Thesis Pawnshops
Chapter 1
THE PROBLEM AND ITS BACKGROUND
This chapter represents the Introduction, Background and Purpose of the Study, Conceptual Framework, Statement of the Problem, Hypothesis, Significance of the Study, Scope and Limitations and Definition of Terms.
Introduction
Pawnshops (Agencia de empenos, In Spanish or bahay sanglaan in Filipino) are one of the easiest and most convenient sources of credit. They provide additional sources of credit especially to small borrowers. The word pawn is derived from the Latin pignus, for pledge, and the items having been pawned to the broker are they called pledges or pawns, or simply the collateral. It is a type of a store that operates by offering money for items with the option to redeem the item within a period of time. The customers get loans on items and are supposed to repay the money when the loan is due.
A pawnshop is considered as one of the non-bank financial intermediaries. It is engaged in the business of lending money on personal property delivered as security. In many cases, pawnshops considered as “Buy and Sell” operations with “Buy Back Provision”. A duly organized and licensed pawnshop has, in general, the power to engage in the business of lending money on the security of personal property within the framework and limitations of PD No. 114 and the following regulations, subject to the regulatory and supervisory powers of the BangkoSentralngPilipinas (BSP).
Pawnshop Regulation Act (Presidential Decree No. 114, Sec 1and 4) states that it is hereby declared the policy of the state to regulate the establishment of pawnshop and to place their operation on a sound and stable basis to derive the optimum advantages from them as an additional source of credit, to prevent and mitigate as far as practicable, practices prejudicial to public interest and to lay down the minimum requirements and standards under which they may be establish and do business of lending money on personal property delivered as security for
THE PROBLEM AND ITS BACKGROUND
This chapter represents the Introduction, Background and Purpose of the Study, Conceptual Framework, Statement of the Problem, Hypothesis, Significance of the Study, Scope and Limitations and Definition of Terms.
Introduction
Pawnshops (Agencia de empenos, In Spanish or bahay sanglaan in Filipino) are one of the easiest and most convenient sources of credit. They provide additional sources of credit especially to small borrowers. The word pawn is derived from the Latin pignus, for pledge, and the items having been pawned to the broker are they called pledges or pawns, or simply the collateral. It is a type of a store that operates by offering money for items with the option to redeem the item within a period of time. The customers get loans on items and are supposed to repay the money when the loan is due.
A pawnshop is considered as one of the non-bank financial intermediaries. It is engaged in the business of lending money on personal property delivered as security. In many cases, pawnshops considered as “Buy and Sell” operations with “Buy Back Provision”. A duly organized and licensed pawnshop has, in general, the power to engage in the business of lending money on the security of personal property within the framework and limitations of PD No. 114 and the following regulations, subject to the regulatory and supervisory powers of the BangkoSentralngPilipinas (BSP).
Pawnshop Regulation Act (Presidential Decree No. 114, Sec 1and 4) states that it is hereby declared the policy of the state to regulate the establishment of pawnshop and to place their operation on a sound and stable basis to derive the optimum advantages from them as an additional source of credit, to prevent and mitigate as far as practicable, practices prejudicial to public interest and to lay down the minimum requirements and standards under which they may be establish and do business of lending money on personal property delivered as security for
References: PawnTimes, International Pawnbrokers Tagged With: Pawn Shops Published: 95 days ago on June 26, 2013 http://books.google.com.ph/books?id=_GqEQkSzHEC&printsec=frontcover#v=onepage&q&f=false