Logbook loans – using your vehicle to secure some much-needed cash

Although we have many different loan products, perhaps our most popular is our logbook or V5 loans. This has really become the ‘go to’ loan of choice for many people, not only because they can secure a great deal of money out of it but also because the turnaround time from application to receiving the money is roughly only twenty-four hours. People with a bad credit rating can also apply for a loan such as this.

But what exactly is a logbook loan?

What you need to know about logbook loans

If you own a vehicle, you are eligible to apply with us for a logbook loan. This vehicle can be any make or model. It can even be a motorbike, truck, lorry or caravan. As long as it has a logbook attached to it and has some form of value, we can offer you a loan against it.

The secret with a logbook loan is that the said vehicle acts as collateral for your loan. During the duration of the loan, we become the lawful owners of the vehicle (this is one of the conditions you will agree to when signing the contract). So if you miss multiple payments, we have a legal right to take the vehicle from you and sell it to retrieve all our costs. Of course, this is not something that we take lightly. We will do everything in our power to make sure you pay up, including proper education when you sign the loan to explain the necessity for making the regular monthly instalments.

So what exactly do you need to do to apply for a logbook loan?

It is simple really. Your vehicle is the most important thing in this whole deal, and there are few important aspects for you to understand regarding it and the loan. Firstly, you must own this vehicle. It cannot belong to a family member, friend, colleague, sibling or even a partner. Secondly, the vehicle must be fully paid off. There can be no outstanding finance on it. If so, you will not be able to take out a logbook loan against it. Thirdly, you must have comprehensive insurance on the vehicle. This ensures that during the duration of the loan, our investment is protected from theft, accidents and even weather damage. And lastly, your vehicle must be no older than ten years. We do consider older luxury vehicles or sports cars that have immense value.

New car

To begin the loan application process, you must either bring your vehicle to us or one of our assessors will come out to you to inspect it. We look at a number of different aspects about the vehicle including the how good a condition it is in, how far it has travelled in its lifetime as well as if it has a valid MOT certificate. Any vehicle that does not have a valid certificate does not qualify for a loan at that point, but you can easily apply for one again.

Once we have seen your vehicle, we require a number of different documents from you to complete the loan application. This includes a number of personal documents such as your driver’s licence, your identity document as well as wage slips from your employer, three months’ worth of bank statements and finally don’t forget all insurance and tax details regarding the vehicle.

Businesswoman in car


Once we have all the relevant documents, we can see how much of a loan you qualify for. In terms of the value of your car, we will never give you a loan above 50% of that value. Remember, your monthly income also plays a big role. Your car might mean you are eligible for 50 000 pounds but that might not be viable as your monthly income is not sufficient enough to pay back the instalment associated with that amount.

We will offer you a competitive loan amount that is affordable. Should you agree to the loan, you will sign our contract (after reading all of it of course) and then we will arrange to have the money in your banking account in the next twenty-four hours.

If you need to know any more information about this great loan product then click here.




RANT! Do you want to know what’s wrong with the loan industry in the United Kingdom?

Plenty! There I said it. Although I have worked in this industry for the past two decades, there are a number of things that get my goat on a daily basis. Let’s start with high-street banks, shall we? They are the pits. Firstly, they have all the loan products in the world but just have a credit rating that is a little too low for them and your chances of seeing one are practically zero.

Now I understand that they need to loan responsibly but there are too many people out there suffering and in need of loan products, even small ones that can help them out and have the ability to pay them back, thus improving their credit rating. And that’s good for the country!

So with the banks not willing to help, these people come to microlenders such as our company. Now without them, we won’t make a living, so we are thankful but with the economic conditions like they are, this number is growing.


And do you know what that leads to? I will tell you! More and more micro-lenders. Now we at Corner Loans are not scared of competition. We have the utmost faith that our loan products are some of the best that can be found in the United Kingdom. What we do have a problem with however, is that a number of these microlenders are unscrupulous, looking to milk a population in desperate need for these products. They are stealing from people with their massive rates, hidden penalty clauses and extra costs. And unfortunately, people just don’t know any better, because they are desperate!

So do yourself a favour. If you are taking out a loan product, do your research first. Please ask us any question you need to, even if you end up not taking our product. We want to make micro-lending a more trustworthy industry.



Short term vs. long term loan options – what’s the difference?

Applying for a loan is extremely easy these days, thanks to the internet. Many companies, ourselves included are giving loan offerings that are available at the click of a button, providing you meet the necessary requirements of course.

That said, there are so many loan options available, that sometimes the convenience of the internet does have a downside. This is the fact that you cannot speak to someone face to face should you have queries about the various loan products on offer. Now although we encourage you to contact us in this situation, many people don’t and for that reason, we make sure that we aim to educate through our website as well and not just offer loan products to the public of the United Kingdom.

If you are better informed, you will end up making a better decision when it comes to choosing the right loan product for your unique situation. Rest assured however, should we think that you have most definitely picked the wrong loan product or if we can suggest one that is a far better prospect, we will contact you and help you make a proper informed decision.

One of the first mistakes people often make when applying for a loan is opting for the wrong term lengths. In their simplest form, loans are broken down into either a short term or a long term product. Let’s take a look at the major differences when it comes to these two types of loans.

Loans taken out over a short term

Well, it’s not that hard to work out how these loans operate. Here, you will be given a sum of money, usually not too big an amount which then needs to be paid back over varying terms, depending on the agreement between yourself and the lender.

These terms can be anything from a week to a month to even 12 months. Generally however, they are never beyond 12 months. So when do people apply for short term loans? Well, normally these are used in the case of an emergency and the loanee has no other place to turn to secure some money, for instance, an emergency medical procedure, home repairs, car repairs (if they haven’t got insurance) or perhaps even a payment to their children’s school for an extra-curricular activity.

The great thing about a short term loan is the turnaround time.  Once you have applied and accepted to receive a loan, it takes around twenty-four hours before the money is paid into your bank account.  Examples of a short term loan include the payday loan. Here, a loan amount is taken out and repaid as soon as the loanee receives their monthly paycheck. Note that short term loans often receive some criticism because of their relatively high annual percentage rate.


Loans taken out over a long term

It goes without saying that a long term loan’s instalments are paid over an extended period of time, generally from over twelve months and up to thirty years! The most obvious example of a long-term loan would be a house mortgage from a high-street bank but many of the public in the United Kingdom don’t know about the other products that are on offer.

These loans are generally taken out because a large amount of money is needed. This could be for a building project, redecorating a home, used for a business and many more reasons. One major difference here however, is the need for some form of collateral, especially if you suffer from a low credit rating. If you do suffer from a poor credit rating, you will probably be rejected as well, especially when applying at a bank.

This collateral offers security to your lender. Should you miss instalments or refuse to pay at some point down the line, they can recoup their costs by claiming and selling whatever it is that you put up for security.

Unlike short term loans, when you apply for one of these loan types, expect there to be numerous forms to fill in as well as a waiting period before you hear if you have been accepted, especially when applying through high street banks. There are long term loan products that we offer however, that have the convenience of a twenty-four hour turnaround time. These are called logbook loans and here, your vehicle is used as collateral.

So in a nutshell, a short term loan is far easier to get if you have a bad credit rating and is the preferred option if you need money in a hurry. A long term loan can be paid back over a long period, allows you to get far more money but is not for people with a bad credit rating (unless you choose a logbook loan).