Please Visit our New Pawnbroking web site

We have now launched a new pawnbroking website. Please visit us at www.pawnbroking.co.uk

Pawnbroking

Pawnbroking is a simple and fast way of raising cash against your own items of jewellery. Simply bring in your jewellery and a proof of address (ID) to one of our branches and walk out with an instant cash loan against your items. Our experienced valuation team will quickly assess the pieces and establish a loan price. The jewellery is then stored safe and secure until you come to collect (redeem) it. You have up to 7 months to come back and collect your jewellery and the interest is calculated each month. All loans can be renewed as often as you wish.

The Pawnbroking service we offer is fast, secure and confidential. We aim to offer the most cash for your jewellery and our interest rates are checked weekly to ensure you get more for your money.

How Pawnbroking Works
Like a bank a pawnbroker earns income on the interest that is charged on the loan secured by a pledged item. In order to accept goods into pawn a pawnbroker makes an on-the-spot valuation of the goods. The customer and the pawnbroker will agree the sum to be advanced and the pawnbroker presents the customer with a completed document (which is basically a version of the original agreement) called ‘Pre Contract Information’. The customer having decided to go ahead with the transaction then signs the actual agreement which is an A4 document with details of his rights and protection under the Consumer Credit Act 1974 and the terms and conditions of the loan. The customer also receives as part of the document itself a pawn-receipt for presentation when redeeming the goods.

The customer will receive 2 reminder letters from Herbert Brown as the contract is nearing completion. If the customer does not renew or collect (redeem) the goods, the pawnbroker may take steps to dispose of the goods. Having served the notice of his intention to sell the goods the pawnbroker must obtain the true market value on the date of sale which ensures a fair price is obtained for the customer. Where the proceeds of sale are greater than the amount due to the pawnbroker, the balance is due back to the customer. Contrary to popular myth, only where the loan was for less than £75 (and contract period six months) does the pawnbroker gain title to the goods where the customer has not repaid the loan. Again, contrary to what people may believe, the pawnbroker does not wish to gain title to property as he is in the business of lending money and he wishes far more to see the loan repaid without needing to resort to the sale of property. This way not only is the debt cleared in full but the customer is happy at the return of his goods and he has possession of them to return again at some stage in the future. This is proved by the very high volume of trade that is repeat transactions – nearly always with the same security and very often several times in a few months.

When an item is sold by a pawnbroker the contract allows the pawnbroker to collect the moneys from the sale. This will include the original amount of the loan, the interest accrued and any additional costs involved such as cleaning or repair work. The customer will be notified if there is any additional money after taking care of these debts (surplus) and will receive notice in writing to collect this surplus.