19 Sep Reframing pawnbroking 2: What does a Pawnbroker actually do?
But I’ve noticed that does leave the question, “Well, what does a pawnbroker do then?”
“We help people,” is my solemn answer to that question.
This can leave people a little confused as it clashes with that seedy image of a pawnbroker that I spoke of last time, you know, the one that takes advantage of people that are down on their luck. But it’s true; we help people. Pawnbroking is simply another form of lending that gives people the capital when they need it. Here’s a little more insight into what a pawnbroker does.
A Question of Credit
I mean, have you ever needed a little extra money, but didn’t have the best credit? Or maybe you’ve needed some extra cash, but not enough to qualify for a loan from a traditional financial entity? Maybe you needed more than they would lend you? Maybe you needed it for the Business but the bank would’nt help? Those are all perfectly legitimate situations to find yourself in and solving those problems is exactly what a pawnbroker does. And we do it with transparency. There is no murky back office or dusty shop front with signed dotted lines that can bite you.
A Question of Capital
Everyone goes through a cashflow crisis at some time. You know, those kinds of things that crop up unexpectedly, an aching wisdom tooth that needs treating that wipes out the family savings and then the car breaks down too. Families and businesses are both likely to experience the ebbs and flows of money. When people have an emergency and need to come up with cash, a pawnbroker lets them look at all their assets, not with a view for getting rid of them for good, but for their capacity to turn them into capital and then get them back.
A Question of Discretion
Sure, some people have the blessing of family and friends they can turn to help them out of a pickle, but not everybody has that luxury. Also, what do you do when they don’t have the money either? Moreover, some people simply don’t want their friends or family knowing about the situation they have found themselves in. Everybody has their pride, and they prefer to get the money elsewhere privately – like The Pawnbroker! And, we don’t do credit checks so there is no impact on your credit history.
A Question of Speed
We can loan $50,000+ in 10 minutes, that’s how fast it can be for our clients. Come into our private office. We’ll do the paperwork, without financial disclosures or bank hassles, and as previously mentioned, no credit checks. The Pawnbroker considers itself an “upscale collateral lender”, and this makes us very fast at meeting client needs.
A Question of Service
From luxury watches, diamonds, gold, cars, to art, heirlooms, technology, we deal with a wide variety of assets. And these assets mean different things to different people, and therefore their options are different. Pawnbrokers have many services that they offer clients, but generally, they are in the business of lending people money on assets of value or buying assets.
When we’re talking about lending money, this is done via a pawn loan. A pawn loan is a short-term loan against collateral, which is an item of value that you take to the pawnbroker. If it has a value to the pawnbroker, they will lend you money on it. When they’re ready, the client will come back to the pawnbroker, pay off the loan and collect the asset, so Great Aunt Olga’s pocket watch can go back into the safe or the display cabinet.
Some people have items they want to get a loan on, but others wish to sell it for cash. The Pawnbroker not only lends money but they also buy assets outright, and they will typically pay more for those items if you do sell them versus just making a pawn loan against them. Obviously, if we buy items, we also sell them, and this includes when loans are not redeemed (paid back), in which case a pawnbroker will sell the item to recoup the money they loaned.
A Question of Legitimacy
Some people raise the concern of receiving stolen goods. We have a zero tolerance of this and spend a lot of time ensuring we know the goods we lend on or buy are legitimate. The Pawnbroker is proud of the fact that we have a great relationship with the New Zealand Police and we are ever vigilant. Get in contact if you want to know more about how we ensure items are legit.
So, when people ask me what a pawnbroker actually does, I say well, The Pawnbroker, provides temporary cash loans quickly, discretely, legitimately and transparently. Remember The Pawnbroker next time you’re considering your financial options and give us a call if you have any questions at all.
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Tune in next blog to find out how pawnbroking works. And remember to follow our Facebook page to learn more about the industry. If you have any questions about The Pawnbroker check out The Pawnbroker FAQ or get in contact.
Take care out there.
Kevin, The Pawnbroker