An Overview of Logbook loans


Logbook Loans Online offer loans on cars, vans and motorcycles from £500 to £25,000. These loans are secured on the V5 logbook of your vehicle and thus are a type of secured loan. Be-cause this is a type of secured loan it generally means you’ll be able to obtain a logbook loan regardless of your credit history. is authorised and regulated by the Financial Conduct Authority (FCA) and are members of the Consumer Credit Association. We’ve helped thousands in the UK re-lease the cash from their car and we have a positive track record. Applying for a loan on your car through us is very straight forward and you could potentially receive the loan on the same day of the application.

To apply for a loan you can use our online application form or call our offices during opening hours to speak to an adviser and get a quote. Our office hours are Monday to Friday 8AM - 8PM and Saturday 8AM - 4PM. You can call us during office hours on: 033 33 441 925

What are Logbook loans?

A logbook loan is a secured loan also referred to as a security bill of sale. In this form of secured loan, the borrowers set the ownership of their vehicle (car, van or motorcycle) as security against the loan they have taken. Usually, the transfer of ownership involves handing over the vehicle registration document (V5 registration document) to the lender. The vehicle registration document is what is known as the “logbook”, hence the name of the loan offer. According to English law, a lender can seize the vehicle of the borrower if the latter defaults on loans.


The logbook loans Acts set by English law has been in effect since the late 1800s and has re-cently been outfitted with a voluntary code of conduct for the lending agencies which only serves to make it easier and more flexible for borrowers and lenders alike.

Criticisms arose concerning logbook loans, especially in 2009. Most of these concerns were re-lated to the fact that logbook loan offers (along with other Bill of sale offers for private individ-uals) are not dependent on the credit history of the borrower or their financial status, money lent is often very large, depending only on the size of the security, and that lenders have the opportunity to seize the vehicles of defaulting borrowers to satisfy the cost of the loan, without the need of a court order. These criticisms were quelled in 2011 by a government response and the Bill of Sale Acts have remained firm.

These criticisms should not detract any individual looking for a loan that offers a large sum of money against reasonable collateral, whose credit history does not speak favourably about them. Logbook loans can also be negotiated for reasonable terms so an individual can pay back as soon as possible. There is only one limitation to a reasonable logbook loan, it is that the car or vehicle being used as collateral is not too old.

When and how to use logbook loans

Logbook loans are classified as fast finance loans and there is a simple reason for that. Not only can the loans be negotiated for short term payback, but the process to acquiring the loans is very simple and speedy, regardless of who the lender is. Insofar as you have the collateral (a not to old vehicle) you can very literally borrow up to tens of thousands of pounds. Logbook loan lenders also do not bother to inquire from you what you want to use the loan for. The only thing you need to worry about it providing your collateral and the rest is very well done with. Below, we will try to analyze a few of the situations you may find yourself where your very best option for quick cash is a logbook loan:

  1. You just had a baby

    Babies are bundles of joy. They are cute, cuddly and smile all the time, unless they are hungry or angry or a thousand other things, and then they are yelling. Having a new baby can be a trial for any family, whether it is the first time or not, or if the baby is from a natural birth or an adoption. There are so many things to prepare for, stuff to buy and build, rooms to paint, an entire house to baby-proof etc. One of the most important considerations for an individual with a new baby is how much exactly will have to be spent and how. If you are not making enough to sustain a new baby, or you don’t have a nest egg stashed somewhere, a loan is the best option for you. Logbook loans offer the best terms for getting fast cash to take care of your new baby.

  2. The death of a family member

    No one ever prays for death, but we all know someday we have to go. No matter how meticul-ous you are, chances are you never had to plan or save for the death of a family member. If you ever lost a loved one you may already know firsthand how outrageous the costs can be. The United Kingdom offers a funeral allowance of about £300 to the bereaved, but if you do not work in a listed company or department you may not even be liable for that sum. Also, 300 GBP is too small to deal with the funeral costs of anyone you deeply cared about. Chances are, the sum is going to be 4-5 times that. A logbook loan offers you the sum you need to take care of that family member. Other cash loans may offer you the same, but the logbook loan gives you a negotiable repayment term and does not require you to talk about the reasons for your bor-rowing, which can be a breath of fresh air at your time of bereavement.

  3. A sudden reduction in income

    Working two jobs can be a really daunting task, and when you have kids and a family at home to watch over, it can be nearly impossible to even think of. If you suddenly experience a drop in your income, you might be forced into taking another job which will definitely reduce the amount of time you have for yourself and your family. Getting a quick loan is often the best so-lution for the moment, till you can find your feet. We will like to tell you to immediately get a logbook loan, but the best option at the moment is to borrow from friends or family. If you cannot do that, then a logbook loan is the next best thing. Getting a loan from the bank or any of the big credit facilities shouldn’t even be considered. Not only are you required to have the best kind of credit, but these banks only serve to fleece you anyway. A logbook loan will get you what you need without having to worry too much. The negotiable terms will also grant you just enough time to pay back without feeling like you are mortgaging your entire life.

Why choose a logbook loan?

There are a variety of loans out there that are beneficial and can serve as the quick source of money for whatever your need. However, the reason we choose and recommend logbook loans is simple: They offer a variety of options that none of these other loan offers can beat. We compare logbook loans to some other loans below:

Logbook loans versus payday loans

Payday loans are some of the most popular loans that exist right now. A payday loan basically allows you to borrow a small amount on the basis of your paycheck (which is apparently coming at the end of the month) and then repay as soon as you get the check. On the average, a payday loan gives you £270 for 30 days and it is unsecured.

A logbook loan on the other hand is a secured loan, so already you are sure the lenders mean business and it offers you a larger sum of money than any payday loan can. Not only are you able to settle your major needs in one swoop, you also have the opportunity to do whatever you like with what’s left.

Also, Payday loans have been shown to be addictive and it is easy for individuals to get stuck on payday loans and end up mortgaging their entire existence 30 days at a time. A logbook loan offers you the cash to solve your problems and lets you move on with your life.

Logbook loans versus car title loans

Logbook loans have often been compared with car title loans. This is because car title loans also offer loans against the security of the borrower’s vehicle. However, unlike the logbook loan where the sum borrowed can often be equal or almost equal to the value or worth of the ve-hicle, in the car title loan, the loan is usually only 30-50% of the worth of the vehicle. Borrowers looking to make the most of their collateral are encouraged to choose the logbook loan every time. shows you various options for logbook loans and how you can go about servicing the loans in little time.

Advantages of Logbook loans

Logbook loans are very simply a borrowing option against the value of your vehicle. It offers a relatively large sum of money to an individual who cannot properly utilize the other forms of lending. Below are other advantages:

  1. It is processed very quickly

    A quick online search can give you a company that is willing to offer you a logbook loan. On we have a number of trusted and proven companies we easily recommend for our subscribers. Once you find a company, all you need to do is send the details of the ve-hicle you intend on setting as security. The company will then determine what the value of your vehicle is, and issue you an offer based on that. A quick appointment with the loan administra-tor will be set up so you can hand over the logbook (vehicle registration documents) and then you can be on your way with the money you need.

  2. You can borrow as much as possible insofar as your car has the value

    The only limitation to the amount a logbook lender offers you is in the value of your vehicle which you are using as collateral. The amount offered is usually equal to or close to the same amount the vehicle is worth. This is to ensure that the company can get back their money if you decide to default on your payments.

  3. It’s an easy process

    Unlike working with the big banks and credit facilities, where you are required to get on a queue and wait till the loan manager finds the time to speak with you, getting logbook loans is a very simple and easy process. The companies are usually smaller and thus operate a lot faster than big companies. There is less bureaucratic tape to cut through and everything moves seam-lessly. This is also because you do not need to provide much information (especially personal) to them, just state how much your vehicle is worth and when you intend to pay back, and you are good to go.

  4. Get a logbook loan even with bad credit

    The reason why a lot of people patronize logbook loans is because of the lack of credit check. Big banks will check your credit score and often reject applicants because of minor infractions on their credit base. A logbook loan company is not concerned about that. Since your car is be-ing set as security, the company already knows they can repossess the vehicle should you de-fault on your payments. As a result, credit checks are unnecessary.

  5. They are relatively cheap

    Unlike most of the other loan offers which demand high interest rates and numerous charges for late repayments, early repayments etc., the logbook loans are comparatively cheap. It is wise however to determine what the options are for different logbook loan companies so as to get the best deals. This is where comes in. We help you to make that decision as easily and seamlessly as possible.

  6. You can hold on to your car

    Secured loans often require you surrender completely the use of your collateral until you finish with your loan repayments. This is not the case with logbook loans. You are not required to sur-render your vehicle to some sort of holding facility until you pay back your loan. You can keep using your vehicle even while you pay back the loan. This is another of the major reasons why people love logbook loans so much.

Logbook loans prevalence in the UK

According to, up to 50,000 people take logbook loans in the UK every single year. With dozens of options of loan offers, this bad credit secured loan draws a lot of traffic due to its ease of operation and a relatively low eligibility bar. This is also because, there are very many credit companies offering logbook loans in the UK, and you can find them every easi-ly on the internet or classifieds.

How to determine if you are eligible for a logbook loan?

If you need quick cash and you have a good car, you are already eligible. Logbook lenders are not terribly specific on the kind of individuals who take up their offers or the tasks or issues these individuals intend to satisfy with the loan. All they are concerned about is if the individual would be able to pay back the loan and if the collateral provided is sufficient to cover the cost of the loan. Below are more specific criteria for individuals looking to get logbook loans.

  1. You must be a citizen of the United Kingdom

    Logbook loans are exclusively covered by the Bill of Sales Act (1878 and 1882 amended) for citi-zens of the United Kingdom (Britain, Wales, Northern Ireland and Scotland). You must provide adequate information (such as a passport) that shows you are a UK citizen before you will be granted a logbook loan.

  2. The vehicle must belong to you

    Setting a vehicle which does not belong to you as security is a crime. To be considered eligible by logbook lenders, a borrower must provide a logbook (vehicle registration document) that exclusively names the borrower as the owner of the vehicle being used as collateral.

  3. The vehicle must not be too old

    A vehicle which was purchased by the borrower over 8 years previously (from the date of the application for the logbook loan) cannot be used as sufficient collateral in a logbook loan agreement.

Asides from these criteria, any individual can apply and be granted a logbook loan. You do not need to have excellent credit to be granted a logbook loan. In fact, logbook loans are consi-dered the preserve of individuals who do not have good credit scores.

Getting logbook loans in the UK

The processes to getting loans in the UK are very simple, though they differ slightly for the vari-ous countries in the Kingdom. Below are the specific criteria and agreements for getting log-book loans in the United Kingdom.

England, Wales or Northern Ireland

If you live in England, Wales or Northern Ireland, taking a logbook loan is as simple as signing a credit agreement and then a form called a bill of sale. Doing this alongside handing over your vehicle logbook (registration documents) transfers ownership of your vehicle to the lender. While you are still allowed usage of your vehicle, if you fail to complete your repayments within the stipulated time, the lender can seize your vehicle.

The vehicle can be seized in two different ways:

  • Immediately without the benefit of a court order. This is if the bill of sale was preregis-tered (by the lender) at the High Court
  • With a court approval. This is if the bill of sale was not preregistered.

Whatever the option, it is advisable for a borrower to confirm the authority (registration) of the bill of sale.


The authority of the Bill of Sale Act, (1878 and 1882 amended), do not apply to Scotland and as a result, bills of sale are not used for security as they cannot be legally binding. For this reason, logbook lenders in Scotland tend to favour other credit agreements with the borrowers. Mostly, the agreements follow the format of the hire-purchase agreement or the conditional sale agreement which is covered by the Consumer Credit Act of 1974.

Cash or cheque

While a logbook loan can be obtained in cash, it is granted in default by cheque. The cheques for logbook loans often take a few days to clear and as such, the cash option is mostly pre-ferred, though this attracts a 4% charge on the loan amount.

Are there logbook loans in the US?

Logbook loans do not exist in the United States. This is because their constitution does not allow for it, unlike the 1878 and 1882 (amended) Bill of Sale Act which allows it in the United Kingdom. However, the United States has a similar loan offer known as the car title loan. This loan first came out in the early 1990s and is a secured loan like the logbook loan with securities places on the vehicles (cars) of the borrowers. Unlike the logbook loans however, a car title loan requires a court order before a lender can seize the vehicle of a defaulting borrower. However, there is an unusually a high risk associated with the car title loan because of the high APR (annual percentage rate) of the loan and the low amount of the loans (usually only 30-50% of the vehicle value).

Logbook loans are always preferred to car title loans.

Reviews on logbook loans –

A logbook loan is a very excellent source to get quick cash on your car. If you are seriously look-ing to get a logbook loan, it is important you understand exactly how they work.

First of all, the logbook loan requires you set your vehicle as collateral against the loan you are obtaining. The loan amount is usually relative to the value of your vehicle, with vehicles having low value, old age, mechanical faults etc., attracting less than vehicles which are newer and operate better. Logbook loans usually offer an annual APR of 99-78% on the average and single day loan rates of up to 400%. The rates are relatively high (because the interests are charged weekly), compared to most loan rates, but considering the bad credit history and bad financial status of most of the borrowers and the high risk on the part of the lenders, it is arguably fair. Defaulting on the logbook loans offers a lender the right to seize possession of the vehicle of a borrower.

Paying back logbook loans

Paying back logbook loans can take anywhere from 78 weeks to anytime earlier. The benefit of logbook loans is that you can negotiate the agreements for better benefits. With some logbook agreements, the borrower does not need to pay back the sum until the last month (week or pe-riod) of the contract, while focusing on paying only the interest. There are other agreements that could be made for a logbook loan repayment. Ensure you properly consider the agreement before signing.

Cons of logbook loans

Like every kind of loan offer from student loans and personal loans, to home improvement loans, there are various cons that a borrower should consider before taking up such a loan. The cons of logbook loans include:

  • Loss of vehicle in the event a borrower defaults on repayments.
  • No consumer protection as with the hire-purchase agreements, except you are in Scot-land where you are covered by the Consumer Credit Act of 1974.
  • The vehicle needs to be worth at least 500 GBP with no outstanding payments left on it
  • The interest can be very steep as compared with that of other mainstream lenders.
  • Early repayment charges can apply (with some lenders) if more than 8,000 GBP is repaid in a single month
  • Some logbook lenders charge weekly repayments which can make it difficult to keep track of what you owe
  • The amount you can borrow is limited by the value of the car being sued as collateral

These cons may seem a little steep, but with help from these limitations can easily be surmounted, viz:

  • Paying regularly will prevent you from defaulting. will help you keep track of your payments and how much you still owe.
  • You can always request for a statement of how much you have paid and how much you owe. The lender is mandated to provide you with the information should you request for it. The information is known as a “Statement of account”.
  • You can still obtain a logbook loan on a vehicle which has outstanding payments left on it. It only depends on two major things:
    • The previous loan is almost completely paid for
    • The sum left to repay is relatively minuscule.

NB: You have to discuss this with the logbook lender representative and find out what the limitations are on the loan before you can utilize this option.

Failing to pay back a logbook loan

Failing to pay back a logbook loan can be potentially damaging for both a lender as well as the borrower. Usually, the process requires that the borrower immediately surrender the vehicle used as collateral so the lender can obtain the cost of the loan. However, this does not usually occur immediately. No logbook lender would immediately penalize an individual on a single loan repayment default. It is only after the borrower has consistently shown an inability to re-pay loans over several months is that action taken.

So, if you have missed one or two repayments, it is not time for you to panic. You still have an opportunity to get back into the good books of the lender if you satisfy future payments speedi-ly. May lenders will ensure they call you and/or mail you repeatedly before they commence with vehicle collection or any form of legal action. So you have numerous opportunities to pay back after you default. Ensure you are certain of the terms of the agreement, especially as con-cerns collection, with your logbook lender before you sign.

NB: if even after selling your vehicle, the lender is still unable to satisfy the debt you owe, you would immediately be responsible for paying the shortfall (which may include the cost of re-possession). You could be charged to court too. It is wise to consider the terms of penalties for non-payment before you take a logbook loan.

Also, non-payment of a logbook loan will only adversely affect your credit score. This will fur-ther limit the opportunities for you to obtain credit in the future. Hence, before taking a log-book loan, ensure you determine what it will cost and set out a plan for repayment. provides assistance for clients in this regard.

Types of logbook loans

First of all, it is important to note that while logbook loans are bad credit loans, they are not the only form of bad credit loans that exist. Due to the high proliferation of individuals with bad credit and struggling financial status who take logbook loans, the two terms are often confused. A bad credit loan is any loan that is offered to people who have bad credit scores. They include payday loans, guarantor loans, doorstep loans and logbook loans. The logbook loans just happen to be one of the more popular options.

While the principle of the logbook loan remains the same irrespective of the lender or borrow-er, the rates can often differ depending on the company offering the loan. gives you a variety of options for logbook loans. Below is a list of some of the various logbook loan options offered by different logbook credit facilities. The terms are negotiable and you can easily select which you would most prefer.

  • Loan term of 1-3 years, with a variable amount between 1,000 – 150,000 GBP. The rep-resentative APR for such a loan is around 98.05%.
  • Loan term of 1-4 years, with a variable amount between 500 – 25,000 GBP. Representa-tive APR for such a loan is 99.9%.
  • Loan term of 6 months to 5 years, with a variable amount depending on the borrower, between 1,000 and 100,000 GBP. Representative APR is 113.3%.
  • Loan term of 1-3 years, with loan amounts between 500 – 5,000 GBP. Representative APR is 180%.
  • Loan term of between 1-3 years, amounts between 500-50,000 and a representative APR of 190.3%
  • Loan term between 1-3 years, a loan amount between 250 GBP and 50,000 GBP. The Representative APR for this deal is 450.5%
  • Loan term of 6 months to 3 years (negotiable), loan amounts between 500 GBP and 25,000 GBP with a representative APR of 300.3%
  • Loan term between 6 months and 2 years, with a loan amount of 800-50,000 GBP and a representative APR of 186.5%

These are just a few of the available (and high quality) logbook loan deals on the internet. Contact us at to discover our terms on these deals. Naturally, condi-tions apply for each deal.

Regulations on logbook loans in the United Kingdom

There are several distinct regulations on logbook loans in the United Kingdom that affect both lender and borrower alike. These regulations are mostly dependent on the country of the indi-vidual and the lending facility. If you are a United Kingdom citizen, your country of residence and the country of residence of the logbook lender could affect the details of the regulations governing your agreement.

Logbook loans in Great Britain, Wales and Northern Ireland are governed according to the spe-cifications of the Bill of Sales Act of 1878 and its amendment of 1882. These loans are not cov-ered by any form of consumer protection and can to some extent leave a defaulting borrower vulnerable. Citizens in Scotland however rely on the details of the Consumer Credit Act of 1974 and this offers the same measure of protection as in a hire-purchase agreement.

It is important to be sure of the regulations governing the agreement between you (if you are a borrower) and the lender. This will promote and enable a smoother process during the period of the agreement.

Complaints and FAQs about logbook loans

Are logbook loans without an extensive credit check?

Logbook loans are just one of the many options for individuals who need a quick loan and can-not afford to take a personal loan from the bank due to a terrible credit score. However, they offer a seamless arrangement as they are very quickly processed and lenders ask relatively less questions every time.

However, it is always advised to consider all your options before taking any loan at all. Taking a loan, regardless of the form is always a risky venture, if you miss repayments you could end up losing more than you initially gained. However, if you have determined you are capable to han-dle the risk and you do not mind losing your car in the event you miss payments, then a logbook loan is your best bet.

Are logbook loans a good option in an emergency?

Emergencies are scary, and no matter how well you plan for them, you can very often be caught unawares when they occur. Your emergency could be a death in the family, a sudden drop in your income, an accident or whatever. Logbook loans are an excellent option when in an emergency. It provides you access to quick cash and what’s more, you can still use your ve-hicle even while it is secured against your loan as collateral.

Are logbook lenders regulated?

You bet! A lot of people think that because it is so easy to access a logbook loan, it is some kind of mafia scam. This is wrong. A logbook loan is a secure and government approved loan scheme under the Bill of Sale Act of 1878 and 1882 amended in England, Wales and Northern Ireland and the Consumer Credit Act of 1974 in Scotland. You can be sure that logbook loan operators are heavily regulated and you have the opportunity to report any illegal activity with your loan.

How do I know how much I still owe?

Logbook loan operators are mandated by law to surrender what is known as a Statement of Ac-count to every borrower when it is requested. The Statement of Account lets the borrower know how much has been repaid and how much more is still left to pay (or how much is owed). So, if you want to know how much you still owe, all you need to do is send a request. Ensure you determine what the process is for requesting for Statement of Account from your logbook lender.

Why are logbook loans so popular?

Logbook loans are increasingly popular because of the various benefits they offer to borrowers. The benefits include:

Online applications: in this increasingly mobile world, the benefit of being able to search, apply and process a loan application straight off the internet is a definite plus. Logbook loans can be processed and compared with simple clicks from a computer, tablet or mobile smartphone.

Use of the collateral: The fact that you can continue to use, and in fact still own, the vehicle that serves as security on the loan is a huge plus for many logbook borrowers – especially if they require the vehicle to get to work and actually pay off the loan.

Quick credit: the process of obtaining the loan is smooth and quick, and borrowers can have their money straight in the account (or cash in hand) within hours of completing the applica-tion.

More value for the loan: unlike other secured loans where the securities are unmovable (such as landed property), logbook loans offer a relatively larger value for less.

Flexible loan terms: with a logbook loan taken out for a period of one year (for example), you can decide to pay only the interest for 11 months with the principal paid only on the last month (or last payment). This allows you more flexibility to plan and more money to invest.

Who should take a logbook loan?

If you are a vehicle owner, citizen and resident in the UK, who happens to have bad credit and needs an urgent financial lifeline, the logbook loan is one of your best options for a loan.