When you need money fast, a short-term pawn loan solution may be a good option. A pawnbroker lends cash based on an item’s value, typically jewellery, electronics or tools. A pawn loan has a fixed term, usually three months. Its interest rate is usually split between a storage fee and an interest rate, which differs by lender.

To get a low-interest pawn loans, you bring an item to a pawnbroker, who appraises the item based on its condition, age and current market value. You then agree on a price to borrow against the asset. The pawnbroker holds the item as collateral until you come in to redeem the item or pay your outstanding loan amount and interest.

Trusted Tampa Pawn Shop: Why Reputation Matters Most

Pawn loans are easy bridge loans for many kinds of financial needs – from helping a small business cover payroll when an invoice is delayed, to covering funeral expenses before the insurance cheque arrives or paying for a family vacation. They have a shorter term than personal loans and are not reported to credit bureaus, so you don’t have to worry about impact on your credit score.

In addition, pawn shop loans offer lower interest rates than credit card rates. And there are no late payment fees, so you can avoid costly credit card charges. Plus, pawning is a safe, simple and confidential way to manage cashflow when you need funds quickly.