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For people looking for a quick, easy infusion of cash, loans from pawnshops can be a viable option. But not everyone knows exactly how pawnshop loans work, and there are plenty of misconceptions floating around regarding how to get and repay loans from pawnbrokers. Gold & Silver Pawn has served the Hinesville, GA, area for more than 30 years, and with the same family running the operation over three generations, they’re especially familiar with the process.

Below, they explain how the process of pawnshop loans works:

  • pawnbrokerCollateral-Based Loans: To get a loan from a pawnshop, individuals need to put up a personal valuable as collateral. This could be jewelry, gold, electronics, or other items with clear cash value. The amount the pawnshop is willing to loan usually depends on the value of the collateral item and, to a lesser extent, how much the client is looking to borrow. 
  • Repay Before Deadline: Once the collateral is put up and a loan amount is agreed upon, the pawnshop will give the borrower a set amount of time to repay the loan. This period usually ranges from around a month to four months. If the loanee does not repay the loan over that time, the pawnshop keeps the collateral. As long as the individual can repay the loan, however, their personal item will be returned to them, no questions asked. This straightforward process often makes cash loans from pawnshops easier than the paperwork and credit checks required to acquire bank loans. 
  • Understanding Fees & Interest: Although pawnshops sometimes get a bad rap for charging exorbitant interest rates and other fees on their loans, the industry is actually highly monitored, with state-regulated maximums on these charges. In general, the total monthly fees can vary between around 10-25%. 

Gold & Silver Pawn has been the go-to pawnbroker for greater Hinesville for over three decades. The locally owned and operated business offers free appraisals, fair prices, and unusually long loan repayment periods for the industry. Visit the pawnshop's website to learn more about their range of services, or call them directly at (912) 876-6580. 

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