If you’re strapped for cash, you may be able to sell assets like valuable items of jewellery for quick money. Generally you can get up to 90 percent of the value of an item of jewellery by selling it to a dealer, on auction or to a private buyer.
However, parting with or pawning a beloved piece isn’t the only option. There are also ways you can leverage the value of jewellery to secure funds, without having to sell it.
The option of selling
If you need to free up funds, you can sell your jewellery for cash to a pawn shop, an antiques dealer or a private buyer. You may also be able to sell jewellery on auction or via an internet platform.
If you no longer wear an item of jewellery and it isn’t of high sentimental value to you, selling may be your best bet. Before selling, consider getting a professional appraisal so that you know the true value of your jewellery. This is an important first step for ensuring that you secure a fair price for the item.
Online auction
The advantage of auctioning your jewellery online, via a website such as Gumtree or eBay, is that you can reach a very large audience of potential buyers. Although a sale isn’t guaranteed with an online auction, the time, energy, and cost required is minimal.
Jewellery broker
A broker can assist you with selling your jewellery at auction or to a reputable dealer. However, the broker will usually take between 10 and 50 percent of the sale price as a fee.
Second-hand dealer
Pawn shops, second-hand dealers and antique shops are a good option if you’re looking for the quickest way to sell your jewellery for cash. However, keep in mind that dealers have to cover their costs and overheads, so you’ll get wholesale price or less for your item.
Some dealers will offer you 90 percent of your jewellery’s market value, while other may go as low as a third of the item’s true value. Accordingly, it pays to consult a few dealers before you sell.
Classifieds
Finding a private buyer for your jewellery through newspaper or online classified advertisements, or on a public forum like Facebook, is one of the best ways to get the most money for your jewellery. The advantage is that you can set your own price. However, selling this way can be a slow process and there’s no guarantee of a sale.
Jewellery as collateral for a loan
If you need money now but don’t want to sell your jewellery, you can use it as collateral to secure a short-term, asset-based loan. Once you’ve repaid the loan with interest, your jewellery will be returned to you.
For more information about using your jewellery to get a loan, contact us on 086 111 2866 – or simply complete and submit our online application form.
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 options range from minimum 3 to maximum 24 months. Apart from the initiation and monthly fees shown below, the only additional fee is credit life insurance if the borrower does not have this already.