What is a logbook loan?

If you’ve been searching the internet for quick cash, then you’ve probably come across websites offering logbook loans.

You may have been refused credit elsewhere, or are tired of the extortionate rates charged by payday lenders, so a logbook loan seems like it could be an option. But you’re still not sure what it is exactly.

At Gissaloan™ we’re logbook loan experts. With over 40 years’ combined experience in car finance, we know exactly what we’re talking about. Read our quick guide to logbook loans and clear up any questions you might have.


If you own a car and need cash fast, a logbook loan could be the answer

In order to take out a logbook loan, you must own your own car. You must have been the owner for a minimum of 3 months and the vehicle should be finance free or nearly finance free. The document that proves your ownership is called a logbook, and you’ll need this before you’re able to apply.

Logbook loans are secured on your car

To take out a logbook loan, you must provide your lender with this logbook. You will also have to sign a credit agreement and a security agreement called a ‘bill of sale’. This means that technically, the lender is the registered keeper of your car. However, you will still be able to drive it as normal.

Your car must be insured, have an MOT, and be fully taxed

As you are still able to drive around in your car throughout the period of your loan, it must be fully taxed, comprehensively insured, and have a current MOT. This is for your benefit. Because you are still able to use your car as normal during the loan period, you are still responsible for it as well as any damage that may occur to it. Should your car be stolen or damaged, your insurance company will be able to provide cover.

Once you have paid off your loan, ownership is returned to you

Your car acts as security against your loan. Once you have made your final payment then your logbook is returned to you.

If you are unable to pay back your loan, your car may be at risk of being repossessed

It is for this reason that we advise all potential lenders to think carefully about whether they can afford the repayments on their loan.

If you don’t meet your repayments, logbook lenders have the right to repossess and sell your car. If this doesn’t cover the shortfall – you are still liable to pay whatever is left on your loan.

The interest rates on logbook loans are not as high as those charged by payday lenders. This is because your car, as well as the interest rate, acts as security against your loan.

If, after reading the above points, you are still interested in a logbook loan, Gissaloan™ could be the lender you’ve been looking for. Take a look at our products and find out which one suits you.


All loans granted subject to affordability. Proof of income will be required. All Loans are secured against your vehicle, which may be repossessed if you do not make payments. Late or missed payments will incur additional charges, please see contract terms and conditions.


A Bill of Sale gives us security over the car. This means that until you have paid your loan we are technically the legal owner of your car. However you can still drive it and once you have paid off your loan the ownership goes back to you.


Warning: Late repayment can cause you serious money problems. For help, go to www.moneyadviceservice.org.uk


"Gissaloan” and “Gissacar” are trading names of Car Loan Originations Limited, which lends money on Customers’ existing cars (Gissaloan) and also finances the purchase of Customers’ new cars (Gissacar). All loan and related documentation, and other correspondence for both types of loans will be in the name of “Gissacar".

Gissaloan is authorised and regulated by the Financial Conduct Authority (FCA) under registration number 688840

Registered Office: Regina House, 124 Finchley Road, London NW3 5JS