One of the most common reasons for people to sell jewelry is that they need to raise money quickly and lenders are either not fast enough, or they will not lend to them. The problem with this is that many of the pieces that are sold hold sentimental value and many sellers end up regretting the decision. What if you didn’t have to sell your jewelry, but could give it to a jewelry buyer as collateral? This is a common enough transaction and so long as you find a reliable jewelry buyer it should be straightforward, and you will get the money that you need.
Cash loans for jewelry – how does it work?
The process is simple enough. The first thing you need to do is find a jewelry buyer who also offers cash loans to clients. You will have an initial conversation where you will tell them how much you need from them and what kind of jewels you plan to leave behind as collateral. The value of your jewels will determine how much money you can borrow. The jewelry buyer will then ask you to bring in your pieces after which he will value them, and based on their value he will extend you a loan.
Your jewelry will remain in the safe of the buyer until you are able to pay back your loan. You will have agreed on an interest rate, so the sooner you pay back the loan the better. You can pay your loan all at once, or you can pay it weekly or monthly – it is all up to you. Once you have paid off the whole amount your jewelry will be returned to you safe and sound.
What is the advantage of borrowing from a jewelry buyer?
- You can get the loan right away. Most jewelry buyers are liquid – they have cash available that they can lend, so you can get the amount that you need from them in a matter of hours, unlike banks which take days or even weeks to process your request.
- One of the most common reasons why so many people choose to borrow money from jewelry buyers is that it is a hassle free process – all you need to do is provide the jewels and fill in one or two forms. If you approach other lenders you will be required to endure lots of background checks, and you have to fill up lots of paperwork. Many will also ask you to bring someone to cosign your loan.
- The value of your jewels is not depleted at al by the transaction – once you have paid off the loan you will get them back and they will still be worth as much as they were when you used them as collateral.
Lastly, jewel buyers will not go after you in the event that you default on your loan – they will keep whatever collateral you had given them, so you don’t have to worry about debt collectors pestering you endlessly.