Have you heard about pledge loans ? This type of loans exists since the fifteenth century and was initially offered by the Good Finance.
Fun fact, right? Nowadays it is offered by different financial entities although the savings banks are the ones that have a greater offer of these. You want to know more? Find out what a loan is!
What is a security loan?
Do you need money One way to achieve this is to offer the bank , box or pawnshop, a good or object “as a pledge.”
It is not exactly the same to apply for a loan to pawn a good. In both cases, something is left under guarantee, but when it comes to objects (such as appliances and jewelry), they do remain in the hands of the pawnshop until the debt is paid; In the case of larger goods, the good functions as a guarantee and a percentage of the value of this prior loan is lent to the client.
Benefits of pledge credits
This type of credit is useful when you need money borrowed at low interest. Pledge loans have lower interest, for example, than a personal loan.
Another advantage that these loans have is that it is easier for them to approve them, so if traditional banks do not want to lend you, the boxes that offer pledge loans will bet on you.
Tips to take advantage of your credit!
As with all the loans you have taken before, to take advantage of this you have to be punctual with the payments.
Punctuality will not only let you have a good credit history, it will also prevent you from paying more for your debt or putting the good at risk.