Short term lender borro is attracting mass appeal with its online loan service. But how does it work, and what does it offer you?
Have you seen those TV adverts from the people who want ‘change the word borrow for good’?
They’re for the lender borro, which is using the web to bring a special kind of short-term lending service to a wider audience.
The firm offers you loans of between £500 and £1,000,000, which are secured against valuables like watches, jewellery, art and other high value items.
At first glance, it looks like a traditional pawnbroking service – but once you get under the skin of the company, you realise it offers you a whole lot more.
If you have high value items and need money in a hurry, borro’s service could be just the thing for you – especially if you don’t like paying exorbitant interest rates.
We take a look at how it works, and answer some of the questions you may have about the service.
What can I borrow against?
As an online lender, borro will advance you money using your valuables as security.
Items that are particularly popular include jewellery, luxury watches, fine art and antiques and luxury or classic cars – but you can also borrow against gold, fine wine collections, yachts, loose diamonds, musical instruments and more.
How do I get my items valued?
Borro makes getting a valuation simple and easy.
All you have to do is logon to borro.com and fill in a quick loan application form, or you give borro a ring on its freephone number.
Next, you’ll normally send your items to borro using a 100% free and insured courier service. Borro’s valuation team will make you a loan offer as soon as your items arrive.
That said, if your valuables are worth over £1,000 you can make an appointment to meet borro’s valuation team face to face, and if you’re looking for a loan of over £30,000 you can arrange for a borro expert to come to your own home.
Can I trust borro’s valuations?
Certainly – and this is one of the company’s main advantages. Borro’s valuers know what they’re talking about and team members have impressive experience, including some with previous careers at auction houses like Bonhams, Sotheby’s and Christie’s.
In fact, independent research shows that borro will on average lend 100% more on watches and 115% more on diamond jewellery – and give you better interest rates to boot.
How quickly do I get the money?
If you accept the valuation, you can have the money in your account in 24 hours.
What about interest rates?
This is where borro has a serious advantage over unsecured short-term loans – instead of eye-watering rates, you will pay monthly interest of 4.99% for loans under £10,000, falling to just 2.99% for £100,000+ advances.
But are my valuables safe?
Smaller valuables are kept in time-locked vaults many metres underground, while cars are held in specialist luxury car storage. You even get a full valet when it’s time for your motor to be returned.
What about my credit rating?
It’s totally unaffected because you’ve secured the loan with your valuables. Borro doesn’t look at your credit rating.
I want to repay the loan. When can I have my valuables back?
You’ll normally get them back in 24 hours.
I can’t pay my loan. What happens?
If you can’t repay the loan, borro will get the best possible price for your item. Better still, if it sells for more than the amount you gained on the loan, borro will give you the surplus.
Is the service for me?
If you want a secured loan at competitive rates, it’s certainly worth giving borro a look. It’s quick, discreet and could well secure you a better deal on your valuables than a traditional pawnbroker.
Best of all it’s a discreet service – great for tiding you over a rocky patch until you can redeem your valuables.
Visit borro.com now »