Pawnbrokers- How Do They Work?

Pawn broking is one of the fastest and most simple ways to secure a flexible loan. Now viewed as a competitive financial service, customers are able to use their own personal goods as security for a loan.

Customers are able to offer their property as their guarantee, and then once the loan has been completely paid back, their property is returned to them. Pawnbroking loans can be made on a variety of things, ranging from jewellery to electronics. If for any reason the customer is unable to pay back their loan, there is no consequence to the customer and the items pawned are simply sold on.

If you’re considering using a pawnbroker to get yourself a loan but are unsure, there are multiple things you can consider to help you decide. If you have a poor credit rating and are worried, there are no credit checks when it comes to pawnbroking, so you will still be able to borrow. Normally, once you have signed your loan agreement you will be able to get your money the same day, so it’s an extremely quick and easy process.

Any pawnbroker should let you redeem your goods at any time within the six month period, and only charge interest for the amount of time you have borrowed the money. There are no monthly instalments to pay, just the final figure as and when you decide to redeem your loan.

If you find yourself in a situation where you need more time to repay your loan, you can simply pay the outstanding interest, which renews the loan for another six month term.

At Cuttings, we’re happy to offer loans on a six month contract with great interest rates, as well as offering extended loans if all up to date interest is paid. We lend against gold, fine jewellery and watches and you can use our online form to qualify and easily apply for a loan. If you have any further questions, visit our contact page to get in touch- we’re happy to help.