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Frequently Asked Questions

Why can Varooma offer such competitive quotes compared to other logbook lenders?

Good question! Firstly our overheads are kept to an absolute minimum. We don’t have shops all over the country costing our business money, instead we spent several years of solid investment in IT so that you the customer receive the quickest and most convenient service.

We welcome you to compare our rates with other lenders and see for yourself. Varooma will aim to beat any Log book Loan quote – fact!

Does Varooma have a high customer satisfaction rate?

According to Trustpilot, Varooma has the highest rate of customer satisfaction compared to other logbook lenders. We have over 1400 customer reviews and are rated 9.4/10 or "Excellent". Click here to see our reviews.

What if I have CCJ's or bad credit?

As you are securing your loan against the car, we can be more flexible about lending than your bank or other high street lenders and we do offer bad credit loans. We consider any credit rating as long as you own the vehicle and can prove affordability to repay your loan.

What is a Logbook Loan?

A logbook loan is a form of finance where you can use your car as security for a loan. You can normally borrow up to 70% of the trade value of your vehicle and pay the money back in instalments.

What do I need to get a loan?

To qualify for a loan you need to be the legal owner of your vehicle and be able to prove affordability and regular monthly income.

How much can I borrow?

You can borrow up to 70% of the value of your vehicle, depending on your circumstances. Our minimum loan is £500 and maximum is £50,000. Please note that we operate a responsible lending policy. Our loans are designed for those who are experiencing short term cash flow problems. All applications are assessed against ability to pay, and a loan or extension to loan is never guaranteed.

Do I need to give a reason for my application?

As a responsible lender we need to ensure that our loan facilities are used appropriately, therefore we may ask why you are applying for the loan.

How soon can I get the cash?

Loans are processed and approved the same day. Depending on your requirements we can provide the cash in as little as 2 hours. Once you have signed all the paperwork, money will be transferred to your account within minutes. It really is that easy!

Do I need to be employed?

You need to show that you receive regular income, whether you are in full or part time employment, or retired, we will consider your application.

What if I am self employed?

Yes, we will process loan applications if you are self employed. Many of our customers are self employed.

Will you contact my employer?

Not usually, unless we have checked it with you before hand. Only in exceptional circumstances will we contact your employer. Our no guarantor loans mean that you don't need to tell anyone about the loan if you don't want to and you won't need a guarantor to co-sign the loan agreement.

If you hold onto my logbook, how do I tax the car during the loan term?

When your car tax is due to expire, a reminder notice will be sent to you from the DVLA. This reminder can be used to tax the car, or you can use the reference from your logbook to purchase a new license online. If you have a loan with us already and need your reference number from your logbook (V5) please contact customer services on 0330 440 0101 or email

How do I repay my loan?

All of our payments are taken by debit card. We do have the facility to accept bank transfers in the event that your debit card ceases to work. This is a cost effective and easy process for almost all of our customers.

What happens if I struggle to make payments?

We work closely with our customers and always help wherever possible. Provided there is willingness to resolve financial issues, we will work with you to solve them. Contact and communication with us is crucial in the event of default, to prevent arrears interest and charges being applied to your account. If after several attempts at contact we feel there is no intention to repay the loan, then we will seek to recover your vehicle.

Are you regulated by the Financial Conduct Authority (FCA)?

Yes, we are regulated and licensed by the Financial Conduct Authority (Firm Reference No. 679701) and adhere to the strict code of practice of the Consumer Credit Trade Association (CCTA).

How is my personal data stored?

You can be confident in the knowledge that all data stored by Varooma is completely secure, using the highest levels of encryption and privacy protection available.

How do I make a complaint?

Here at Varooma we pride ourselves on customer satisfaction and we have strict policies in place that ensure we treat all of our customers fairly and responsibly. In the event you feel that we have not done everything to your complete satisfaction you may have the right to refer your complaint to the Financial Ombudsman Service. Our customer services team will be happy to offer you advice on doing so and assist you with the process. You can find out more about our complaints procedures here.

Are you registered with the Information Commissioner's Office?

Yes, Our Data Protection Act registration number is: Z2866421.

What is a Bill of Sale?

Please refer to borrowers information which explains all aspects of a bill of sale.

How do I get the money?

After you have completed your appointment our payments team will transfer the funds into your bank account by Faster Payments.

Can I repay early?

Yes, in fact we encourage you to. Many customers also make partial settlements which then reduce both the total interest you repay plus your weekly or monthly instalments for the remainder of your contract.

How can I find out more?

For more information about the loan process you can read our how logbook loans work page. If you have any more questions please call us on 0330 440 0101 and we will be happy to explain the process and answer any questions you have.

V5 Loans and Logbook Loans - What is the difference?

There is no difference between a V5 loan and a logbook loan. Sometimes logbook loans are referred to as V5 loans and the other way round. The more common term is logbook loan.

Responsible Lending

We assess all applications carefully and only offer loans to people we believe can afford to pay them back and never guarantee approval.

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Amount of Loan £1000.00. Repayable by 12 monthly repayments of £141.67 or 52 weekly repayments of £32.69
commencing 1 month from the date of the loan. Total Amount Repayable £1700.04.

Rate of Interest 70% per annum flat fixed. Representative 190.3% APR.

Warning: Late repayments can cause you serious money problems. For help or advice please go to