Villarica Pawnshop Service Revenue Drops Except Remittances – Manila Bulletin

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Villarica Pawnshop, one of the country’s leading pawnshop operators, saw revenue declines from all of its services in 2020 except remittances.

Without revealing the actual figure, Villarica Pawnshop vice president of operations Lester Villarica told the Business Bulletin that loans fell 13.5% and currencies fell 35.23%. The repayment of pledges to the pawnshop also decreased by 15.59%.

The only pawnbroking services product that grew was remittances, which grew 17.69% in 2020 compared to 201.

Villarica attributed the significant increase in remittance service to the government’s “ayuda” or subsidy program to the most vulnerable segment of society during the pandemic.

Pawnshops have been exploited by the government in the disbursement of “ayuda” to be able to reach unbanked beneficiaries.

Apart from government remittances, Villarica also noted that there is no slack in remittances from Filipino Overseas Workers (OFW), who must have increased their allocations to relatives in the Philippines, as most Filipinos saw their incomes shrink as quarantine restrictions rendered millions of daily wage earners jobless at the height of the pandemic.

Pawshops and money transfer centers were among the economic sectors allowed to operate during the shutdowns.

According to Villarica, they responded to the need of the times to help their customers.

“We guarantee fair valuation of pawnbrokers, in fact the highest valuation rates in the country today, he said.

As a pawnshop operator, stories of financial hardship among its customers abound. During the pandemic, Villarica said stories of people losing their jobs and looking for new opportunities were common.

Therefore, Villarica called on clients to start investing in themselves and, in their dreams, start their own small business with the help of pawnbrokers.

At the same time, he urged Filipinos to change the way they view pawnshops.

“We want the Filipino people to know that we are here to serve and be a partner in difficult times that they can even come to us for funding, even as seed capital for a small business, to be an entrepreneur like an online seller,” Villarica said.

He explained that the purpose of the pawnshop industry has been transformed, especially during the pandemic. Pawnshops have become quick access places for cash in areas that are still not served by traditional banks and institutions.

Some pawnshops, like Villarica, have also partnered with banks for more convenient financial access to Filipinos wherever they are, even for quick capital for their business as well as local and international remittances from loved ones. abroad.

Villarica has also become a hotspot for bill payment, point-of-sale collection, jewelry auctions, and even charging cell phones and internet services in addition to traditional jewelry pawning services. and articles in exchange for a practical and honest evaluation for money.

The company has been providing Filipinos in need of instant cash since 1954, offering a higher valuation rate than other pawnbrokers. Their more than 600 branches nationwide accept a range of items, from jewelry to gadgets, as collateral.

The company has always embraced a customer-focused mindset, Villarica said.

While pawnshops are allowed to collect service fees from their customers, Villarica said they have refrained from doing so.

In fact, he said, in addition to the high valuation rate, they also adopted the standard one-month term for all loans in addition to the 90-day grace period to repay the loan and redeem the pledged items.

“Overall, we have provided our clients with the most liberal terms, such as the highest valuation on all our loans and an interest rate lower than the prevailing interest charged by the majority of lenders on pledges in a given area of ​​competition,” Villarica said.


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