Using Valuable Assets to Get Access to Cash

August 13, 20265 min read

What does a house have in common with a pair of diamond earrings? They both hold value. You could sell either one to get cash—but if you’d rather keep it, borrowing against its value may be another option.

For many Americans, financial stress doesn't come from a lack of assets—it comes from a lack of liquidity. Liquidity simply means having money readily available when you need it.

You may own a home, valuable jewelry, luxury watches, gold, diamonds, or collectibles, and still need cash. The problem is that much of your money is tied up in things you don’t want to sell.

This situation is sometimes described as being "asset rich and cash poor."

One well-known way to access liquidity without immediately selling an asset is a Home Equity Line of Credit (HELOC). A Home Equity Line of Credit (HELOC) is a revolving line of credit secured by the equity in your home.

Depending on the lender, qualifying for a HELOC may involve:

  • A credit check and a minimum credit score

  • Income and employment verification

  • A home appraisal

  • An acceptable debt-to-income ratio

  • A formal application and underwriting process

  • Closing costs or other lender and third-party fees

Approved borrowers receive access to a credit line during a set draw period, which may last several years, followed by a repayment period. HELOC interest rates are commonly variable.

The most important distinction is the collateral: your home secures the debt. If the loan isn't repaid according to its terms, your home can ultimately be at risk of foreclosure.

What if a HELOC Isn't the Right Option?

Not everyone wants to borrow against a home or is able to do so. Others may prefer an option that doesn't rely on traditional credit-based underwriting.

At King’s Jewelry & Loan, you can borrow against the value of qualifying assets without selling them, going through a credit check, or dealing with a complicated process. We call it an Asset-Based Line of Credit (ABLOC).

What Is an ABLOC?

An Asset-Based Line of Credit (ABLOC) is an option that uses qualifying tangible personal property as collateral.

Instead of relying primarily on traditional factors such as:

  • Credit score

  • Income verification

  • Employment history

  • Debt-to-income ratio

The amount available through an ABLOC is primarily determined by factors such as:

  • The market value of the qualifying asset

  • Its condition and quality

  • Authenticity

  • Market demand

  • The asset's liquidity

This means an ABLOC does not use your home as collateral and does not rely on a traditional credit check or conventional income-based underwriting.

Common qualifying assets may include:

  • Luxury watches, including Rolex, Audemars Piguet, and Patek Philippe

  • Fine and designer jewelry, including Tiffany & Co., Cartier, Van Cleef & Arpels, Bulgari, David Yurman, and Harry Winston.

  • Diamonds and gemstones

  • Gold, bullion, and precious metals

King's specialists evaluate the asset to determine the amount that may be available against it. The asset serves as collateral and is securely stored during the loan period. Customers retain the right to redeem their assets by satisfying the applicable loan terms.

HELOC vs. ABLOC: What’s the Difference?

Both let you borrow against something you own rather than sell it.

A HELOC uses your home as collateral and usually requires a credit check, income verification, and approval from a lender.

An ABLOC from King’s uses valuable personal property—like jewelry, diamonds, gold, or luxury watches—as collateral. The amount you can borrow is based mainly on the value of your asset.

The biggest difference? With an ABLOC, your home isn’t on the line.

Selling vs. Borrowing Against an Asset

When you need liquidity, one of the first decisions is whether to sell an asset or borrow against it.

Selling an asset means:

  • Giving up ownership permanently

  • Receiving a one-time payment

  • Having no repayment obligation

  • Receiving an amount that depends on the asset, buyer, market conditions, and timing

Borrowing against a qualifying asset means:

  • Using the asset as collateral

  • Receiving liquidity without an immediate permanent sale

  • Taking on a repayment obligation

  • Retaining the ability to redeem the asset according to the loan terms

Neither approach is automatically right for everyone.

If you no longer want an asset, selling it may make sense. If the asset has personal, sentimental, collectible, or long-term value to you and your need for cash is temporary, borrowing against it may be an option worth considering.

Who Might Consider an ABLOC?

An ABLOC may be useful for people who have valuable assets but would prefer not to sell them or use their homes as collateral.

That can include:

  • Individuals seeking short-term liquidity without borrowing against real estate

  • Business owners managing temporary cash-flow needs

  • Self-employed individuals whose income doesn't fit neatly into traditional underwriting models

  • Individuals expecting incoming funds

  • Collectors who want to retain valuable pieces

  • Owners of luxury watches, jewelry, diamonds, gold, or other qualifying assets

  • Families who don't want to permanently part with heirlooms or meaningful jewelry

The important question isn't simply how much an asset is worth. It's also whether selling it permanently makes sense for your particular situation.

Choosing the Right Partner Matters

When valuable property is being used as collateral, experience, security, transparency, and professional evaluation matter.

King's Jewelry & Loan has served Los Angeles families and businesses for more than 80 years.

King's offers:

  • Experienced jewelry, diamond, and luxury-watch specialists

  • GIA Graduate Gemologists on staff

  • Professional asset evaluations and appraisals

  • Secure vault storage

  • Loans ranging from $5 to $500,000

  • Online payment options

  • Partial payment options

  • Loan extensions

  • Principal pay-down options

  • Private service booths

  • Transparent loan documentation

Every asset is different, which is why the process begins with an individual evaluation rather than a one-size-fits-all estimate.

The Bottom Line

A HELOC and an ABLOC can address a similar financial need: turning the value you already own into available liquidity without immediately selling the underlying asset.

But the two approaches are very different.

A HELOC is secured by your home and generally relies on traditional credit and income underwriting. An ABLOC from King's uses qualifying personal assets as collateral and focuses primarily on the value and marketability of those assets.

For someone who owns valuable jewelry, watches, diamonds, gold, collectibles, or other qualifying assets—and doesn't want to use a home as collateral—an ABLOC may be an option worth exploring.

Before selling an asset you would rather keep, it can be helpful to understand the alternatives available to you.

Interested in exploring an ABLOC?

Start with a confidential asset evaluation at King's Jewelry & Loan and find out what options may be available based on your asset.

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