Pawn Loan vs Personal Loan in Malaysia

Having trouble to choose pawn loan or personal loan for your financing? We made a simple comparison below for your reference.

	Pawn Loan	Personal Loan
Requirements	Low. Just need to provide acceptable high-value item such as gold, jewelry, luxury watch, etc	High. Minimum salary required depends on the financial institution. Clean CCRIS / CTOS History Percentage of your Debt Service Ratio
Time to get the money	Immediate cash out at the counter.	Generally, more than 3 days or weeks to verify your identity, employment, the guarantor (If has), credit evaluation, loan approval, offer and disbursed.
Monthly Interest Rate	Maximum 2%	0.3 – 1.5%
What happens if unable to repays	Your pawn items will be auctioned and extra amount will be returned to you. No impact on your credit history / CCRIS	Penalty on the outstanding balance. May snowball the debt after a period. File a lawsuit File for Bankruptcy

If you’re looking for a pawn shop, don’t hesitate to find us – iPajak. We could offer you the high-value pawn loan. Check out the nearest branch now.

Disclosure

Maximum period for repayment is 6 months from the date of pawning. However, additional time can be requested if required by the customer.
There is no minimum repayment period (i.e. we do not offer loans that require repayment under 61 days).
Annual Percentage Rate (APR) is not more than 24%.
For example, RM 1,000.00 loan for 3 months will cost RM45 in interest based on monthly interest of 1.5%. Therefore, the amount required to redeem a pledged item is RM1,045.