It wasn’t too long ago that I was in need of some money. I tried going to a bank, but they told me that they were not going to approve my loan because my credit rating was too low. I was frustrated, but I still needed to get the money somehow. So I started looking into my options, and I found that there was plenty of alternatives in the form of bad credit loans. However, as I started to dig deeper, I noticed that some options were much worse than others. In the end I decided to go with a logbook loan, and I am very happy that I did. There were many advantages to getting a logbook loan that the other types of loans didn’t provide. While a logbook loan may not be the right choice for everyone, I think that many of you may be in the same boat that I was. Therefore I wanted to share my experience and tell you why I am happy that I got a logbook loan.
First of all, logbook loans generally have very reasonable interest rates. While I was doing my research, I saw that other types of loans wanted to charge me a large amount on top of the loan I was taking out. By the time I would have been able to pay it off, I would have ended up paying back more than twice what I borrowed. That seemed ridiculous to me. I understand why some of these lenders did this – they were lending to people with poor financial history as evidenced by their credit scores, and they were not asking for any collateral. This is his how a logbook loan is different. You use your vehicle as collateral and you borrow against it. This allows the lenders to keep the interest rates low, which is very beneficial.
Another perk of a logbook loan is that even though you are using the car as collateral, you get to continue driving it. I needed my car to get back and forth to my job, and without it, I would have had a