Life situations are different - pleasant and not very. Many of them are united by the fact that money is urgently needed: for a gift or operation, for the purchase of something under very favorable conditions, or for compensation for damage to the victim in an accident that occurred through your fault. Of course, you can always contact the bank, after collecting the necessary documents. But what if the time counts for minutes or your credit history is spoiled (and for banks this is a very important aspect)? A credit organization that issues loans secured by valuable property will help - a pawnshop. How are things evaluated in such institutions and what other nuances does a potential borrower need to know? Let's talk about this further.
Should I go to pawnshops at all?
Very often people are biased towards pawnshops. But this is nothing more than a stereotype. The way pawnshops evaluate things and how quickly they arrange loans, many Russian citizens appreciated the development of the financial crisis, which forced many to seek “quick” money. Do not be afraid that by contacting a pawnshop you will ruin your reputation or become a victim of scammers. Choosing a reliable organization with a solid track record of work, you can count on:
- quick review of the application (on average in 10 minutes);
- receiving funds if you have only a passport and the most valuable property;
- a positive outcome even if there are “blots” in the credit history (for pawnshops it does not matter in most cases);
- the integrity and security of your collateral during the credit period;
- the opportunity to easily get your property back subject to the terms of the transaction;
- adequate interest rates.
Thus, if you urgently need money, and it takes too long to wait for a loan to be approved by the bank, or this is impossible in principle for a number of reasons, then contacting a pawnshop is a worthy way out of the situation.
How does a pawnshop evaluate property?
Each similar institution has its own price list and its own criteria. Valuation of things in the pawnshop is carried out taking into account:
- their market value;
- current state;
- presence / absence of a guarantee;
- brand prestige;
- regime of use of property during the credit period.
For example, in the metropolitan pawnshop Zalogator ( ) You can get up to 95% of the cost of a car in just half an hour. However, at the same time, you will not be able to use the vehicle - it will be parked in the organization. How does a pawnshop evaluate property (in this case, cars) that you are not ready to part with? You will get up to 40-50% of the market value of the vehicle if you leave only a technical passport as a deposit. Also in this case, the application review period will increase, credit history, place of registration of a car, etc. will be taken into account. The framework is more rigid due to the fact that the pawnshop assumes more risks, giving you a loan and at the same time leaving the vehicle with you.
What other things can be put in a pawnshop?
- Real estate and land.
- Jewelry - estimated by sample and weight, the quantity and quality of precious stones is not taken into account.
- Watches of expensive brands - for example, Casio, Orient, Citizen, etc.
- Outerwear made of leather and fur - accepted only in good condition.
- Home appliances - the presence / absence of a guarantee, the prestige of the brand, the novelty of the devices are taken into account.
How much will you have to overpay?
So, now you know by what criteria things are evaluated in pawnshops. It remains to find out what is the percentage of overpayment. As a rule, pawnshops take 0.5-1% of the loan amount per day of storage of collateral. Thus, in a month “drops” up to 35%. If within a month you will regularly pay interest, but you can’t repay the loan itself, the pawnshop will be able to extend the transaction, while the rate may be slightly reduced. For those who have delayed the payment of interest, the rate becomes twice as high. If you cannot pay the pawnshop on time, the property will be sold so that the organization will cover its losses.