Pawn loans represent a type of financing that is typically requested by someone who does not have a job and who, in need of money, cannot access any other alternative. We can report, among others, the protested and the unemployed bad payers.
How does the pledge loan work?
To be able to successfully obtain a loan on pawn, you simply need to have a precious object available to be able to “commit” in exchange for cash. Among those that may be fine there are watches, gold, precious stones and, in general, all objects that have a certain value and that have “a certain market”.
It must be said, in fact, that if the debtor cannot repay the loan on pawn obtained, the debt agency or the bank are authorized to resell the object to repossess the loaned amounts.
From the moment an object to be committed is presented, it is assessed by an external expert independent of the bank and the pawnbroker and, on the basis of the evaluation, the maximum sum that can be borrowed is decided.
Pawn loan for bad payers and protests
We said at the outset that the lien is usually requested by bad payers and protests, or all people who may have more than a few difficulties in applying for funding from a bank.
The presence of the object given as a pledge is, in fact, an excellent guarantee for the institution that must grant money, also since there is no real investigation phase (because the credit history of the applicant is never assessed), it is usually quick and easy to obtain loans.
The general characteristics of the lien
Upon opening the loan, the bank or pawnshop issues a Bearer Policy, which is used to redeem the asset at the time of the debt balance.
The duration of the pledge loan usually ranges from 3 to 6 months, in exceptional cases it can even reach 12 months. Repayment is usually made in one installment to be paid at the end of the loan, while interest, custody and administrative costs are paid in advance.
In case of difficulty in respecting the originally scheduled times, you can also think of requesting an extension (or renewal of the loan on pledge), which is usually granted without particular problems (as long as you do not go beyond the 6-12 months that we have said previously). Obviously, before proceeding with the renewal of the lien, it is necessary to consider that other interests and other custodial and administrative costs will be applied.
From the moment in which you have the sum to be returned, you can proceed with the redemption of the asset, both in advance and on expiry. In the first case, there will be the advantage of being able to get back some of the advance sums as interest and various expenses.
Some interesting facts and data
Italian law regulates the maximum sum that can be obtained on loan and establishes the amount in 4/5 in the event that the asset given as a pledge is a precious one, and 2/3 in the event that it is not. For example, if you give a jewel as a pledge that is valued at $ 2,000, the maximum sum that could be obtained is $ 1,600.
All pledged objects are kept safely and protected from attackers. For greater peace of mind, always remember to ask the bank or pawnshop where you go, how it protects your valuables.
An important concept to consider concerns the ” Policy ” which serves for the redemption of the asset. As we have said, he is a bearer, which means that anyone can go to the counter with the sum of money to withdraw the asset given as a pledge.
Banks and shops where you can apply for a loan
Various banks and institutions in general offer lien.
Among the most important names we see Lite Lender, which offers Best bank, an immediate and easy to obtain, as well as secure loan (because the assets are held by Lite Lender, one of the most important credit institutions in Italy). At present Lite Lender has two pledged credit agencies, one in Palermo and one in Rome. For more information go to Lite Lender.
The banks of the Astro group also deal with pawn credit and do so by providing services that are regulated, in compliance with the law, by an internal regulation that fixes, for example, the minimum amount obtainable in 25 USD and the maximum sum in 50,000 USD.
In addition to these two banks, there are a number of pledged credit bureaus to turn to. In order to find the one closest to your home, you can contact the network, as always, perhaps by looking for “pawnbrokers ” on your favorite search engine and indicating your favorite location.