How is the pawn shop loan amount calculated?


Posted November 27, 2021 by samnick

Knowing what is worth pawning can help you determine which of your personal items are valuable, if you are in need of a short-term loan or cash strapped.

 
Pawn shops deal in a wide variety of used items, and pawn brokers have to consider a variety of factors when calculating value. The appraisal takes into consideration the condition of the item, and sometimes even the situation of the seller.

Although out-house and in-house experts are frequently consulted, pawnbrokers typically depend upon online resources like “blue book” databases for a current idea of general market value for most items.

Knowing what is worth pawning can help you determine which of your personal items are valuable, if you are in need of a short-term loan or cash strapped.

Simple Repayment Calculation:
The first week of your loan is determined as a one week flat fee, this is done mostly to keep the transaction fair and cover costs. Then after seven days, the service charge is calculated on a daily basis. We don’t expect to have you sit in front and calculate the loan daily and figure it all out, so if you are curious about what your pawn loan will be on a given day, you can call us and we will be happy to tell you.

But let’s say you want to figure it out. The pawn loan duration is about 86 days based on the first day your pawn loan being signed. The service charge is calculated 8 weeks after that day. After the 8 weeks, Sunny Gold Buyer has a 30 day grace period at no additional cost. Your pawn loan amount will not increase while it’s in the grace period.

When you address your pawn loan, you have two options – redeem or renew.

Redeeming your Pawn-
Let’s come to redeeming your pawn. Redeeming means you have paid your loan back to get your stuff back. This is a straight forward process. Your pawn loan is based on the number of days since the loan was signed and the amount of your loan. The service charge is additional on the loan amount. When you do full amount payment, sign your copy of the receipt, then your product is returned to you.

Renewing your Pawn-
Renewing your pawned item is simply just paying the service charge. It is a great option for those who cannot redeem their pawn loan, but need a little extra time. Renewing starts when the pawn loan is over, and gives you up to another 86 days to buyback. Pawn loan charges on service are reduced to zero and is started calculating over again based on the duration of pawn being active.

There is another option for renewing. You can reduce the principle and pay more than the current service charge. For example, if your current service charge is $20, and you paid $30, then the extra $10 will reduce the initial loan. This enables you to pay a pawn loan faster so that you won’t have to redeem or renew later.

Hopefully, this helped you make the pawn loan amount a bit more clear. If you have any questions, comment below don’t hesitate to ask them.
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Issued By Sunny Gold Buyers
Phone 7186586000
Business Address 179-36 Hillside Avenue Queens Jamaica NY-11432
Country United States
Categories Business , Finance
Tags buy gold and silver coins nyc , cash for gold nyc , coin buyers near me , gold buyer new york , new york gold company , sell gold for cash usa , usa gold buyer , we buy gold
Last Updated November 27, 2021