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As the recession has deepened, more people have found themselves turning to pawn shops for personal loans. About 30 million Americans get no credit check loans from pawn shops each year, and the average amount of individual loans is 80, according to the Pawnbrokers Association. Here instant personal loan online india 7 things to remember when considering a loan from a pawn shop.
Pawn shops makes personal loans to people who bring in items as collateral. Common items that are pawned are jewelry, TVs, cellphones, cameras, guns, musical insruments, etc. Borrowers receive a ticket that lists the items they pawned, amount of their loan, and when the money is due.
Pawnbrokers are required to give police a list of items that have been pawned to screen out stolen merchandise. Although pawn shops offer fast loans, they aren't cheap.
Pawn shop loans come with annual percentage rates that can be as high as 300 depending upon a state's usury laws.