What are car log book loans?

Securing a loan on a logbook essentially means using your vehicle as collateral to borrow money.

You hand over your car's logbook (the official registration documents that say you're the owner) and give the lender temporary ownership of your car until you have fully paid off the loan. You will still be able to carry on driving your car as long as you keep up the repayments.

Logbook loans are usually only available if you're over 18 and own the car - most lenders won't offer a loan if you haven't finished paying for the car.

Logbook loans can be pretty risky, and you could lose your car if you fall behind on your payments. Let's have a look at the risks alongside what you need to know if you do decide to look for cheap logbook loans for older cars.

Can you get logbook loans for old cars?

Most lenders prefer to offer loans secured against newer vehicles for one simple reason - they tend to be worth more.

Some lenders do offer logbook loans on older cars, while others impose a strict age limit of 8, 9, or 10 years. Some may specify an age limit, but might make exceptions if the car is in good condition and worth a high amount, so it could be worth just asking.

Are logbook loans risky?

A logbook loan is secured against your car, so if you can't meet your repayments, the lender can repossess your car and sell it to get their money back.

Logbook loans also charge high interest rates - so you end up having to pay back much more than you originally borrowed.

If you fall behind on payments and the amount you owe escalates, you could face a debt greater than how much your car would sell for. If this happens you would have to pay the difference, which would leave you out of pocket, without a car and could even leave your possessions or home at risk.

Some logbook lenders are more understanding than others when it comes to missed payments, so while it's best to try not to miss any, it's incredibly important to look into how they'll treat you if things do go wrong. Their terms will explain this, so make sure you avoid companies that might take your car from you after just one mistake.

How do you find the best logbook loan?

Can You Get Logbook Loans for Cars Over 10 Years Old?

Logbook loans for older cars can be tricky to find and they're not without their risks. We run through everything you need to know to find the best logbook loans for cars older than 10 years if you've decided to go down this route.

Shopping around for the best deal you can find is vital, as this will determine how much you end up paying back. Here's what to look for:

Loan Amount

How much you'll be able to borrow will depend on the value of your car, as it will be calculated as a percentage of how much the car is worth - usually 50% or more.

Some companies will lend a higher percentage than others, so look for ones that will give you the amount you want. To keep your costs manageable, try not to borrow more than you need.


How long you need to pay back the loan will affect how much interest you pay. A longer term will cost you more, so try to pay it back as quickly as you can, while keeping your repayments affordable, and look for a lender that will let you borrow over the period you require.

Fees and penalties

Make sure you check if there are any penalties for missed payments. If you think you might be able to reduce the term of your loan by occasionally paying more than you have to, a loan that won't charge fees for overpayments is preferable.

Interest rate

Each company will specify their representative APR, which will give you an idea of how much interest you'll pay. This will greatly affect how much you'll pay back in total, so it's important to keep the rate as low as possible.

Lenders' websites sometimes supply a loan calculator, letting you see how much it will cost to borrow the amount you need over the term you want. Make sure you use these where possible to compare the lenders, as it gives you a more accurate idea of how much a loan will cost in real terms rather than just looking at their rates.

Compare logbook loans for cars over 10 years old

You can look for the best deals with our logbook loans cars over 10 years comparison. Narrow them down to the companies that will lend you what you need over as short a term as possible, as long as you'll be able to afford the monthly payments.

Read the terms and conditions of each so you understand how they will treat you if you miss a payment. When you have located a few that are suitable, compare their interest rates and pick the loan that will cost you the least overall.

Are there any alternatives, even if you have bad credit?

Before applying it makes sense to look into other borrowing options that won't put your car at risk, especially as some may offer lower interest rates too

A credit card could provide the money you need at a much lower cost - at their best, they can offer a rate of 0% on purchases for a few months. You might not get quite as good a deal with a poor credit rating, but it's worth looking into; read our guide, Can You Get Credit Cards for Low Credit Score? to find out more.

A personal loan or guarantor loan is worth checking out. As well as offering significantly lower interest rates, they won't require you to sign ownership of your car over to the lender. Our guide looks at your options: Can You Get an Unsecured Loan with Bad Credit?

If you don't think you can find a loan any other way because of a low credit rating, read our guide, How to Borrow Money With Bad Credit.

If you're looking to borrow because you're struggling for money then speak with your lenders as soon as possible because they should be able to arrange a payment plan that's manageable for you.

About our logbook loans comparison


Who do we include in this comparison?


We include logbook loans from our panel of lenders. They are all regulated by the Financial Conduct Authority, satisfy our screening standards and do not pass your details to other lenders or brokers without your permission. Here is more information about how our website works.


How do we make money from our comparison?


We have commercial agreements with some of the companies in this comparison and get paid commission if we help you take out one of their products or services. Find out more here.

You do not pay any extra and the deal you get is not affected.