If a customer defaults by not repaying the loan, the collateral becomes the property of the pawnshop after the loan is overdue by a specific amount of time; in Massachusetts is after 4 months. Our state requires the broker to notify, by certified mail, the owner of the pledge, that he will lose the right to his property unless he redeems it within the stipulated grace period which is 21 days.
Posted in: Frequently Asked Questions
