header-logo header-logo

The five-day countdown

10 April 2008 / Paul Beevers
Issue: 7316 / Categories: Features , Legal services , Procedure & practice , Profession
printer mail-detail

Paul Beevers explains why lawyers acting for clients with logbook loans need to act fast

It is surprisingly easy to use a car as security for a secured loan, just like a house. Most lenders call them logbook loans. The loans are usually short term, at least initially, and at higher than average rates of interest: 200%-plus annual percentage rates (APRs) are common. For those who cannot repay their loan the car they have given as security is easily taken from them—and then gone in just five days. Originally, as the name suggests, logbook loans involved leaving the vehicle registration document of the car with the lender, as security for the loan. However, this attempt to create a pawn of the car failed to work, because a vehicle registration document, a V5, is not a document of title—see Joblin v Watkins and Roseveare Motors Ltd [1949] All ER 47 and the statement to that effect on all V5s.

To establish the right to take possession of the car lenders turned

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

DWF—19 appointments

DWF—19 appointments

Belfast team bolstered by three senior hires and 16 further appointments

Cadwalader—Andro Atlaga

Cadwalader—Andro Atlaga

Firm strengthens leveraged finance team with London partner hire

Knights—Ella Dodgson & Rebecca Laffan

Knights—Ella Dodgson & Rebecca Laffan

Double hire marks launch of family team in Leeds

NEWS
Charles Pigott of Mills & Reeve reports on Haynes v Thomson, the first judicial application of the Supreme Court’s For Women Scotland ruling in a discrimination claim, in this week's NLJ
Charlie Mercer and Astrid Gillam of Stewarts crunch the numbers on civil fraud claims in the English courts, in this week's NLJ. New data shows civil fraud claims rising steadily since 2014, with the King’s Bench Division overtaking the Commercial Court as the forum of choice for lower-value disputes
The Supreme Court issued a landmark judgment in July that overturned the convictions of Tom Hayes and Carlo Palombo, once poster boys of the Libor and Euribor scandal. In NLJ this week, Neil Swift of Peters & Peters considers what the ruling means for financial law enforcement
Small law firms want to embrace technology but feel lost in a maze of jargon, costs and compliance fears, writes Aisling O’Connell of the Solicitors Regulation Authority in this week's NLJ
Artificial intelligence may be revolutionising the law, but its misuse could wreck cases and careers, warns Clare Arthurs of Penningtons Manches Cooper in this week's NLJ
back-to-top-scroll