If you’ve recently been laid off or have run into some unexpected bills that you can’t afford to cover without assistance, collateral loans can be a saving grace. Their structure allows you to get the cash you need quickly without a lengthy vetting process or having to part with items you treasure. Jewelry collateral loans give you the best of both worlds — keep your luxury goods and still get the money you need — which is why they’re a popular choice for residents throughout Orange County. If you need a loan, here are a few key reasons why using your jewelry as collateral may be the best choice.
1. No effect on credit history
The number one concern for most people in need of financial assistance is the negative effect it will have on their credit score. With a collateral loan, there’s no effect on your credit whatsoever, regardless of whether you pay back the loan or not. If you fail to pay back your loan within the time allotted, we merely keep your jewelry collateral as repayment for the loan. This means no longstanding debt, continuing interest, or harmful credit effects.
2. No financial information is required
Similarly, good credit isn’t required to qualify for a collateral loan. When you apply for a traditional loan through your bank or other financial institution, there will likely be a lengthy vetting process that requires you to submit several financial documents showing that you’re in good financial standing. Not only is this inconvenient and time-consuming, but you’re also at risk of being rejected for the loan you need if you have bad credit or no credit. With a jewelry collateral loan from Watch & Wares, no financial information is required. We don’t run a credit check, and your credit history doesn’t matter. If you have fine jewelry, then you automatically qualify for a collateral loan equaling the appraised amount of your luxury goods.
3. Lower interest rates
One of the most significant benefits of a jewelry collateral loan is the low-interest rates compared to traditional lending. Since collateral loans are less risky than unsecured loans, they often have a much lower APR. This can drastically reduce the total amount owed, making it easier for you to pay off the full loan amount within the designated time frame. At Watch & Wares, all of our collateral loan interest rates are state-regulated so you don’t have to worry about unfair or inflated rates.
4. Generous loan terms
Watch & Wares is proud to offer generous collateral loan terms that maximize your chances of repaying your loan successfully and redeeming your gold or diamond jewelry. All of our loans are four-month terms with a ten-day grace period. If you need more than the provided four months to repay your loan, you can renew the collateral loan by paying back the full interest owed. If you fail to pay back your loan in full or renew it in the time given, we will keep your collateral as repayment. Our loan terms were created to help you repay the loan and keep your valuable jewelry, but collateral loans are the ideal option even in the worst-case scenario of failing to repay.
If you have valuable gold or diamond jewelry and you need some extra cash, visit Watch & Wares in Tustin. Our jewelry collateral loans are secured and trustworthy, with state-regulated interest rates and consistently 5-star customer service. We’ve been Orange County’s most trusted gold and jewelry buyers for more than 30 years. To schedule a jewelry collateral loan appointment and receive a free appraisal, give us a call today at (714) 731-9600.