Pawnbroking In A Nutshell
If you have misconceptions about pawnshops being seedy, backstreet stores frequented by people you’d rather not be associated with, then you’ll be pleasantly surprised by the modern-day reality. The image of the pawn industry (make sure you get the spelling right here!) has changed drastically over the years gaining a much better reputation – so consider all the myths dispelled!
Pawnbroking is a completely safe and quick way to make the most of your valuable items, with the guarantee that they’ll be returned to you on final payment of the loan.
Tell me how I can pawn my valuables… Firstly, you’ll need to decide on which of your valuable items you would like to use as collateral in a secured pawnbroker loan. Once you’ve made this decision, it’s time to do some research into which pawnbroker would offer you a loan against your valuables: some pawnbrokers only accept traditional items such as jewellery and antiques, whilst others are more flexible and would take most items of value.
Upon reaching a mutual agreement regarding collateral, a timescale for the repayment and reclamation of the items will be made. At this point, it’s a very good idea to fully discuss the terms and conditions of the agreement with the pawnbroker, particularly if a longer repayment period may be needed, as an extension of the loan period can sometimes be negotiated.
Pawnbroking online Thanks to the growing popularity of pawnbroking, many pawnbrokers can now be found online. This gives the customer the option to pawn valuable items without the trouble of having to go into a pawnbroker’s shop. With so many different pawnbrokers now trading online, a huge range of items are accepted as collateral for secured loans.
The online application process is very fast and easy. An online estimator is usually used to estimate the value of the commodity and if the customer accepts the offer, a pre-paid insured envelope for the delivery of the goods will be sent out. Once the items have been received by the pawnbroker, the money is usually transferred to the specified bank account the same day.
In the event of unforeseen circumstances preventing repayment of the loan there is usually no penalty fee, but it’s always best to check the policies of the individual pawnbroker as they may differ. In this case, the pawnbroker will most likely seek to settle the loan on the customer’s behalf by selling the items. Plus, if the pawnbroker receives more money through the sale of the item than the original loan amount, the difference will be returned to the customer.
What’s the difference between pawning my valuables in-store and using an online pawnbroker? In principle, there’s no difference between traditional pawnbrokers and ones who trade online: in fact, a lot of pawnbroking shops are now getting in on the act and setting up their own websites too. But, there are two main differences which make online pawnbroking seem more attractive than its less hi-tech predecessor.
Fine watches are one of the most popular items to pawn thanks mainly to their high price tag and ease of valuation. It’s important to remember, however, that most pawnbrokers would only take fine watch brands such as Cartier, Zenith and Breitling as collateral and wouldn’t usually accept designer watches from the likes of Gucci, Prada and Dolce and Gabbana. Plus, the condition of the watch will also affect the loan you’d be offered against it, as a watch that is even slightly damaged would be worth a fair bit less than one in pristine condition.
When in need of a short-term secured loan, many people choose to pawn gold, silver or platinum jewellery to raise some much-needed cash. For gold jewellery, its price will be valued according to its weight, with the most common gold items used as collateral being necklaces, bracelets, rings and earrings. As jewellery is one of the most popular products pawned, most pawnbrokers have a great deal of expertise in valuing these items, meaning that customers are usually offered a very reasonable loan amount.
Similarly, scrap gold, silver and platinum are all seeing resurgences in their popularity as collateral for secured pawnbrokers loans. This is because pawnbrokers will very often accept items made out of gold, silver or platinum despite any scratches or dents they might have picked up along the way: their valuations are usually based on the quality and weight of the scrap metal rather than their aesthetic value.
When most people think of antiques, they think of century old vases and paintings that sit in attics or basements just gathering dust. Although pawnbrokers are of course used to valuing and lending against stereotypical antiques, many also accept more contemporary artworks, furniture and decorative items which are seen to have ‘antique’ value.
Whilst only a handful of people own bullion and rare coins, they are very valuable commodities to have at the moment. Gold and silver bullion is hedged against inflation, which means that it won’t lose its value as quickly as currency or other commodities, and is thus very useful when used as collateral for a secured short-term loan. Also, coins that are issued by many countries are considered very valuable, as their value as bullion is greater than it is merely as currency. Moreover, scrap gold, silver and platinum can be used to secure a short-term pawnbroker’s loan against, with its value depending on its weight and quality.
So, it seems that pawnbroking has had a much-needed makeover. It’s no longer the out-dated, irrelevant practice it used to be, as many people are now seeing it as a simple and straightforward way of raising funds as quickly as possible. Also, with online pawnbroking businesses going from strength and the changes in the way we think about borrowing money, online pawnbroking is coming to be seen as a viable solution to many people’s money worries.
Uncles money is one of the biggest online pawnbrokers in the UK, Uncles will offer you the most competitive rates on valuables, such as; Jewellery, gold and some art. You can also get short term loans from Uncles.