Posts Tagged ‘Suttons and Robertsons’

Affluent Turn To Pawnbrokers For Loans

Monday, April 23rd, 2012

From FT Dot Com

By John Murray Brown

The pawnbroking industry is adapting to satisfy demand from more affluent clientele seeking loans secured against works of art, designer clothing, luxury cars and fine wines.

The National Pawnbroking Association, representing 90 per cent of UK pawn shops, estimates the total market grew by 15 per cent last year, with lending to the middle classes accounting for half that growth.

Ray Perry, NPA chief executive, said pawnbroking was no longer a service just for the poor, pointing out that chains had a presence on high streets in many upmarket towns.

“The typical reason given is the customer has fallen behind with the mortgage, or the school fees are due, or is facing a sudden expense like emergency dentistry,” said Michael Ayres, manager of Suttons & Robertsons, which last year opened a branch on Fleet Street in central London.

There are also online providers for those who want more discretion.

“The middle classes don’t like shops [as you could] find yourself standing behind a guy in a hoodie trying to pawn his Nokia for £17,” said Ian Williams, an insolvency lawyer.

Pawnbroker Online, a specialist web-based broker boasts it is “the only pawnbroker that accepts designer clothes and accessories too”.

In a sign of the discretion demanded by its more monied clientele, it promises to “respect your privacy and confidentiality and keep your personal business silent. You will receive no sales calls, no welcome packs and no branded goods from us. You drive the process”.

Copyright The Financial Times Limited 2012.

Britons Turning to Pawnbrokers for Short-Term Loans

Monday, October 31st, 2011

From Money-Market UK Dot Com

London’s oldest pawnbroker Suttons and Robertsons reports brisk business.

With Banks closing their doors to many customers wishing to borrow money, a growing number is turning to pawnbrokers for help with cash flow needs. And as operators report a huge upsurge in business, customers find that borrowing against valuables is quick and cost-effective short-term when compared to other forms of lending, particularly unauthorised overdrafts.

Suttons and Robertsons, London’s oldest pawnbroker reports brisk, repeat business with many of its customers returning and borrowing cash of around £2,000 on average against gold jewellery, diamonds, antiques and even works of art.

In its South Kensington store, the average loan is £6,000 and the largest amount the group has loaned to date is £250,000 but, has the funds to lend up to £1m should the need arise. It has just opened a branch in Fleet Street offering quick and discreet service to the City – so there is every chance a £1m-pound customer may walk through the door!

Director of Suttons and Robertsons Jim Tannahill has worked for the firm for near 30 years: “In the early 80’s pawnbroking saw a resurgence in popularity; but it was the start of the credit crunch around six years ago when business really started to boom. We suddenly started to see lots more Rolex and other luxury watches, large diamonds and items that were directly the trappings of wealth from years of prosperity. A typical customer was not someone to be regarded as being in financial difficulty”.

Most were simply used to a certain lifestyle and using our services to cover holidays, school fees, and even business deals, because it was becoming much easier to borrow from us than from the more traditional high street lenders.”

And growth in the industry shows no sign of slowing. But using a Pawnbroker does come with some caveats: “We are a short-term lending option” says Tannahill.

“Anyone looking for a loan term of over six months really should explore other options before using a pawnbroker. They should also be sure they will have the means to repay the loan or they will lose their goods” he adds.

To borrow from a pawnbroker you need two forms of ID. If happy with the offer, you can usually walk away with your money in 15 minutes. All pawnbrokers are required to observe the Consumer Credit Act, and there is a legal obligation for the Pawnbroker to write to anyone who defaults on their loan of their intention to sell the goods, giving them 14 days’ notice. “At Suttons and Robertsons we have a much greater than average redemption rate with only around 10-15% of customers defaulting on their loans,” says Tannahill. “People who do redeem their valued items, quite often bring the same things back in the next time they need to borrow money. We are seeing a lot of repeat customers making us more like a bank than ever before…I guess it’s just a sign of the times and we are glad to be able to offer a valued service to our customers during periods of financial difficulty,” added Tannahill.

Suttons and Robertsons has branches in four London locations – Victoria Street, Edgware Road, South Kensington’s Brompton Road, and Fleet Street. For further information visit www.suttonsandrobertsons.com

The Oldest Pawnshop in the UK

Friday, June 12th, 2009

Here is a rare glimpse into a place most will never see. A Pawnbroker’s Vault:

I must visit this pawn shop the next time I’m in the UK.

 

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Pawnonomics by Stephen Krupnik tells the infamous history of the pawn broking industry and shines a bright light into
its darkest corners, while also pointing out some pinnacles along the way.