An Interview with Daryl Self, Managing Director

Daryl Self, managing director of Loan Purchase took time out to answer a few questions on the services available from the up and coming Loan Purchase Company.

How did Loan Purchase come about?
I have always been interested in the money lending market and over the years have been looking at various concepts, after reading a number of articles about high street pawn brokers and cash converter type businesses thriving in this current climate, I realised that there was room for a niche company like Loan Purchase in the market.

What makes Loan Purchase a niche company and different from the high street pawn brokers and cash converter type businesses?
Loan Purchase differs from the high street pawnbrokers because we actually purchase the item and give the customer the option to buy back the item for a small fee after an agreed amount of time, this time period normally being a period of 28 days, but this can be extended up to six times.
This is similar to how a cash generator type business works, however, unlike them we will Loan Purchase against virtually any item from JCB’s, Boats, Cars, Watches, Paintings to containers, warehouse full of stock and even aeroplanes!

You say that your Loan Purchases are guaranteed?
Loan Purchase can guarantee that when someone comes to us with an item of value we will guarantee to Loan Purchase it.

If I had a warehouse containing 300 new fridge freezers, would you be able to Loan Purchase against them?
Definitely, the item has a value so we would Loan Purchase, the items would need to be placed in our storage until they are bought back or the buy back option has expired.

What about costs transporting goods to Loan Purchase?
Loan Purchase can cover the cots of transporting goods to Loan Purchase storage facilities, however, these costs will be deducted from the overall Loan Purchase amount.

On large items will you take a lien or a charge?
Loan Purchase is all about purchasing the item, giving the customer a buy back option. A lien or charge is not necessary as Loan Purchase will own the item until the buy back option is exercised.

Explain the Buy Back option?
The customer will pay a fee for the option to buy back at the purchase price; this option can be extended up to six times if required. A customer does not have to take the buy back option up if they don’t require it, meaning that their item will remain the property of Loan Purchase.

How does Loan Purchase value the item?
Loan Purchase will value the items at their trade market value, not on insurance valuations or not what the customer values the item at. Trade Market value is the price that can be achieved for that item at that particular time. Loan Purchase will then make an offer to Loan Purchase the item for between 30-50% of its trade market value.

What services do Loan Purchase offer aside from “Loan Purchase”?
Not everyone wants to Loan Purchase an item of value to them; therefore here at Loan Purchase we also offer Payday Loans and Cheque Cashing services.
Loan Purchase will never offer loans, such as Log Book Loans, as this is not what we are about, we will always purchase the item offering a buy back option.

Loan Purchase is predominately online, how will this work?
Being online offers our clients a certain amount of discretion, as not everybody will want to admit to using our services. Goods will be valued based on the information and a physical valuation of the item.
The majority of Loan Purchases can be done without a visit to our offices.

Finally, do you believe that there is a demand for Loan Purchase?
Definitely, particularly in today’s financial climate, where borrowing money from the high street banks is getting harder and harder.
Loan Purchase is offering a solution not only to Joe the self employed builder with his granddads old watch but to Mr X of a large wholesale company, with a warehouse full of stock to Loan Purchase against, or a top manager earning plenty of money in the peak with a boys toy that they can no longer afford.
Using Loan Purchase will not affect a customer’s credit rating nor will it matter if they have existing bad credit, the amount loan purchased is solely made up of the value of the items.