THOMSONS LOANS
The main consideration is that you are leaving your item as security for a loan. It must therefore have a suitable guaranteed resale value against which we can lend !
You can borrow up to £25,000 on any one contract. Our low operating costs mean we have a minimum loan available of as low as £10. As a guideline you will generally be able to borrow up to 2/3rds of the secondhand realisable value of your items which for nearly all items will obviously be much less than the new price.
Pawnbroking contracts are for a period of 6 months and are regulated by the Consumer Credit Act 1974. You bring your goods to us and we agree a loan amount. Interest on the loan then accumulates each month or part of a month that the contract runs. Interest is only payable at the time the contract is settled. We retain your goods until the contract is settled.
What Happens If I Don't Settle My Contract ?
The 1998 amendments to the CCA allow that, if the contract is not redeemed and the loan is £75 or under, then the goods become our property. Where the loan is more than £75 we must dispose of the items on your behalf for a fair market value and advise you of the results. If the amount realised (after deducting sale costs) is more than the amount you owe at the date of sale then you can claim the surplus.
Last Updated 18 May 2000