Pawn shop loans are great way to get cash quick when you are in a tight spot.
Television and mainstream media like to portray pawn shops as dirty places that try to scam you, but did you know that these stores can actually offer you loans with a better APR than car title and pay day loans?
Not only that but these loans won’t affect your credit score either. They’re a safe option if you take the time to understand them.
Educating yourself on how these loans work will help you get the most bang for your buck, literally. Are you ready to learn more?
Pawn shop loans work by putting something up for collateral. This means that the pawn shop doesn’t need to check your credit score, and allows you to get the money faster.
The first thing you need to do if you are thinking about getting a loan is find something of value you’re willing to sell. Next, you’ll take your item or items to the shop and see how much the owner is willing to pay for them.
Popular items to sell are jewelry, firearms, cameras, instruments and new technology. If you think the amount is reasonable a contract will be written up with an agreed upon length. Most contracts last a month or longer.
At the end of the time frame you’ll return to the shop and pay off the loan along some simple fees. Then you’ll get your item back. If you are unable to pay off the loan at this time you can ask for an extension. Total failure to pay off the loan and the pawn shop earns the right to sell your item.
Pawn shops used to get a bad reputation of buying items that are stolen. To help combat this misconception, many shops will only offer you a loan on an item if you can prove that you bought it. This isn’t the case with every object, but it is true for frequently stolen ones like phones.
These loans are extremely helpful for those that are unable to get a loan in a traditional manner. However, like any loan there are interest and fees attached to the contract if you do not pay.
You can choose not to cover these costs, but it will mean the lose of your item.
Come to Premier Pawn For Your Pawn Shop Loans
When you need a quick help, getting a pawn shop loan is a great option. Not only can it be done in a day but it’s also a safer alternative for your credit.
Here at Premier Pawn our loans help people get back on their feet. Come to our shop and talk with one of team members to see if getting a loan is a good option for you.