If you find yourself stuck in a financial emergency, you can always rely on a pawn shop to help you get the cash that you need. You might want to consider going to a pawnshop if you have a room or a basement that is full of things (especially antiques) that might have some value to them after a little bit of cleaning.
However, though a pawn shop would be able to help you get money in times of need, we recommend knowing the ins and outs of a pawn shop transaction first before heading to one.
You should never feel embarrassed to go to a pawn shop especially if you really need to. We at www.majorpawn.com suggest knowing the following things first before heading to a pawn shop near you so that you would have an idea of what you are going to be dealing with.
• Not every bad thing you hear is true
We have heard stories about pawnshops being a shady and sometimes scary business. However, on a lot of occasions, these negative things are oftentimes nothing but a bunch of baseless stories that are being promulgated by media.
Remember that not all pawn shops are bad and not every single one of them is greedy enough to steal from their customers. In fact, we at www.majorpawn.com always remind people that pawn shops are governed by fourteen federal regulations and statutes as well as several other state laws depending on their location. A lot of pawn shops in the US are run by people who take pride in their customer service excellence.
• How you can get a loan
Before heading to a pawn shop, we at www.majorpawn.com suggest that you know first what exactly you can get out of a pawn shop.
- Collateral loans-This type of loan is given to people in exchange for something that has value. If you take something of value to a pawn shop and the pawnbroker becomes interested in the item, he will offer a loan to you. The pawnbroker will keep your item until you are able to pay your loan back.
The amount that the pawnbroker will give you is going to be only a small fraction of what the item is really worth. This is because a lot of factors such as storing and market value are considered by the pawnbroker before an offer is made on the item. www.majorpawn.com would be able to help you learn about what the best offers are.
- Selling the item-If you are in need of more money, you can also opt to sell your item outright. However, pawnbrokers are happier if you would consider loaning since it would mean that you are more likely to come back, and it is just much better for business in general for you to loan.
- Pawn tickets– Never lose your pawn ticket, as this serves as your receipt. Lose this and you will have trouble with processing your transaction.
• Repaying loans
You should make a plan on how you are going to manage to pay your loan back. Make sure that you pay your loan back before the set deadline, which is usually set around one to four months after your initial transaction. If you fail to pay the loan back, the pawnbroker gets to keep your item, although this will not affect your credit score in any way.
• What do pawn shops want and don’t want?
Not every single item is going to be accepted by a pawn shop.
- Do not offer anything that is outdated, cheaply made, or is extremely difficult to either store or sell. These items will either fetch a low loan amount or get rejected outright by the pawnbroker.
- Do offer coins, jewelry, as well as high quality tools, firearms, and musical instruments. We at www.majorpawn.com always suggest going with these items as these are market friendly and are very easy to store.
• Be prepared to answer questions regarding your ownership of the item –
Pawn shops are legally mandated to check if you really are the true owner of the item you are selling. You might be asked questions in order for the pawnbroker to assess whether you really own the item. By law, you should also present a government ID when you go to a pawn shop.