Pawning an item for the first time can be an intimidating experience. Generally speaking, first-timers go into the process underprepared, not quite knowing how things work or even the value of the item they are trying to borrow against. And even though most pawn shops will be open and honest about the value of the item, it’s still best to have done your homework. So, consider this your study session!
Let’s get the scoop from an experienced pawn broker in Barberton, OH.
What does it mean to pawn an item?
The way the pawn process works is simple. A reputable shop takes an item, lends money against it and holds it until that loan is paid back. If the loan isn’t paid back, the item is added to the shop’s inventory and everyone is squared away. You can also sell items through a pawn shop, which basically means they give you money for the item and don’t expect it to be paid back.
Why am I being offered less than the item is worth?
Because shops need to be able to make a profit for this process to work, they will often give you slightly less money for an item than it might have blue booked for. If your item is worth $1,000, you might be offered $850. That $150 difference is the profit a dealer makes if your loan is never paid back and they are forced to sell the item. Otherwise, they would constantly be breaking even. It’s best to go into this negotiation with an open mind and a sense of how much (or how little) you are willing to accept for the item.
Why was I asked if I owned my item?
Unfortunately, criminals have complicated the pawn process by trying to sell stolen goods through legitimate businesses, so shop owners need to be on the lookout. Because a shop owner assumes the cost of stolen goods if they are seized, they need to be extra vigilant. You might see them write down serial numbers, and you’ll generally need to provide a valid driver’s license to complete a transaction as well.
What are pawn shops interested in?
The nice thing about pawn shops is that their customers have a wide range of interests, so you aren’t too limited in what you can pawn. In general terms, you should consider pawning current model electronics, authentic jewelry, power tools, newer photography equipment and more. That being said, if you look at the cases or racks and see a dozen other similar items, the market might be saturated and your loan amount could be negatively affected. You should stay away from pawning sentimental items or antiques. Though your item is near priceless in your eyes, other customers may not see what you see, and there is little to no monetary value in it for the shop.
If you are interested in learning more about the pawning process or want to find out how much you could get for an item, don’t hesitate to contact Sydmor’s Jewelry and Pawn Shop. Call or visit our shop to speak with a knowledgeable pawn broker in Barberton, OH!
Categorised in: Pawn Broker
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