Corona loans for pawned luxury cars
Aston Martin, Ferrari, Porsche: entrepreneurs use Corona loans to buy back pawned luxury cars. This is reported by the operators of Auto-Pfandhaus.ch.
Many entrepreneurs got into massive financial difficulties in the wake of the Corona crisis. However, around 120,000 companies received money from their principal banks quickly and unbureaucratically, thanks in part to emergency loans covered by the federal government.
Corona loans for luxury sleds?
While most entrepreneurs do not want to use the Corona loans until an absolute emergency situation arises, there are apparently also business people among them who use the money for purposes that have nothing to do with the consequences of the pandemic: "Since the emergency aid for the Covid 19 pandemic started on March 26, 2020, a conspicuously large number of luxury cars have been retrieved from entrepreneurs at our company," says Cedric Domeniconi, co-founder of Auto-Pfandhaus.ch. "It's true that our customers don't have to give any reasons for redeeming their pawned cars. But we know that many customers use the emergency loans to buy back the pawn they had originally covered with their car." The company bosses then drive home again in their Aston Martin convertibles, big Audi, Ferrari, Mercedes AMG, Porsche 911 or Rolls Royce - luxury cars, in other words, with loan amounts in the high five-digit range. Interestingly, these customers mainly come from the construction, real estate and finance sectors.
Sluggish business with pawnshops
The more favorable cars with a credit sum of 5000 to 12,000 francs however remain at the moment in the Auto-Pfandhaus.ch in Büsingen in the majority. Before the federal assistance programs asked then also first customers from the Eventbereich and later also customers from the catering trade, store owners or Coiffeure for pawn credits on their cars. The possibility of obtaining a deposit loan immediately without having to provide information on their financial situation was very appealing to the tradesmen. After all, the lockdown caused them to lose sales from one day to the next. That has changed in the meantime. "Currently, business is very slow," says Domeniconi. That's understandable, he says, considering that companies can now borrow money for free on the one hand. On the other hand, many entrepreneurs would put business opportunities or investments on the back burner as a result of the negative economic forecasts. For the latter, in addition to financial emergencies, have always been important reasons for entrepreneurs to use the services of Auto-Pfandhaus.ch. Domeniconi expects, however, that the auto pawn business will pick up again. "If the negative consequences of the pandemic continue in the harsh reality of the economy and no more aid is available, more cars will be pawned with us again than triggered," he is convinced.
Source: www.auto-pfandhaus.ch
