Luxury pawnbroking is essentially lending money against the value of a high-value asset, such as a luxury watch, jewellery or a vehicle.
Luxury pawnbroking in Cape Town lets you access the value of your assets without having to sell them and break up your investment portfolio.
Jump to section:
- what is a luxury pawnbroking?
- luxury pawnbroking in Cape Town
- the benefits of high-end pawnbroking
- when to consider pawning a luxury item
- what types of luxury items can be pawned
- worldwide increases in luxury pawnbroking
- how to get a loan against a luxury item in Cape Town.
What is a luxury pawnbroking?
Luxury pawnbroking uses a personal item of value to secure a short-term loan. The amount you can borrow is based on the current market value of the asset.
When you take out a loan against a personal item of value, you temporarily surrender the asset to the lender, who stores it securely.
Once the loan is repaid, the asset is returned to you and your ownership is not affected. This lets you leverage the value of an asset without selling it.
Luxury pawnbroking in Cape Town
We are South Africa’s most trust asset-based loan provider. We’ve been a financial services provider for a decade and have offices in South Africa, the UK and Botswana.
Lamna offers luxury pawnbroking in Cape Town. Our office is conveniently located in the CBD on Strand Street.
Need a fast and discreet short-term loan? Apply online for an asset-based loan with Lamna.
The benefits of high-end pawnbroking
High-end pawnbroking offers many advantages compared to traditional bank loans. The most important one is discretion.
Our loans don’t require us to examine your credit history or current income. This allows our high-net-worth clients to manage their lending more closely without interference.
Other benefits include:
- competitive interest rates
- flexible repayment terms
- limited paperwork
- no credit checks
- funds within 24 hours
- asset insured and securely stored
- low-risk.
When to consider pawning a luxury item
Pawnbroking is a type of lending that allows you to access the wealth contained in your assets without having to sell them.
These asset-based loans are short-term. They need to be paid back within a few months, so they work best when covering a temporary cash shortage.
You should only consider pawning a luxury item if you know you’ll have the funds to repay the loan within a relatively short time frame.
What types of luxury items can be pawned
People pawn all kinds of items at their corner pawn shop, but luxury pawnbroking focuses on high-end luxury items with significant value.
At Lamna, we have approved asset-based loans ranging from a few thousand rands up to R10 million and more. We offer loans against the following high-value items:
- cars, trucks and motorbikes
- yachts, boats and planes
- luxury watches
- jewellery and gold
- fine art and antiques
- luxury handbags
- items from high-end luxury brands.
Worldwide increases in luxury pawnbroking
Pawnbroking is a concept that has been around since ancient times. Despite some misconceptions about pawnbroking, it remains a popular and safe way to borrow money.
The pawnbroking industry has seen excellent growth in recent years. Many people prefer this type of asset-based lending to traditional bank loans because the process is more discreet, simpler and faster.
In 2022, the global Pawn Shop Market size was valued at over US$38 billion. The compound annual growth rate (CAGR) is expected to be 3.02% from 2023 to 2030. This should mean the global value will reach over US$47 billion by 2030.
Cost-of-living crises around the world have led to a big jump in lending. For many people who aren’t employed full time or don’t have a credit history, pawning an item of value is the only way to borrow money.
How to get a loan against a luxury item in Cape Town
The process to get a loan against a luxury item in Cape Town is simple and fast. Send us information about your asset and we’ll provide a provisional loan offer.
Once we assess the asset in person, we’ll be able to confirm this amount. You then provide ID, proof of ownership and proof of residence, and we can go ahead with the loan agreement.
Once everything is signed off, the funds are transferred directly into your bank account within 24 hours.
Call or WhatsApp Lamna to find out more about luxury pawnbroking in Cape Town or apply online now to get a fast and discreet cash loan.
ILLUSTRATIVE EXAMPLE
Client borrows R10,000 for 90 days.
Loan Amount | Repayment Period | Monthly Interest | Total Cost of Loan | Initiation Fee | Monthly Fee | APR |
|---|---|---|---|---|---|---|
R10 000 | 3 months | R500.00 | R2 914.50 | R1 207.50 | R569.00 | 60% |
Fixed rates range from 36% to 60% APR and payment terms range from a minimum of 3 months to a maximum of 24 months. Apart from the initiation and monthly fees shown in the table, the only additional fee is credit life insurance if the borrower does not have this already.
Related posts
2025 Warning Against Pawn-and-Still-Drive-It Schemes
A warning against pawn and still drive it schemes in South Africa, supported by a recent article from The Daily Maverick.
Mashonisa Loans in South Africa
We look at the downsides of mashonisa loans in South Africa compared to more legitimate alternative loan types, such as secured personal loans.
Cash Loans Near Me: From R20K to R10 Million
If you’ve been searching for the best “cash loans near me”, you’ve come to the right place to get a fast, discreet, asset-backed loan with Lamna.