Many people sell expensive rings or necklaces when they need funds in a hurry. There’s another way to tap into the value of your jewellery.
With LoanAgainst, you can get a loan against a diamond ring in Cape Town. This lets you access the value of the diamond ring without selling it.
Jump to a particular section of interest:
- a loan against a diamond ring: how it works
- applying for a loan against a diamond ring
- why not just sell the ring?
- what LoanAgainst offers: short-term loans against assets.
How a loan against a diamond ring works
A loan against a diamond ring is an asset-based loan. This type of secured short-term loan looks at the resale value of an asset, such as a diamond ring, and bases the loan amount on that. In short, the ring acts as collateral for the loan.
Unsecured loans, such as personal loans, use your earnings and credit score as collateral. This is why a traditional bank loan will affect your credit score and an asset-based loan will not.
You can even get a loan from LoanAgainst if you’re blacklisted.
How to get a loan against a diamond ring in Cape Town
To start the process of getting a loan against a diamond ring in Cape Town, get in touch with us or start the application online.
Based on the information you provide, we’ll offer you a provisional loan amount. You must then bring the diamond ring in for an independent appraisal, so we can confirm the loan offer.
If you’re happy to go ahead with the loan, we take temporary possession of the ring until the loan and the interest are repaid in full.
Documents you will need to get a loan against a diamond ring
You must provide the following documents to get a loan against a diamond ring in Cape Town:
- proof of ownership (preferably an invoice)
- a copy of your ID document
- proof of address.
An appraisal is helpful as long as it’s from a reputable appraiser. You don’t want your item to be undervalued. This can affect the outcome of the loan.
The benefits of getting an asset-based loan
Most people sell valuable pieces when they’re stuck for cash. However, this route has many downsides. For starters, a diamond ring can take a long time to sell, unless you’re willing to sell it for much less than it’s worth.
Once sold, an item of jewellery is usually lost forever, having been resold or repurposed by the buyer. This is hard to accept when the item has sentimental value.
With an asset-based loan, the diamond ring remains yours once the loan is repaid. The loan doesn’t affect your overall investment portfolio or credit score, so it’s a good way to get access to funds under the radar.
Why choose LoanAgainst for a loan against a diamond ring in Cape Town
LoanAgainst is an established institution with branches all over South Africa. These are some of the reasons you should choose us for your loan against a diamond ring in Cape Town:
- NCR compliant
- registered financial services provider
- established business
- competitive interest rates
- no hidden fees or early cancellation penalties
- fast and discreet loans.
Contact us for more information about getting a loan against a diamond ring in Cape Town or another of the cities where we operate, across South Africa. Alternatively, simply complete and submit our online application form today.
