| You need money right now but don't have a good | | | | "collateral lending". Common articles include |
| credit history. The banks waste too much time | | | | electronics, cars and automobiles, jewelry, |
| and you want to avoid loan sharks. What do you | | | | antiques, and other merchandise. At the same |
| do? Consider pawn for cash. | | | | time, cases of exploitation and cheating are also |
| What Does Pawn for Cash Mean? How Does it | | | | common in the pawn-broking industry. |
| Work? | | | | If you are planning to pawn your personal articles, |
| Pawn for cash has a simple mechanism. Here's | | | | here's what you should know: |
| how it works: | | | | • Don't borrow if you cannot repay. It's as |
| • The borrower pawns an article of value - for | | | | simple as that. But sometimes, you may need |
| example, a gold bracelet, a TV, or an antique | | | | money urgently. Understand your ability to repay |
| vase - with the lender. | | | | and also explore other options. |
| • In return, the lender provides a loan whose | | | | • Watch out for high interest rates. Some |
| value is less than the article's value. | | | | unscrupulous pawnshops are known to charge |
| • The borrower pays the amount along with | | | | exorbitant rates of interest, and in many cases, |
| the interest after a fixed duration - usually three | | | | the borrower is unable to repay, thus leading to |
| days to three months - as specified in the | | | | the loss of the article. Compare different lenders |
| agreement. | | | | and their rates before you make the final decision. |
| • In case the borrower fails to repay within | | | | • Don't keep any items of sentimental value |
| the period, the lender confiscates the article. | | | | with the borrower. Many borrowers make the |
| Other than a means of getting quick cash, pawn | | | | mistake of pawning their family heirlooms or |
| for cash does not involve loan sharks hounding | | | | items of personal value that are priceless and |
| the borrower. If you refuse to pay or cannot | | | | cannot be substituted by money. |
| pay, you simply lose the article. | | | | • Keep your documents related to the loan |
| Tips for Borrowers | | | | safely. Pawnbrokers will try their best to avoid |
| Pawn for cash is one of the oldest ways to get | | | | giving you your article back if you fail to provide |
| money when required, and is a traditional business | | | | the necessary documents. |
| in many countries such as China, India, Thailand, | | | | In short, you should pawn for cash only when |
| etc. Recently, a New York Times reported that | | | | you need the money badly and you know that |
| several celebrities, especially in California, are | | | | you can repay it with the interest within the time. |
| opting for pawnshops in what is known as | | | | |