5 Frequently Asked Pawn Loan Questions

Many circumstances can unfold in life wherein we need cash to manage things. Well, you may need cash for settling your medical bill or car repair bill or something else. And your payday has yet to arrive. Here, an instant cash loan can help you to solve your current problems.

The Option of Pawn Loan

Did you know that you can get an instant cash loan in Sydney against your collateral? Well, if you aren’t aware of a pawn loan then know that this loan type is continuing since ancient times!

In simple terms:

• You can bring any item of value such as – any modern gadget like Smartphone or home appliance or precious metals like diamond, silver or gold and borrow cash against it.
• Nonetheless, items aren’t limited to these and can include musical instruments, collectables, gardening tools, sporting gears, electronic items and more.

1. Why Should You Pawn Your Gold?

You’ll get more cash for your gold when compared to the rest of your second-hand items of value. And that’s because gold metal’s price always increases and gold is always valued at the current market price when traded.

2. How Can You Avail An Instant Pawn Loan?

It’s super easy to avail a pawn loan. All you need is:

• A quality second-hand item that’s well-maintained and works properly.
• A valid photo identification that establishes your citizenship.
• Attained at least 18 years or above.

The pawnbroker will evaluate your item and give you a loan offer. If you agree, the pawn shop will quickly proceed with the formality. Have you fill up a form and provide you with a receipt and the cash and put your collateral item into their safe custody. You must keep this receipt safely and show it when you come to redeem your item by paying the loan amount and interest.

3. How Much Time Will It Take To Process The Cash Loan?

Generally, the cash loan is processed within minutes on the same day! You come with your used item of value – can show proof of the item’s ownership. Give a copy of your photo identification and prove your age is 18 years or over. That’s it; the pawn shop will provide you with the agreed cash and put your item into their safekeeping.

4. Should You Repay The Pawn Loan?

Well, it’s your choice! You may choose to walk away if you don’t want to reclaim your item. But remember, if you choose to simply walk away, the pawn shop will be selling away your item to get back the loan money and interest. So, if you need the item back, you must repay the loan and interest on time as per the signed agreement.

Besides, you should keep paying the interest on time, as it will allow the pawn shop to extend your loan duration by a month if you so desire. If you decide to extend your pawn loan, you must also pay the interest of the extended month in advance.

5. What Is the Time Duration for Pawn Loan’s Expiry?

Usually, the pawn loan is given for 3 months or 90 days. But you don’t have to wait for 3 months to repay your loan amount. It’s best to repay the loan as early as is possible for you.

The Bottom Line

A pawn loan is easy to get, but you should avail only if you’re unable to secure loans from other conventional sources like banks. Yet, when you need cash urgently, at a short notice, you may not be able to get loans from banks or other conventional financial organisations. Here, you’ll find that a pawn loan is a convenient option for emergency or unexpected cash-crunch situation.

Finally remember, a pawn loan is taken out to deal with the problems at hand, so it’s a quick fix. And if you’re able to pay the pawn loan early or on-time, it’s well for you, as you’ll get your items back.

You can also read about Should You Get a Pawn Loan or Sell Your Second-Hand Goods of Value