The way Lim sees it, pawnshops have not died off as they serve a niche in the market that banks cannot (or are unwilling) to serve. He explains that pawnbrokers provide collateralised loans with swift approval processes. “You see, if you’re serving the community, there’s actually a huge group of people that banks simply can’t serve,” he says.
Despite banks being the largest type of financial institution in Singapore, pawnbroking, a business first recorded around 3,000 years ago in China, remains enduring and continues to grow from strength to strength.
“We actually have social value because we provide a positive, immediate solution to customers’ financial needs,” says MoneyMax Financial Services executive chairman and CEO Lim Yong Guan.
