Millions of people find themselves strapped for cash every once in awhile. You might have a car payment that’s due before your next payday, or the energy bill for this month is much higher than you expected. In any case, getting a loan from a Pawn Shop in Lincoln Park might just be the move you need to make. Let’s take a closer look at these loans and how they work.
For starters, these loans are short-term loans, and are typically much easier to get than regular loans from larger lenders. Large lenders provide loans based on a borrower’s credit history and current finances. Pawn shops are some of the only short-term lenders who aren’t concerned with your credit score or whether or not you’re employed.
Collateral is the one thing that pawn shops are most concerned with. A Pawn Shop in Lincoln Park accepts a number of items from borrowers. You can provide jewelry, electronic equipment, appliances, musical instruments, and so forth. The owners of the pawn shop will carefully examine your item and determine a reasonable value. Instead of giving you a loan that equals the full value of the item, the loan will only be a fraction of what the item is actually worth.
It could take weeks before you receive a loan from a larger lender, however, with a gold and silver pawn shop you can expect to receive your loan within minutes. Since this is a short-term loan you won’t have years or months to pay it back. The typical length of a loan from a pawn shop is 30 days. In addition to this 30 days borrowers might receive an additional 30 days as a grace period.
If borrowers need more time to pay back a loan in full, they can request an extension or renewal. Both requests will require you to pay the amount of interest that’s due, and will extend the length of the loan for ‘X’ number of days. If you’re simply unable to pay back the loan, or you let your due date expire, your collateral can be seized to pay for the loan amount due. Luckily, most pawn shops are very understanding and are willing to work with borrowers in order to receive payment in full.
