Log Book Loans NI

spacerbabe

Hi All

Im just wondering if anyone has had any dealings with have a log book loan?

forgotmyname

Avoid like the plague.

Hundreds of % interest?

spacerbabe

Hi Thanks yeah understand the interest - easier to pay over the nxt 18 months - im looking to know how they operate with the log book

Gaz83

You give them the logbook and if you fail to make payments they can repossess your vehicle and take legal action against you.

spacerbabe

Thanks - if im doing it over 18 months I will need to get taxed in between - how will that work?

DCFC79

Is it really worth you going down that path ?

Risking your car and all.

BillJones

spacerbabe wrote: »

Thanks - if im doing it over 18 months I will need to get taxed in between - how will that work?

You don't need your log book to tax the car.

Now, was said above, don't. Contrary to what one of these companies' adverts claim, you probably won't get to keep your car if you go down this route. The only way it could tend to make sense would be if you were to be about to receive a chunk of money that let you pay it straight off, as otherwise the chances are you won't be able to afford all of the payments.

How much per month will you be paying, and have you worked out where the savings will come from to make them?

iolanthe07

Log book loans are a really bad idea, from the consumer's point of view. The companies use 19th century Bill of Sale legislation (obsolete almost everywhere else) to lock you into very high interest rates with the right to take your car and auction it off for peanuts if you can't make the repayments in full and on time.

spacerbabe

oh I know.

honestly to everyone this is a last resort. I can get a chunk of money secured against my car which will help with the right now debts.

going for £1,000 for 52 weeks at £37.69 per week (average £150) im in a good job with prospects of a bonus in the next three /four months so hopefully be ok.

yes I know im paying back nealy double but what choice do I have?

The girl was really nice on the phone and said about 78 or 104 weeks but I would be happy wth the 52 weeks and I if I can pay it off sooner then I will.

Its secured against the car am am I right in saying that this will not be repossessed unless I fail to make payments.

if anything were to happen to my job which I don't believe so it would be a priority payment. its £1,000 - basically a month salary.

Also the girl said about setting up a standing order in internet banking which would be handy.

not going to lie in saying that I see the light at the end of the tunnel with this as in it is clearing off the PDL I have an another.

spacerbabe

BillJones wrote: »

You don't need your log book to tax the car.

Now, was said above, don't. Contrary to what one of these companies' adverts claim, you probably won't get to keep your car if you go down this route. The only way it could tend to make sense would be if you were to be about to receive a chunk of money that let you pay it straight off, as otherwise the chances are you won't be able to afford all of the payments.

How much per month will you be paying, and have you worked out where the savings will come from to make them?

The girl said I can keep it to use?? is this wrong?

AndyT678

spacerbabe wrote: »

The girl said I can keep it to use?? is this wrong?

I think the point was that you are clearly struggling to live within your means (existing PDL for example).

Unless something has changed recently in your spending habits or income it is therefore quite likely that you will struggle to make the payments on your log book loan and end up losing your car.