5 Common Myths About Logbook Loans

[tm_heading tag=”h5″ custom_google_font=”” font_weight=”600″ text=”5 Common Myths About Logbook Loans” line_height=”1.4″][tm_spacer size=”lg:25″][tm_heading tag=”div” custom_google_font=”” text=”The demand for Logbook loans is growing in Kenya and beyond. Jijenge Credit being one of the top providers of Logbook Loans has interacted with a lot of clients thus far. There are a few misconceptions that people have about logbook loans that we would like to bust. They say knowledge is power, with this knowledge you will be well informed on whether you need a logbook loan or not. Let’s go ahead and debunk the top five myths about logbook loans:”][tm_heading tag=”h5″ custom_google_font=”” font_weight=”600″ text=”I Will Lose My Car” line_height=”1.4″][tm_spacer size=”lg:25″][tm_heading tag=”div” custom_google_font=”” text=”MYTH: A lot of naysayers have put the word out there that logbook loans will always end up in a car loss. They say that once you sign the lending forms you have signed you car away. This makes a lot of people wary of taking logbook loans. Repossession can be a very excruciating process and no one wants to imagine the prospect of going through it.

FACT: Of course, this could not be further away from the truth. It’s an exaggeration. The fact is that yes, with any secured loan including Logbook loans, there is a risk of losing the asset to the lender. This is not exclusive to logbook loans. However, it is a calculated risk that every borrower has to take regardless the security they are using. There is no of a better proof for this than the myriad of our customers who have borrowed logbook loans repeatedly using the same vehicle as security.

For repossession to take place, you would need to stop paying your monthly installments. Even in the event that you stop paying your installments, the lender will always try to come to amicable terms on how you can repay the loan without losing your car. Therefore, repossession is a last resort in most cases.”][tm_spacer size=”lg:25″][tm_heading tag=”h5″ custom_google_font=”” font_weight=”600″ text=”I Can’t Get a Loan Because I’ve a Poor Credit Rating. ” line_height=”1.4″][tm_heading tag=”div” custom_google_font=”” text=”MYTH: A lot of people believe that they can get a logbook loan because of financial hiccups they had in the past that affected their credit score.

FACT: This may happen with your bank but not with us here at Jijenge Credit. Even if you have a poor credit rating you might still be eligible for a loan. We understand that a lot of people get locked out from credit facilities because of poor decisions they made in the past that negatively affected their credit score, that is why we provide such facilities. To find out if you are eligible for a logbook loan please call us on:0711-282-727 or 0717-282-727″][tm_spacer size=”lg:25″][tm_heading tag=”h5″ custom_google_font=”” font_weight=”600″ text=”I Will Get a Low Amount of Money” line_height=”1.4″][tm_heading tag=”div” custom_google_font=”” text=”MYTH: Logbook loans are scams because they never give you the full amount of money. They offer you a ridiculous amount in exchange for your car and set you up with high interest rates, so when you lose it, they get to make a massive profit off your vehicle.

FACT: The grain of truth in the above statement is that, indeed, the lender will never offer you – or give you – the full amount the vehicle is assessed at. However, you should expect a lending company to give you a high percentage of that amount; around 50% to 80%. Generally, no one will try to get you to accept less than half, but don’t settle for that kind of contract, because at that point, you are knowingly getting scammed.”][tm_spacer size=”lg:25″][tm_heading tag=”h5″ custom_google_font=”” font_weight=”600″ text=”The application process takes a long time” line_height=”1.4″][tm_heading tag=”div” custom_google_font=”” text=”MYTH: Most people have had an experience of trying to get a loan from a bank, it can take ages to get approval for a loan. From this experience a lot of people this it’s the same with logbook loans.

FACT: This couldn’t be further from the truth. You can secure a loan of up to sh1,000,000 within one hour of your application. Logbook loans can be a good alternative form of finance and can be convenient. You should inform yourself, weigh up your income and the time frame by which you can pay back, then make a decision on which loan is good for you. If you’re still unsure, why not talk to us to see which loan might best fit your needs?”][tm_spacer size=”lg:25″][tm_heading tag=”h5″ custom_google_font=”” font_weight=”600″ text=”Your Vehicle Will Be Assessed Poorly” line_height=”1.4″][tm_heading tag=”div” custom_google_font=”” text=”MYTH: One of the other major fears borrowers have is that the value of the vehicle will be assessed in favour of the lender. They will take one look at your car, lowball you, and then you are going to be forced to accept a deal that clearly puts you at a disadvantage and does not do your car justice. If can end up losing your car for an amount that’s not even worth it!

FACT: Information surrounding the value assessment may not always be truthful and complete, which is why it’s important to receive accurate information and advice from a reliable source. When it comes to the assessment of your vehicle, make sure it is always done by an independent third-party.

For more information about Logbook Loans or to secure one, don’t hesitate to talk to us!”][tm_spacer size=”lg:63″]