Car Pawn: Lending In The Auto Pawnshop
The loan term or car pledge (จำนำรถด่วน which is the term in Thai), i.e., the average time frame for repaying the loan at the car pawnshop, is usually three months. However, this can be extended by the car pawnshop or by paying new fees as a gesture of goodwill. If you have not paid your loan, including all fees and interest, by then, the car pawnshop can generally auction your car. So, you may eventually find your vehicle in a car auction portal and have made significant losses in the end.
At the car pawnshop auction, the vehicle deposited as a car deposit is offered an auction. To obtain the sum of the loan granted. If the auction price at the car pawnshop auction is higher than the car pawn loan, you will receive the difference minus the publication and auction costs from the car rental company. Another disadvantage for you arises because you usually cannot simply borrow money from your car at the car rental shop and continue driving. Usually, you will receive a pawn ticket for your vehicle as soon as you have agreed to a car pawnshop at a car pawnshop.
The car is then taken into custody by the car pawnshop, for example, on a monitored site, in a warehouse, or an underground car park, and is thus protected from unauthorized access. You will only receive a fraction of the actual car value for the car pawnshop, but from this point on, you will no longer have any use of your vehicle, as it will be kept in the car pawn shop. The only advantage of a car mortgage loan seems to be your loan’s immediate and unbureaucratic payment.
However, this is usually only done in cash because otherwise, the car pawnshop cannot influence whether you have immediate access to the money. However, keep in mind that the benefit of instant cash availability from a car pawn shop can quickly turn into a disadvantage. Because if you carry a large amount of cash with you, you expose yourself to an incalculable risk of theft, if not even a robbery, as soon as you leave the car pawn shop. There are, therefore, significantly more disadvantages to raising money through a car pawn shop than you might have initially thought.