Why you should choose secured loans over unsecured ones?

Posted by admin on in Car, Logbook Loans

There are many different reasons why we take loans, however, all of them revolve around not having sufficient money. There are two kinds of loans available to us when we are cash strapped- secured loans and unsecured loans. Secured loans are those which require collateral while unsecured do not. An example of a secured loan is a logbook or v5 loan. An unsecured loan is commonly called a personal loan. Both these loans have pros and cons. However, below we give you reasons why you should consider getting a secured loan over an unsecured loan

Interest Rates

Unsecured loans seem catchy at first glance. The sound of no collateral is sweet to the ears. However, appearances can be deceiving. When something sounds too good, think twice. Behind this captivating appearance, they hide high-interest rates. With secured loans such as v5 loans, however, you will not be subjected to exorbitant interest rates. You will not feel as if the lender is trying to impoverish you and the rates will not cost you an arm and leg. Secured loans interest rates are very affordable.

Repayment Period

You are required to repay a personal loan almost immediately it’s offered to you. The repayment period of a personal loan is very short. This means that you will feel the pinch of parting with lump sums of money every month or week to service the loan. With secured loans, on the other hand, loan repayment is spread over a long period of time. The money going into servicing the loan will feel less impactful to your pocket. It will still give you room to make investments and other financial commitments.

Amount of money

There are very many factors that are taken into consideration when offering you a personal loan. Even then, the lender will still be reluctant to offer you the loan because you remain a gamble for them. For this reason, they will tend to offer you less money than you hoped for. However, with logbook loans, you will be granted an amount of money equivalent to the value of your car. The amount of money you qualify for is determined by the value of your car, not some other arbitrary factors

Application

Despite personal loans being advertised as easy to get, they really aren’t. Personal loan lenders subject their applicants through a vigorous application process to determine their creditworthiness yet still consider their clients a high risk. You can imagine how much more difficult it would be to acquire a personal loan when you are labelled ‘not creditworthy’. This type of loan is therefore less suitable for people who have a poor credit rating.

Logbook loans, on the other hand are a walk in the park, very simple to get. All you require to receive this loan is a roadworthy vehicle. There is no in-depth analysis of your credit history or any subsequent aptitude tests. The lender just needs your logbook.

Default

It is important to know what will happen in the event that you default a payment. With unsecured loans, the lenders are stringent and that is why it is important to read the fine print. There a couple of things that could happen in the event that you default on a payment. You could incur additional costs, your credit score could take a huge blow or/and there might be a line in the contract that allows the lender to recover the cost with one of your possessions. You can never be too careful, you never know what they have under their sleeve. With logbook loans, on the other hand, the consequence of defaulting is very transparent. Failure to make payments leads to the repossession of your car.

How small-engine cars beat big-engine cars

Posted by admin on in Car

There is no doubt that cars with big engines have an irresistible allure. However, in this day and age with the economy being volatile as it is, you may find that small-engine cars are more suitable. In this article, we look into why you should consider a small-engine car. You will soon enough see just why they are a beauty in their own right.

Purchase

Small-engine cars come cheap. That is their first perk. You will not have to sell your kidney to buy one. They are very affordable. This could be assumed to be because they required fewer materials to manufacture and build as compared to large cars.

Fuel Consumption

The fact that small-engine cars consume less fuel should cause an instant attraction towards them. Who doesn’t want to save an extra penny? They have better gas mileage than big-engine cars and this makes them more economical and more fuel-efficient. If you are looking for a pocket-friendly car, consider a small-engine car.

Maintenance

Moreover, vehicles with smaller engines are cheaper to maintain in the long run. This is because their smaller engines are more efficient meaning fewer trips to the mechanic shop for maintenance. Fewer trips equal to more money and time savings. Another plus is that in the event of replacement or repair, the cost of replacing parts of a small-engine car far cheaper than those of a big-engine one. You should also note that your mechanic will most likely charge you less on a small-engine than a big one. The justification being it is easier to work on.

Emissions

For people who have an inclination towards green products, you will definitely fall in love with small-engine cars. Their carbon emissions are far less as compared to their larger engine counterparts.  If you are sensitive to the environment, that they produce fewer emissions because they’re more efficient should have an instant appeal. But even if you don’t really care about the environment, the news that you are making a positive impact should be motivation enough.

Maneuverability

This should sound appealing especially if you live in a busy city or town. A small-engine car is easier to drive down narrow, busy one-way streets. They also happen to be easier to park moreover, parallel-park. With all the hassle that is synonymous with driving in a busy city, it is nice to know that with small-engine cars, the stress is greatly reduced.

Reselling

Because of all the benefits associated with small-engine cars, it is no wonder they are increasingly gaining popularity. Small-engine cars are easier to resell than their larger-engine counterparts. Buying a small-engine cars is clearly also making a future investments.

Horsepower

With the increasing technological advances, newer small-engine models are beginning to have similar or even more horsepower than big-engine vehicles. This means that it is slowly becoming a myth that small-engine vehicles have less horsepower than big-engine ones. Car manufacturers have been able to squeeze more horsepower by using turbo-engines yet still preserve their fuel-efficiency which is definitely great news.

Space

Don’t let their small-engines fool you into believing they are less spacious. Small-engine cars which also happen to be small in body have a surprising amount of space inside. Sometimes their space may even be larger than that of their larger engine counterparts.

It is abundantly clear that small-engine cars were designed in response to the growing needs of the population. They provide a cheap means of transport, have a lower carbon print yet still managing to be spacious and powerful. They are equivalent to manna, an answer to our prayers. They beyond a doubt prove that bigger is not always better.

Automatic vs. Manual Transmission options

Posted by admin on in Car

A question that is sure to cause a lot of contention in the motor community is which one of the two is better: a manual car or an automatic car. There are people who are manual die-hards and strongly despise automatic car users. Then there are those who are unhinged automatic enthusiasts and cannot fathom the thought of an automatic car. Both these transmission options are incredible depending on the angle that you choose to view them from. They also have inherent disadvantages that cannot go unspecified

Ease to use

Automatic cars prove much easier to use especially for first-time users as compared to manual cars. This could be attributed to the fact that their engines are less likely to stall. In automatic cars, manual gear changing is overridden unlike in manual cars where the driver is required to shift the gears. This can prove difficult in hilly areas and in stop and go traffic.

Control

However, what automatic car owners consider easy, manual car owners consider powerlessness. The lack of ability to control the gears of the car is what discourages manual enthusiasts from automatic cars. They claim that a fundamental element in the driving of a car is eliminated the minute, the gear-shifting control is taken away from the driver. On the other hand, the lack of gear shifting and a clutch is what attracts people to automatic cars.

Safety

The automatic car enthusiasts back up their love by saying that automatic cars are way safer. This is because the lack of constant gear shifting allows the driver to have both arms on the steering will. Also, the reduced likelihood of engine stalling means that there is also a reduced likelihood of collisions.

Fuel consumptions

Although the difference in fuel consumption between a manual and automatic car is not very significant. Manuals are still considered more fuel-efficient than automatics. This is because humans are still considered more apt at recognizing a gear shift as compared to machines. You will, therefore, save a little more on fuel if you choose an automatic over a manual car.

Comfort.

Not only are automatic cars easy to use, they are also very comfortable. Driving an automatic car is smoother since they do not require the great deal of concentration and coordination that are imperative when driving a manual car. When navigating a hilly area, an inexperienced driver may struggle in a manual car as compared to an automatic where all the gear shifts are taken care for you.

Maintenance

Not only do you get to save money in fuel with a manual car but you also make savings when it comes to maintenance. This is because manual systems have a way simpler design as compared to manual systems which are considered complex. However, that is only with regards to fluid flashes which need to be changed every 60,000 miles at the least. When it comes to clutch replacement, the fact that automatic systems lack a clutch saves the car user big bucks. Clutches wear out and have to be replaced when they do. Replacement can be quite pricey.

Cost

When the matter comes to which of the two is cheaper to purchase, manual cars happen to be cheaper. This may have something to do with the fact that they are less popular among car owners. Their little popularity also has the added benefit of making them less likely to be stolen as compared to automatics. However, when it comes to reselling, manual cars are far more difficult to resell as compared to automatics. This may have something to do with their low popularity.