|
We are a Pawn Shop in the town of Fochville situated in Western Gauteng Province. The shop is maneged by Ockert Brits the founder and current owner of Crazy Price .
We have been in operation since 1976.
We also have a furniture branch.
We stock new and used of anything.
Here are some questions about Pawnshops in general:
How do we and Pawnshops work in general?
Pawnbrokers lend money on items of value ranging from gold and diamond jewellery to musical instruments, televisions, tools, household items, etc..
These items maintain their value over a reasonable period of time and are easy to store, especially jewellery.
All customers provide collateral, eliminating the need to distinguish high risk from low risk borrowers.
Typically, loans are small averaging between R100 and R5000, although they can be as small as R100 or as high as several thousand rand depending on the value of the collateral.
The average loan period is 30 days. The process is much the same as any other lending institution, with the primary difference being the size of the loan, the collateral and the holding of the merchandise until the interest or the loan has been repaid.
Why would you make a loan from a Pawnshop?
Pawnshops offer the consumer a quick, convenient and confidential way to borrow money. A short term cash need can be met with no credit check or legal consequences if the loan is not repaid.
A customer receives a percentage of the value the broker believes the collateral would bring in a sale.
Although the loan to collateral ratio varies over time and among pawnshops, a loan of about 60 percent of the resale value of the collateral is typical.
In other words, pawnbrokers feel their loan is "paid in full" at the time it is made.
When a customer pawns an item, terms of the loan are printed on a pawn ticket that is given to the customer.
The ticket states the customer's name, address, type of identification provided to the pawnbroker, a description of the item, amount lent, expiry date, interest rate and amount that must be paid to redeem the item.
|
