What is digipawn and how does it operate?

[domainman101]

From what it looks like, it is a pawn shop for domain names? Usually pawn shops have extreme interest rates, and people use them in times of need. Most times the items go uncollected. I am guessing money is loaned on only the best domains, and if the domainer gets behind, major win for the pawn shop. How is this legal, and regulated?

 

[notlikeyou]

http://digipawn.com/about.php?PHPSESSID=828e66fb8791c739e95ec4e57207818a

 

[domainman101]

Scary to have too use, but good for liquidity in the domain market.

 

[bertiewooster]

I'm hoping with the predicted recession coming that Pawn Shops will make a major come back. I got PawnIt.co.uk which might go down well this side of the pond.

Didn't know you could pawn domain names though, but I suppose it's only logical if you can pawn most other things.

You're right, must be scary to use. There are a few shops near me and they are doing a roaring trade. Probably the bulk of the pawnees never reclaim.

 

[tricolorro]

From what it looks like, it is a pawn shop for domain names? Usually pawn shops have extreme interest rates, and people use them in times of need. Most times the items go uncollected. I am guessing money is loaned on only the best domains, and if the domainer gets behind, major win for the pawn shop. How is this legal, and regulated?

"What is digipawn and how does it operate?"

FYI:
DigiPawn.com = Rick Latona

Patrick

 

[tristanperry]

Sounds good, although it's worrying that there's no interest rate provided up front (as far as I can see). That put me off straight away.

Although this could be a good idea, especially in today's market conditions

EDIT: Whilst I respect Rick fully, I'm still a bit concerned that no interest rate is mentioned anywhere. I even registered for an account, and it seems you can only get an internet rate quote after filling in a form saying which domains you want to buy (and for which amounts).

Rick, if you are reading, maybe you can address this?

 

[domainman101]

"What is digipawn and how does it operate?"

FYI:
DigiPawn.com = Rick Latona

Patrick

So what if it's Rick Latona?

1% interest for your first month? I can only imagine what the real rate of int. is after that period is over...

Isn't this how the subprime crisis started.... but I guess Rick gets to cherry pick the domains he loans too... win win..

 

[mhdoc]

1% interest for your first month? I can only imagine what the real rate of int. is after that period is over...

Isn't this how the subprime crisis started....

When you run out of cash, getting more quickly is VERY expensive. I can assure you that 1% per month would look cheap if you have trashed your credit and need to buy a car. A sort of standard deal for someone with a sub 550 FICO is 36% APR. The dealer will then sell the contract for 75% of it's face value to a lender who tries to collect the payments. That 60% yield on your money looks good until you go to the repo auction and see a bunch of cars with $250,000 of face value loans on them sell at auction for $50,000.

 

[tristanperry]

When you run out of cash, getting more quickly is VERY expensive. I can assure you that 1% per month would look cheap if you have trashed your credit and need to buy a car. A sort of standard deal for someone with a sub 550 FICO is 36% APR. The dealer will then sell the contract for 75% of it's face value to a lender who tries to collect the payments. That 60% yield on your money looks good until you go to the repo auction and see a bunch of cars with $250,000 of face value loans on them sell at auction for $50,000.

1% is only for the first month. domainman101 was wondering what the interest rate will shoot up to after the first month.

I don't mean to sound negative about this idea, although I just think that I wouldn't get a loan without knowing straight away what interest rate I could expect to receive.

 

[likepeas]

and i thought it was over. guess RJ wants to make even more money.

 

[Gene]

guess RJ wants to make even more money.

Now there's an observation! I thought he worked so hard just for the fun of it.

 

[Rick Latona]

At DigiPawn we loan money on domains. The interest rate is negotiable. We fill our place in the market. We don't try to compete with the likes of Domain Capital as we do short-term cash advances, not long-term loans.

I can tell you for a fact that we are cheaper if you need money for 1-100 days. If you need cash to capitalize on another deal, I'm your guy.

 

[rupert]

I'm excited to find out what colour scheme we'll have next time.
Please please please let it be a dark-purple and orange infusion :D

 

[DnEbook]

i just got used to the rick latona background !! ha ha , not to worry

 

[MicroGuy]

What domain names are accepted? Is there an objective party like Estibot for determining the domain valuation?

http://estibot.com/power.php

You could have a gold mine if you loaned money based on Estibot, which has made "leaps and bounds" in terms of accuracy recently (see above link).

 

[DnEbook]

i once heard a saying 'a true musician never hocks his instrument' i wonder if the same could be said about domainers ???

 

[tricolorro]

Originally Posted by tricolorro
"What is digipawn and how does it operate?"

FYI:
DigiPawn.com = Rick Latona

Patrick

So what if it's Rick Latona?...

Whoa Tiger,

I didn't say there was anything wrong.

Rick has made a big splash here at NamePros and the OP was asking about DigiPawn.

Since I did not see any mention of Rick's involvement in any of the follow
up postings, I just wanted to let anyone curious to know that Rick Latona
was involved.

That info I thought should remove any suspicion of the service.

If you have domains that are acceptable to DigiPawn as colatteral and you need the $, Rick's domain pawnshop could be a lifesaver.

Nothing bad was inferred by my posting of Rick's involvement.

Patrick

 

[Broker]

Now there's an observation! I thought he worked so hard just for the fun of it.

LOL, not to mention the 2 skins were probably apart of the original package

 

[DnEbook]

yes a good plan indeed

 

[Rick Latona]

What domain names are accepted? Is there an objective party like Estibot for determining the domain valuation?

http://estibot.com/power.php

You could have a gold mine if you loaned money based on Estibot, which has made "leaps and bounds" in terms of accuracy recently (see above link).

I do my own appraisals.