Pawnbroking is an industry that has been around for over 3000 years and has its roots in ancient China. It is an industry that is still going strong, in fact, the current financial climate has seen rise in the use of pawnbroking shops and asset backed loans. A wide variety of customers use pawnbroking services for many reasons and the myths surrounding the services just aren’t true. To enlighten our readers here are 5 misconceptions about pawnbroking that we can dispel:
- You will lose your assets
Here at Yorkshire Loan our standard terms are 6 months. If you make your payments and pay your loan back in full, then you will get your asset back. You can pay early and also get your asset back early too.
The good news is that 85% of customers get their assets back at the end of the loan term.
- Pawnbrokers aren’t regulated
Pawnbrokers must be authorised by the Financial Conduct Authority (FCA) to trade as well as signing up to the Anti Money Laundering Business Register.
There is also The National Pawnbrokers Association who are available to provide resources and support to both the Pawnbrokers and their customers.
- Pawn Loans are really expensive
Pawn loans are often cheaper than alternative lending options such as payday loans and overdrafts facilities. Yorkshire Loan offer quick, hassle-free loans and we don’t use a credit check to decide if you are eligible.
- Only desperate people use pawnbrokers
Clients who use pawnbrokers often do so for speed and convenience. Without the need for a credit check they are now seen as a safe and hassle-free short-term credit option. There are many reasons for needing a short-term loan and desperation isn’t what drives most people to seek out an asset back alternative.
- You can only get small pawn loans
Yorkshire Loan offers cash loans from £5K to £500k and we will consider any asset(s) with a resale value of a minimum of £5K.
If you need to raise cash for any purpose and have questions about an asset-based loan, please call us at Yorkshire Loan for a discreet no obligations chat on (01677) 930354 or fill in the form on the contact page below:
http://91i.3b5.myftpupload.com/contact-us
