Getting a loan against gold jewellery in Durban couldn’t be easier, with LoanAgainst.
We make it quick and straightforward for anyone to unlock the value of an asset they own. This includes gold or diamond jewellery. There’s no waiting time, you don’t have to sell and the process is completely discreet.
In this article, we cover what to consider before choosing to get a loan against jewellery; what’s involved in an asset-based loan; and how to get a loan from LoanAgainst.
What to consider before pawning gold jewellery
Before choosing to get a loan against gold jewellery, it’s important to be aware of a few things.
Pawning jewellery vs. selling
It’s possible that selling jewellery will give you access to a larger cash amount than getting a loan.
However, it’s rare to get anything close to the full value of jewellery on secondhand markets – and a sale can take a long time to secure. Both online and off, secondhand markets are flooded with too many offers.
Obviously, selling also means parting permanently with the jewellery.
With an asset-based loan, the jewellery is returned to you after the loan and agreed interest have been repaid. It’s still possible to sell it later, or to keep it for passing on to family.
Avoiding scams
To protect yourself against possible scams, it’s best to deal only with reputable loan providers that are registered with the National Credit Regulator (NCR) and have physical branch locations.
Make sure that the loan provider you choose has a trustworthy-looking website, without lots of obvious errors. Appearances can be deceiving – but more often than not, initial instincts prove correct. If anything “feels off”, back away.
Getting a jewellery valuation
It’s a good idea to get an independent valuation of your gold jewellery.
There can be big differences between different kinds of valuations.
It’s important to know that the amount you’re offered as a loan against jewellery won’t be as high as a valuation made for insurance purposes. Instead, it will be a percentage of the appraised resale value of the jewellery.
Nonetheless, having an independent valuation can give you some idea of the value of pieces you own.
Among the factors that help determine the value of jewellery are its type, condition, materials (including precious metals and any precious or semi-precious stones) and age. Current market conditions are also relevant.
Keeping gold jewellery in good condition
Keeping jewellery in good condition is important for maintaining its value.
To polish gold jewellery, it’s best to use a standard gold polish and a soft chamois.
If it’s necessary to remove dirt, it’s generally safe to wash gold jewellery using a solution of tepid water with a few drops of mild dishwashing liquid. Don’t scrub though! Instead, wipe using a soft cloth.
Dry jewellery using a clean, soft towel or paper towel. Rather don’t leave it to air dry. This can leave water spots.
Ultrasonic cleaning machines are very effective for cleaning jewellery. However, they can sometimes loosen gemstones, especially with repeated use over time. So use these with care.
What an asset-based loan against jewellery involves
An asset-based loan is exactly what the term implies. You use an asset, such as jewellery of value, as the basis for getting a loan. The asset serves as collateral.
Because the loan is backed by an asset, there’s no need for:
- lengthy approval processes
- proof of employment or income
- credit checks.
Instead, the value of the loan depends 100% on the value of the asset that’s provided.
The loan provider keeps the asset in a secure location until the loan and agreed interest have been repaid, per the terms of the loan agreement.
Getting a loan against gold jewellery in Durban or surrounds
At LoanAgainst, we offer fast, secure loans against jewellery and other assets of value in Durban.
Apply in a few easy steps. Arrange to bring in the pieces for appraisal at our Durban branch. And if you’re satisfied with the loan amount and terms, we’ll transfer the funds into your account straight away.
LoanAgainst has multiple branches across South Africa, and our holding company is registered with the NCR. We don’t charge hidden fees or early settlement penalties, our interest rates are competitive and our processes are completely discreet.
For more information about a loan against gold jewellery in Durban (or one of our other branch locations across South Africa), simply complete and submit our online application form.
