Last updated on October 4th, 2021
You’re not alone if you’ve reached a time in your life where you need a little extra cash. Maybe you’re a little late on the rent, or you have a bill that needs to be paid ASAP to avoid disconnection. The good news is that you can visit a pawn shop and get the money you need the same day. You can even return to the pawn shop and buy your merchandise back if your financial situation is better a little later. Here’s some additional information about pawn shops and how they work:
What Are Pawn Shops?
If you’re new to pawn shops, you might not know what they do. Pawnbrokers are people who give loans to other people and use their goods as collateral. They’re sort of like investors, but they give their clients the opportunity to reclaim their goods if they want to.
What Pawn Shops Take
Pawn shops take a wide variety of items. Each shop has its own list of items it will take from customers. Some pawn shops deal mostly with jewelry, while others take items such as computers, electronics, gaming systems, musical instruments, furniture, and more. Some pawn shops even take guns.
How the Process Works
Dealing with pawn shops is pretty easy for you as the customer. All you need to do is take the items you want to pawn and visit a reliable shop. You can find a reliable shop by conducting an online search or asking your friends and family members for word-of-mouth suggestions. Then, you can conduct research to find the one that looks most suitable to you.
Visit the pawn store you select with the items you’d like to offer. The clerk will look at your item and then offer you a price based on a percentage of its retail value. He or she will have you show your identification and sign some forms if you decide to pawn the item. You’ll be allowed a certain amount of time to pay the money back plus interest if you want to retrieve your items. If you do not wish to retrieve your items, you can allow them time to lapse. The pawn shop will sell the items to get the money back that it gave you to pawn them.
How Much You Can Get
You’re probably wondering how much you can get if you pawn your items. Different shops have different pricing grids. What we can tell you is that you will not receive an amount equal to the retail value of the item. You might get 50 percent or maybe a little more. However, the pawnbroker is in business to make money. He or she will make a little bit of money off the interest or finance charge. The rest of the profits will come from the difference in price for the retail value. For example, let’s say you pawn a laptop that has a retail value of $300. The pawnbroker gives you $150 for it, and you never come back to retrieve it. That pawnbroker will then turn around and sell it for $300 or maybe even a little less to get the bulk of the profits.
Contact a Pawn Store Today
Now you know everything there is to know about pawn shops. It might be time to visit your nearest pawn shop and talk to someone about giving you the funds you need to take care of your emergency. The entire process may take less than a half-hour to complete, and you’ll be well on your way to getting your finances straightened out. You’ll be glad you took the time to consider some pawn shops for your needs. You’ll be able to see them again if you need to, as well.