How Logbook Loans Work in Kenya: A Complete 2026 Guide
If you own a car in Kenya and need cash fast, a logbook loan is one of the quickest ways to unlock money without selling your vehicle. This guide explains exactly how logbook loans work in Kenya in 2026 — who qualifies, how much you can borrow, what it costs, and how to apply.
What is a logbook loan?
A logbook loan is a secured loan where your vehicle's logbook (the official ownership document) is used as collateral. You hand over the logbook — not the car — so you keep driving your vehicle for the entire loan period. Once you finish repaying, the logbook is transferred back to your name.
Because the loan is secured against an asset, lenders can approve larger amounts, faster, and at better rates than an unsecured mobile loan.
How much can you borrow?
At Fantom Capital you can borrow from KES 50,000 up to KES 1.5 million, typically up to 70% of your car's market value. The exact figure depends on the make, model, year and condition of the vehicle. A 2018 Toyota in good condition will qualify for far more than a 2008 saloon, for example.
How logbook loans work, step by step
- Free valuation. You share your vehicle details and we estimate its market value and your qualifying amount.
- Apply online. Complete a short application and upload your documents — see our guide on the documents needed for a logbook loan in Kenya.
- Verification & approval. Our team verifies your ID, logbook and car. Most loans are approved within 24 hours.
- Disbursement. Funds are sent straight to your M-Pesa or bank account.
- Repayment. You repay in agreed monthly instalments while continuing to drive your car.
What does a logbook loan cost?
Fantom Capital charges a transparent 4% flat monthly interest rate with no hidden fees. Before you commit, you'll see your exact monthly repayment in our online calculator. Always confirm the interest rate, processing fee and any insurance or valuation costs in writing — a reputable, CBK-licensed lender will give you these up front.
Who qualifies for a logbook loan in Kenya?
- You are the registered owner of the vehicle (or buying it from a financed sale).
- The car is generally 15 years old or newer and in good condition.
- You have a valid National ID and KRA PIN.
- You can demonstrate ability to repay through bank or M-Pesa statements.
You do not need a payslip. Self-employed Kenyans, business owners and matatu operators are all welcome.
Logbook loan vs other loans
Compared with a mobile loan, a logbook loan offers much larger amounts and longer repayment periods. If you are employed and want repayments deducted from your salary instead, a check-off loan may suit you better. If you own property, you could also borrow against it with a landlord loan — see our guide on landlord loans in Kenya.
Why borrow from a CBK-licensed lender?
Fantom Capital is licensed by the Central Bank of Kenya as a Digital Credit Provider. Borrowing from a licensed lender means transparent pricing, fair debt-collection practices and your data protected under the Kenya Data Protection Act, 2019. Always check that your lender appears in the CBK directory before signing anything.
Ready to apply?
Getting a logbook loan with Fantom Capital takes minutes. View our logbook loans page for the full details, or start your application online and get a decision within 24 hours — while you keep driving your car.