arby
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Post by arby on May 25, 2019 20:11:23 GMT
Out of interest which T&C are you referring to here exactly? I suggest you read the T&Cs in section 5 and section 6. How exactly can default procedures be enforced if the lender doesn't have control pf the asset? I'd love to know, How many pawn brokers do you know (and please be specific) who don't control a pawned asset. I have a large number of gold sovereigns would you please lend me money against them but sorry I am not prepared to allow you to take custody of them. You are being totally unreasonable in refusing to lend me money because you don't control the assets. You were comfortable lending money on various artworks what's different between sovereigns and art? Looking forward to your response but I'd guess there will be a huge silence. Money is lent against houses all the time- they are not packaged up and stored in a vault. A legal charge is created over them. This doesn't completely remove the risk of malicious damage being done to the property (which would not be covered by insurance) during possession proceedings. Purchasing a car on credit is the equivalent of lending money without physical control of the asset. Lending to a business is the same. Believe it or not, the world operates on a degree of trust. Sometimes that is abused. That is why fraud is considered in pricing assumptions in many financial sectors. Could or should FS do more to combat fraud? Possibly, maybe even probably, without having full sight of what they do it's impossible to say for certain, but there is no way all risk can be avoided, it can only be mitigated while still retaining sufficient margin to make a possible profit as the cost of full risk mitigation will certainly guarantee a loss.
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bg
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Post by bg on May 26, 2019 13:46:17 GMT
Looking forward to your response but I'd guess there will be a huge silence. I think arby has surmised it better than I can. You can't put a house in a safe.
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09dolphin
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Post by 09dolphin on May 26, 2019 18:06:49 GMT
Looking forward to your response but I'd guess there will be a huge silence. I think arby has surmised it better than I can. You can't put a house in a safe. So your point Is that security is about what can't be enforced, I keep offering multiple sovereigns as security but nobody seems interested in lending me money when I say I want to retain the security. I can't think why!!!!!!!!!
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09dolphin
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Post by 09dolphin on May 26, 2019 18:11:22 GMT
Arby still waiting for a response as to which pawn brokers you know who choose not to take possession of an asset.
I will ask the same question about every 2 or 3 days so you might as well answer,
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arby
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Post by arby on May 26, 2019 18:24:52 GMT
Arby still waiting for a response as to which pawn brokers you know who choose not to take possession of an asset. I will ask the same question about every 2 or 3 days so you might as well answer, You must be confused. You seem indignant that you're having to ask me a second time and implied that I am ignoring your question. Well you would have been waiting a very long time for me to answer as you never asked me that question in the first place. As far as traditional pawn loans go (jewellery/watches etc) then I'd be surprised if there were (m)any companies that offered a loan without taking possession of the asset. FS blurs the lines as they cover the full lending spectrum from traditional pawn to business lending. At what point is not taking physical possession of the asset appropriate? I don't know, but taking possession of boats would definitely require a bigger safe at FS HQ! As far as art goes, that is clearly stupid in hindsight, but also very common for the art to remain on display.
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bg
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Post by bg on May 26, 2019 19:50:56 GMT
I think arby has surmised it better than I can. You can't put a house in a safe. So your point Is that security is about what can't be enforced, I keep offering multiple sovereigns as security but nobody seems interested in lending me money when I say I want to retain the security. I can't think why!!!!!!!!! No my question was which of the T&C’s was breached. Nothing to do with sovereigns.
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