When people are need of fast cash, they often consider payday loans as a source of instant financing. These loans are easy to get and don’t require any sort of credit check necessarily, however, they do ask for your bank account information to redeem the loan amount plus interest on your next paycheck deposit.
This easy money is basically an advance against your next paycheck. You give the payday lender your pay stub as proof of income and tell them how much you want to borrow. They give you a loan for that amount, which you're expected to repay when you receive your paycheck, along with the payday lender's fee of at times up to 400% in interest.
A great alternative or solution for desperate times would be to consult with a collateral loan lender that will offer cash in exchange for something of yours that is of value. When you bring an item to a pawn shop, the pawnbroker assesses the item's value and offers you a loan equal to a certain percentage of the value. Then offering a short time period to repay the loan with interest.
When paid back, the pawnbroker returns the item. However, when the borrower doesn't pay back on time, the pawnbroker owns the item and tries to sell it for a profit. None the less, pawn shops will often extend contracts and work with the customers, where the payday advice model continues to debit your account whether or not the money is there, therefore, posing a higher risk.
Learn more here!
Carefully evaluate the gold or jewelry you wish to sell. Make sure that emotional value does not out weigh the price that you will receive. Ideal pieces of jewelry to consider are broken items, earrings with a missing pair, or outdated items. While some people like to redesign or purpose their heirlooms, they often carry a significant trade in as collateral.
Be sure and verify the market value of gold and that you receive the most possible. Pawn shops usually practice fair trade and are capable and experienced in getting you the most for your money.
The spot price of gold is the most common means used to calculate the going rate for a troy ounce of gold. The price is driven by speculation in the markets, currency values, current events, and many other factors. This price is used as the basis for most bullion dealers to determine the exact price to charge for a specific coin or bar.
Learn more here!
The short-term loan business has never been more booming! Cash advance loans are typically smaller-sized loans with terms that average a week or two, but extend up to three months in some cases where extensions are involved. Since the loan amounts and lengths are small, with less built-in interest profit than longer-term loans, short-term cash advance loans tend to charge higher interest rates, and at times a flat fee due at the time you repay your loan.
Pawn shops offer a less risky option for borrowing without having to submit to a credit check or share your bank account information. By offering collateral of value like; gold coins, jewelry, iPads, cell phones and even power tools, you are giving the pawnbroker a creditable trade from where they loan against. The worst case scenario would be having to get an extension, or forfeit your belongings should the loan default and run out of extended graces.
Turn your designer handbags into cash, by simply loaning it as collateral while you receive instant cash. Keep in ind some of your most valuable assets may be dangling from your arm, neck or hiding in your closet.
Learn more here!
Pawn shops check to see what other goods they offer that are similar to yours when determining a price for your cash loan. Most likely, they consider the market value of your item, to be compared to what similar items they already have.
This consideration involves the amount of items like yours they might have sold in the past, and whether there is a demand and if so, the quality of your item will be compared to what they have or there of the same online. There are many different databases that pawn shops can use to look up how much an item is worth. For example, the pawn broker might check online ads to see how much items are going for on websites like eBay.
To learn more about turning things you have into cash click here!
What is Collateral and How to Get Fast Cash
The word "collateral" pertains to any asset or property that a person offers to a lender as backup in exchange for a cash loan. Typically, collateral loan agreements let the lender take over the asset if the borrowers fail to repay the debt according to the contract, unlike other loans that might effect your credit rating or next paycheck.
When considering taking on a loan secured by a personal asset, it's important to understand how collateral lending really works.
If you have a garage or basement full of things that might have value and are only gathering dust, you might consider heading to a pawnbroker in Escondido like Gems N' Loans. While you could walk away with money in your pocket, novices should learn the ins and outs, and how these trades work before they ever setting foot in a paw shop. According to the National Pawn Brokers Association, pawnshops are regulated by 14 federal statutes and regulations, plus numerous state and local laws.
