Online Pawn Shops
As our nation’s economy has been declining and struggling to recover for almost a decade, the time has changed for the finance industry. For many Americans, payday lending and other short-term financing services are now mainstream finance options. Despite the predatory practices and unreasonable interest rates, alternative sources of funding are starting to become the norm-including pawn brokers. It’s now so common to pawn personal items for quick cash that reality shows like Hardcore Pawn and Pawn Stars, and even documentaries like Broke. The Documentary emerges as a slice of life proof that America’s economy will evolve in the 21st century. All pawn brokers, however, aren’t ruthless capitalists preying on the poor, and not all pawn shops are created equal. ou may want to check out Gold 2 Green for more.
Combating the image of shady dealers and miserably loans associated with local pawn brokers, online pawn shops are seeking to attract upscale clientele that have hit hard times. Offering greater loans (up to $ 1 million) and electronic purchase flexibility, online pawn shops are trying to transform the face of pawn trading to deliver short-term lending to a customer capable of repaying or at least reselling valuables for significant income. In an attempt to appeal to a middle-class market that is largely new to the need for such short-term financing options, the best in the business has created a new look and feel to pawn brokerage that could change the future branding of brick-and – mortar pawn shops.
Pawngo, a business that targets the affluent (or formerly affluent) who are facing financial difficulty and have expensive goods to use as leverage for short-term loans, is the leader of the pack in the online pawn brokerage market. From Louis Vuitton wallets to Cartier watches to Picasso drawings, precious personal belongings are placed over the internet, empowering customers who might be hesitant to frequent nearby pawn shops to get the cash they need with the freedom they want. Typical Pawngo loans average around $1,700, 17 times the average of $100 for the pawn-industry. (1) THE PROPERTY: (1)
Another major benefit of using short-term financing online pawn shops is that pawn brokers do not report to credit bureaus. If you default on your credit, you ‘re simply losing your collateral. So, credit rating-protecting borrowers can use this funding option to achieve their goals without fear of digging deeper into financial ruin.
While online pawning is attractive for a number of reasons, loans are still non-traditional and bring exorbitant interest rates with them. For example, at Pawngo, terms are at a maximum interest of 6 per cent for three to six months, but that interest is accrued every month. And, if you hold a $2,500 loan for three months, the interest due is $150 per month, representing $450 in interest, with average percentage levels varying from 48 to 84 percent, based on the size of the debt. (1, 2) Loan extensions allow the number leap higher even. The loans are still quality pawn shop, just without the social stigma of being spotted hocking the family jewels on the town’s wrong side. Online pawn shops will also have very convenient lending choices and pleasant pawn encounters for willing lenders with all things considered.