Times are hard for everyone in America sometimes, we all find ourselves in some sort of a financial conundrum every once in a while. When money is a little tight, there are several options you can explore to get yourself out of the situation. You can borrow some money from a close friend/relative or get a loan from your bank. But if you don’t want to borrow money from your friends/relatives and can’t get a loan from your bank, what will you do to get out of the tough spot?
Pawn Cash Loans
You can get a pawn loan from a local pawn shop if you have an item of value that can be used as collateral. The pawn shop will hold the item with your name on it and give you the cash you need with a due date that you have agreed upon. You will get your item back if you pay the loan plus the agreed interest by the set due dates. It’s a great way to raise some fast cash without risking your credit score, fast. If you are looking for pawn cash loans New York, there are lots of pawn shops that offer them, and getting one shouldn’t be a problem.
How Pawn Cash Loans Work
In New York, pawn loans usually have a 30-day grace period. For instance, if you receive $200 on 20th June, that loan is due on 20th July and has a one-month grace period until 19th August, which means that if you make two interest payments on 19th August, you are good to go. Your valuable item is returned to you. If not, the pawn shop retains the item and sells it; proceeds from the sale will be used to repay your loan plus interest. You can, however, get a pawn loan and repay it on the same day.
Interest Rates and Loan Requirements in New York
When it comes to pawn loans, interest rates vary from state to state as these loans are regulated by the state government. New York has one of the lowest pawn loan interest rates in the country at just 4 percent. In some states, pawn loan borrowers have to pay up to 25 percent interest to get the loan. All you need to get a pawn in New York is the valuable item that you want to use as collateral and a valid ID.
As unpredictable as life can be, pawn cash loans New York gives you an easy way out of a tricky financial situation. Unlike banks where loans are secured by credit, pawn loans are secured by valuable items. The amount of cash you can get depends on the value of your collateral, the items condition, and the broker’s ability to sell the item – not your credit score.