You may have heard that you can get a quick and easy loan at a pawn shop, but is that really reliable? How does that work, anyway? The pawn loan process is very different than your typical loan and allows you the means to get real cash fast whenever you need it. In this tight economy, more people are starting to realize the true benefits of pawn shop loans and have become more reliant on this method over other means. Learn more about how you can get a loan from a pawn shop in Orange County, easy!
How Pawn Loans Work
Instead of pulling up your private information and taking days or weeks for your loan request to process, pawn loans are a great way to get the cash you need in a matter of minutes through completely legitimate means. If you’re still feeling unsure about visiting your local pawn shop, take a moment to learn more about the process.
Choosing A Collateral Item
The reason why pawn loans go by much faster is that the amount you’re able to borrow is based on the value of the item you choose to use as your collateral loan rather than a thorough search of your credit history. People often bring in gold jewelry or bullion to get a fairly hefty loan. Other examples include:
- Rare collectibles
- Vintage or antique items
- Designer watches
- Designer handbags
- Power tools
- Musical instruments
- Sporting goods
- And more!
Establishing The Terms Of The Loan
Pawn loans are pretty simple when it comes to the overall terms. Traditional loans may have you reading through countless documents for every occurrence whereas many pawn shops go by a base guideline to determine the loan period and APR. If you want to ensure fair pawn loan terms, find a pawn shop that’s part of the California Pawnbroker Association (CAPA) and abides by their rules and regulations.
| Pawn Loan Example
Loan Period: 4 months Loan Amount: $2,500.00 APR: 24.12% Total Interest Paid: $201.00 |
What Happens If I Don’t Pay It?
If you’re unable to pay off your loan either by choice or a change in circumstances, there’s no risk at all to your credit score. The pawn shop will simply keep your collateral item to resell and that’s the end of that! If you’re lucky, your pawnbroker may be lenient enough to offer you some leeway through loan extensions upon request.
How Long Does It Take To Get A Pawn Loan?
Of course, people love taking out pawn loans because of how fast it is to get your money from the time you walk into the shop. Most of the time is spent appraising your item and agreeing on the price, then it’s as simple as taking your cash. The process can take literal minutes which is why it’s an ideal choice if you’re on a tight deadline. Getting a traditional loan anywhere else can take quite a few business days to show up in your bank account, and that’s not counting the application and approval time.
| Traditional Loan Timeframe | Pawn Loan Timeframe |
| Anywhere from 7-30 days | Same-day in a matter of minutes |
When You Should Take Out A Pawn Loan
As mentioned earlier, pawn loans are a great choice if you’re on a time-sensitive schedule. In fact, more people are going to pawn shops in response to inflation. But what are some more specific situations that could benefit from the fast and convenient nature of a pawn loan? Check out these examples:
- Receiving an unexpected bill that’s due before you can get paid
- Wanting to pay off debt without opening another credit line
- Needing extra funds to help with larger purchases
- Being faced with a costly medical emergency
- Finding a means of risk-free debt consolidation
- Looking to turn a profit through investments
Whatever your reason for taking out a loan, pawn shop loans are the best way to get a bit of extra cash fast with fewer repercussions. Some shops will even allow you to take out multiple loans at once on separate tickets to broaden the amount that you qualify for in case you need some extra help!
Do People Really Loan From Pawn Shops?
All of the benefits that come with getting a pawn loan sound too good to be true, so do people actually do it? Usually, when something appears to be too good without any clear disadvantages, it can cause anyone to be wary. However, there are plenty of people who rely on the convenience of pawn loans on a regular basis. You can read about people’s stories online to get a feel for their experiences yourself. Sometimes it takes the word of another person just like you to give something a chance, and you’ll find that there are many individuals in Orange County who have gone through the ropes countless times and have come out of it in a better situation and happier than before!
| ”Robert helped me out when I came to do a loan and needed some extra cash. He was willing to give me a little more than I was expecting. This is the place to come if you’re in a bind!”
– Tyler in regards to Westminster Mega Pawn |
The Best Place To Get A Pawn Loan In Orange County!
For fast and easy pawn loans in Orange County, swing by Westminster Mega Pawn! This shop has been serving the community for many years and has processed countless collateral loans for happy customers. You’ll find reasonable loan terms and a fair amount for your items. Call 714-893-0555 today for more information about how you can get cash fast!