Are car pawn shops gold mines?
…for the owner?
I looked into it out of boredom.
In some cases, interest rates of 10% per month are charged, which is insanely high. Of course, the costs for storage, the appraiser, and the office and staff are high, but they often earn several thousand per car.
No legal deposit lender in Germany takes 10 percent interest.
Of course not, the interest rate is usually 34% a month. In addition, there is a standing fee, a processing fee and costs for the reviewer – then accumulates to 9-10%. On the paper, however, this is just 3-4% plus fees.