How your car can get you out of financial lockdown!
Financial help from Logbook Loans after lockdown…
Until recently, lockdown was a word that didn’t really affect most of us that much. Perhaps your place of work or children’s school or college has some kind of lockdown policy for emergencies, but generally we think of it as something that happens in prisons.
But now we all know what lockdown is. And for many of us it has, in fact, felt like a prison. Not just in terms of not being able to go out and about as usual: and let’s face it, there wasn’t really anywhere to go anyway. But it’s had a huge impact on so many different areas of our lives, including jobs and money. If you have felt as if bad things are happening to you that you are powerless to change, you’re definitely not the only one.
So now that restrictions are gradually beginning to ease, you may well be starting to look for ways of sorting out the financial mess that you couldn’t help sliding into during lockdown. And here’s where your car can help.
Should you sell your car?
The first thing that comes to mind when you think of making money from your car is selling it. After all, you probably didn’t use it that much during lockdown and you’re now wondering whether you really do need it.
This is certainly an option worth considering. But be careful about rushing into a hasty decision that you may come to regret later. As life gradually returns to some kind of normal, you may realise that you do really still need your car either for work or family reasons, and selling it could actually end up causing you more problems than it solves. Remember that even if you don’t have a car, you will still need to spend time and money on making alternative transport arrangements for every aspect of the daily lives of you and your family.
Also bear in mind that if you want to sell your car you are probably going to have to spend money getting the car into saleable condition: money that you don’t have. Also you will probably not get the selling price that you are hoping for, because so many people are in the same position as you. There could be a flood of used cars just like yours coming onto the private market, and those who want to buy will be looking for the best price possible.
So even if you are stuck for cash, selling your car may not be the best option, especially in the current times.
Make Money from Your Car
But it is possible to make money from your car without selling it. You can use your car to help you secure a loan. This means that you are releasing the equity in your car without actually selling it. These loans are called logbook loans.
The logbook is another name for the V5 registration certificate of your car. When you take out a logbook loan you give this document to the lender and they hold onto it for the duration of the loan. But the car still belongs to you and you have full use of it as normal.
The reason for doing this is that your car acts as a form of security for the loan. This means that if anything went badly wrong and you were unable to repay the loan, and no other solution could be found, then the lender could keep your car to get their money back.
Because a logbook loan is a secured loan – secured on the value of your car – you may be able to get a logbook loan even if you have a poor credit record or even a CCJ. So it could be the ideal short term solution while you get out of lockdown and back on your feet again.
And once your logbook loan has been repaid, the V5 is returned to you and the lender has no further claim on your car.
Apply for your logbook loan online
One thing that puts many people off applying for a loan is the thought of the application process itself, particularly if you have been turned down for credit in the past.
So at Logbook Loans we aim to make this as simple and straightforward as possible. You can either apply online or call us on 0330 400 4137. And if your loan application is accepted then we aim to get the money into your bank account within 15 minutes.
So why not use your car to get you out of lockdown and start moving forward again?
Check back here soon for more financial and motoring tips from Logbook Loans.