a unanimous decision from the family members about the model make and color of the car that would be purchased. We all get pleasure in having joy ride with the new car and are proud to have one beautiful car. However, at the time of purchasing the car never in mind it come to any one of the family member that one day it can help us to get credit to meet any uncertain financial crisis that we might have to face during our lifetime.
Today car is not a mere automobile to ride for a pleasure trip or use in a routine job like taking and bringing back from office or business centre. Now it can be used as a source for credit. A person possessing a car or any type of vehicle, besides using it in their day-to-day routine life can also avail credit from any bank or financial institutions merely handing over the logbook of the vehicle to the lender. The loan, which is granted by banks, financial institutions or other authentic moneylenders by keeping the logbook of the owner as a pledge, is known as Logbook loan.
People are always in need of money to meet their different needs. In this tight economic situation, it is very difficult to meet all the demands of social and family life within our monthly budget for expenditure. To meet some social obligation we may suddenly need a small or good amount of money, which was not included in our monthly expenditure budget. Alternatively, it may happen that our house needs to be repair or we may have to pay a huge medical bill incurred in treatment, which we may not provide instantly from our savings. In all these situations, we fill the importance of the car that will help us to avail a fast loan to meet up the urgent obligations.
It is very easy to avail logbookloan. One can approach online to different money lenders engaged in lending logbook loan or can directly approach some bank or financial institutions. A simple form has to be filled up and submitted for approval. The things to be take care before submitting the application are - The applicant should be above 18 years old. He or she must have a valid driving license and a vehicle of his own. The vehicle should be free from all short of financial attachments. Road taxes and insurance premium should be cleared up to date. The applicant should have a permanent job and steady income. Income proof is necessary for submission along with the application. Mot certificate is essential .Because this certificate state that the vehicle has been properly inspected and found to be in good condition and fit to drive on road. The vehicle against which the logbook loan is applied must not be more than 8 years old.
If all the documents are in order loan will be approved within a few hours. The loan can be sanctionedquickly as the credit check of the applicant is not required for this loan. So people with poor credit rating can easily apply for this loan and can get relief from sudden financial crunch. Logbook loan is a secured loan as the logbook of the car is kept with the lender as a pledge. In addition, the most convenient thing is that though the legal ownership of the car is passed on the lender the actual possession remains with the owner. The logbook is kept as collateral security until the debt is fully settled.