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Buyback Services, i.e Cash Converters

Bruhaa
Bruhaa Posts: 1 Newbie
Hi all!

Just a very quick question that is hopefully answerable. 
Does anyone know if the 28 buyback service shops like cash converters offer is classified as a loan or a sale? Would they have to pay VAT on the premium they put on top of your "borrowed" amount?

Kind regards, 
James a newbie. 

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