• When you click on links to various merchants on this site and make a purchase, this can result in this site earning a commission. Affiliate programs and affiliations include, but are not limited to, the eBay Partner Network.

Archived

This topic is now archived and is closed to further replies.

I'm playing with the idea of becoming a comic pawn broker.

Started by shadroch,

108 posts in this topic

shadroch

shadroch

Posted
Posted

Both here and on eBay, I keep seeing people saying they hate to sell XXXx book but they are in need of cash- job loss, car breaks down, whatever.

So my thoughts are to open a business where the owner of the book and myself can come to an agreement on an amount to loaned on a book or books.

Buyer sends the books, I send a check or make a paypal payment and charge 2% a month interest for up to a year. After a year, he repays the original amount plus interest due and a shipping/handling fee and reclaims his book or the account is closed and the book is foreclosed on.

Books would be fully insured while in my possesion and the contracts would be drawn up to be fully legal and binding on both parties.

I don't see this as being a huge business, but with bank CDs paying under 1% a year, I think the niche might be big enough to make it profitable. Preliminary research shows very little startup cost and the insurance costs would depend entirely on the books in inventory, changing quarterly or even more frequently.

Surprisingly, this type of operation seems easier to setup as a mail operation than in person to person dealings in a storefront.

One thing I have settled on is all mailings go thru the US Postal Service so both parties are fully protected against any sort of mail fraud..

Link to comment
Share on other sites
Jiminy_Cricket-migration

Jiminy_Cricket-migration

Posted
Posted
Both here and on eBay, I keep seeing people saying they hate to sell XXXx book but they are in need of cash- job loss, car breaks down, whatever.

So my thoughts are to open a business where the owner of the book and myself can come to an agreement on an amount to loaned on a book or books.

Buyer sends the books, I send a check or make a paypal payment and charge 2% a month interest for up to a year. After a year, he repays the original amount plus interest due and a shipping/handling fee and reclaims his book or the account is closed and the book is foreclosed on.

Books would be fully insured while in my possesion and the contracts would be drawn up to be fully legal and binding on both parties.

I don't see this as being a huge business, but with bank CDs paying under 1% a year, I think the niche might be big enough to make it profitable. Preliminary research shows very little startup cost and the insurance costs would depend entirely on the books in inventory, changing quarterly or even more frequently.

Surprisingly, this type of operation seems easier to setup as a mail operation l than in person to person dealings in a storefront.

One thing I have settled on is all mailings go thru the US Postal Service so both parties are fully protected against any sort of mail fraud..

 

How much does the job pay?

Link to comment
Share on other sites
Logan510

Logan510

Posted
Posted
Comicbook loan shark....I think you would have the market cornered hm

 

 

Loan sharks charge 3%.

I'm at 2%. Less than a payday loan store.

 

 

Loan sharks only charge 3%? I honestly thought it would be much higher than that (shrug)

Link to comment
Share on other sites
shadroch

shadroch

Posted
  • Author
Posted
Can I be the muscle? :sumo:

 

No muscle needed. If the person doesn't pay up, they lose the book.

WIn-WIN for me. Either I get a 24% ROI or I get a book at a huge discount to FMV.

Upside for the client is he gets cash in a couple of days and a chance to keep his books.

Link to comment
Share on other sites
Jiminy_Cricket-migration

Jiminy_Cricket-migration

Posted
Posted
Comicbook loan shark....I think you would have the market cornered hm

 

 

Loan sharks charge 3%.

I'm at 2%. Less than a payday loan store.

 

 

Loan sharks only charge 3%? I honestly thought it would be much higher than that (shrug)

 

Yearly, it's in the thousands %. It's so high, I honestly can't do the math. Fortunately (unfortunately?) one can only roll the vig over for 4-7 weeks before the contract is "terminated".

Link to comment
Share on other sites
Beige

Beige

Posted
Posted

YO! Biatch - you got my man Shadrochs money.

Franklins or the Spidey gets it mo-fo.

Word!

132278.png.904b1644796571ae2ee00294212be942.png

Link to comment
Share on other sites
shadroch

shadroch

Posted
  • Author
Posted
Comicbook loan shark....I think you would have the market cornered hm

 

 

Loan sharks charge 3%.

I'm at 2%. Less than a payday loan store.

 

 

Loan sharks only charge 3%? I honestly thought it would be much higher than that (shrug)

 

Yearly, it's in the thousands %. It's so high, I honestly can't do the math. Fortunately (unfortunately?) one can only roll the vig over for 4-7 weeks before the contract is "terminated".

 

 

 

I mis-spoke. A loan shark is at 3%, but its a week.

 

An example of how a loan shark works- a loanshark will give you $1,000.

For that , he gets a $30 a week vig. Thats 3% a week.

For all intents and purposes, he doesn't ever want you to pay back the $1,000. He'd much rather have you on the hook for the $30 a week. If you are a steady payer, he might even give you another $1,000 and then cut your vig to $50 a week.

In my neighborhood, there are many people still paying $50 a week for money they borrowed a decade or more ago. Loan sharks don't take partial payments and the chances of these guys coming up with $2,000 at one time are pretty slim.

Loanshark=3% a week. Kindly comic pawn guy=2% a month.

Link to comment
Share on other sites
Jiminy_Cricket-migration

Jiminy_Cricket-migration

Posted
Posted
Comicbook loan shark....I think you would have the market cornered hm

 

 

Loan sharks charge 3%.

I'm at 2%. Less than a payday loan store.

 

 

Loan sharks only charge 3%? I honestly thought it would be much higher than that (shrug)

 

Yearly, it's in the thousands %. It's so high, I honestly can't do the math. Fortunately (unfortunately?) one can only roll the vig over for 4-7 weeks before the contract is "terminated".

 

 

 

I mis-spoke. A loan shark is at 3%, but its a week.

 

An example of how a loan shark works- a loanshark will give you $1,000.

For that , he gets a $30 a week vig. Thats 3% a week.

For all intents and purposes, he doesn't ever want you to pay back the $1,000. He'd much rather have you on the hook for the $30 a week. If you are a steady payer, he might even give you another $1,000 and then cut your vig to $50 a week.

In my neighborhood, there are many people still paying $50 a week for money they borrowed a decade or more ago. Loan sharks don't take partial payments and the chances of these guys coming up with $2,000 at one time are pretty slim.

Loanshark=3% a week. Kindly comic pawn guy=2% a month.

 

Is that the Sesame Street loan shark?

 

20 % a week is norm.

 

$10 K > $12 K (week 1) don't even have the vig?

$12 K > $14400 (week 2) no vig again?

$14400 > $17280 (week 3) roll it over again?

$17280 > $20736 (week 4) now you owe double the amount that you needed to borrow in the first place. If you couldn't get $10 K to begin with, how do you expect to get double that only 4 weeks later?

 

$20736 > $24883 (week 5) still don't have the vig? now you run. contract terminated.

 

The % for a whole year is mind boggling.

 

Link to comment
Share on other sites
shadroch

shadroch

Posted
  • Author
Posted
Comicbook loan shark....I think you would have the market cornered hm

 

 

Loan sharks charge 3%.

I'm at 2%. Less than a payday loan store.

 

 

Loan sharks only charge 3%? I honestly thought it would be much higher than that (shrug)

 

Yearly, it's in the thousands %. It's so high, I honestly can't do the math. Fortunately (unfortunately?) one can only roll the vig over for 4-7 weeks before the contract is "terminated".

 

 

 

 

I mis-spoke. A loan shark is at 3%, but its a week.

 

An example of how a loan shark works- a loanshark will give you $1,000.

For that , he gets a $30 a week vig. Thats 3% a week.

For all intents and purposes, he doesn't ever want you to pay back the $1,000. He'd much rather have you on the hook for the $30 a week. If you are a steady payer, he might even give you another $1,000 and then cut your vig to $50 a week.

In my neighborhood, there are many people still paying $50 a week for money they borrowed a decade or more ago. Loan sharks don't take partial payments and the chances of these guys coming up with $2,000 at one time are pretty slim.

Loanshark=3% a week. Kindly comic pawn guy=2% a month.

 

Is that the Sesame Street loan shark?

 

20 % a week is norm.

 

$10 K > $12 K (week 1) don't even have the vig?

$12 K > $14400 (week 2) no vig again?

$14400 > $17280 (week 3) roll it over again?

$17280 > $20736 (week 4) now you owe double the amount that you needed to borrow in the first place. If you couldn't get $10 K to begin with, how do you expect to get double that only 4 weeks later?

 

$20736 > $24883 (week 5) still don't have the vig? now you run. contract terminated.

 

The % for a whole year is mind boggling.

 

 

You watch too much television. The idea is to make money, not have the person who owes you money run or get killed.

I know plenty of people with "money out on the streets" as they say, and a person who can't pay his vig does nobody any good.

Why would anyone even loan the person 10K if they knew all along they'd never see the money again. Think about it.

 

Link to comment
Share on other sites
Jiminy_Cricket-migration

Jiminy_Cricket-migration

Posted
Posted
Comicbook loan shark....I think you would have the market cornered hm

 

 

Loan sharks charge 3%.

I'm at 2%. Less than a payday loan store.

 

 

Loan sharks only charge 3%? I honestly thought it would be much higher than that (shrug)

 

Yearly, it's in the thousands %. It's so high, I honestly can't do the math. Fortunately (unfortunately?) one can only roll the vig over for 4-7 weeks before the contract is "terminated".

 

 

 

 

I mis-spoke. A loan shark is at 3%, but its a week.

 

An example of how a loan shark works- a loanshark will give you $1,000.

For that , he gets a $30 a week vig. Thats 3% a week.

For all intents and purposes, he doesn't ever want you to pay back the $1,000. He'd much rather have you on the hook for the $30 a week. If you are a steady payer, he might even give you another $1,000 and then cut your vig to $50 a week.

In my neighborhood, there are many people still paying $50 a week for money they borrowed a decade or more ago. Loan sharks don't take partial payments and the chances of these guys coming up with $2,000 at one time are pretty slim.

Loanshark=3% a week. Kindly comic pawn guy=2% a month.

 

Is that the Sesame Street loan shark?

 

20 % a week is norm.

 

$10 K > $12 K (week 1) don't even have the vig?

$12 K > $14400 (week 2) no vig again?

$14400 > $17280 (week 3) roll it over again?

$17280 > $20736 (week 4) now you owe double the amount that you needed to borrow in the first place. If you couldn't get $10 K to begin with, how do you expect to get double that only 4 weeks later?

 

$20736 > $24883 (week 5) still don't have the vig? now you run. contract terminated.

 

The % for a whole year is mind boggling.

 

 

You watch too much television. The idea is to make money, not have the person who owes you money run or get killed.

I know plenty of people with "money out on the streets" as they say, and a person who can't pay his vig does nobody any good.

Why would anyone even loan the person 10K if they knew all along they'd never see the money again. think about it.

 

I don't live in Mayberry. :baiting:

 

People borrow large amounts of seed money all the time, for nefarious ventures that don't always pan out. I could tell you some stuff, but I won't. :whistle:

Link to comment
Share on other sites
Go to topic listing