Tips in Dealing with a Pawn Shop

When we are cash-strapped, normally, we would turn to our pay checks for support. But what if the next pay check is not yet due for release? The next option would most probably be credit card. But what if you don’t have a credit card? This we suggest you to do: go to a pawn shop.

Why pawn shops, you ask? That’s because pawn shops release loans fast and right at the moment when you ask for it. They have flexible repayment terms, too. And / or if you have a penchant for high fashion or high value gems and accessories like us, you can choose to avail of them from pawn shops for a much lesser price.

Pawn ShopNow, if the purpose why you are looking for pawn shops is because you need a quick cash loan, you have to comply with only one requirement: Provide a high value item. It could be a piece of jewelry or a watch. You will be lending it to the pawn shop in exchange of the cash you are borrowing.Don’t worry – you get it back as soon as you repay your loan. Now this goes to show why it’s also important to keep some precious gems on tow – you could use them to tide you over during lean, trying times.

The Pros and Cons in Dealing with a Pawn Shop

Basically, the best advantage you could get when dealing with pawn shops is that you get the money really fast. As in, just hand over the item, sign the papers, and your off!

But remember that pawn shops do not just accept any kind of jewelry. Well, perhaps they will, such as Metropolitan Pawn Brokers that accepts any and every kind of jewelry, but if you need to loan higher, then you also need to make sure the item you have on hand is actually one of value. Is that gold jewelry? Beware of GP, RPG, or HGE labels. GP means gold plated, RPG is rolled plated gold, and HGE is heavy gold electroplated. Different means of putting gold on to a piece of jewelry, but all these basically mean the same –they are just gold color that is splashed on a non-gold element to make them look like gold! In other words, fakes! Those jewelry pieces that have 18k, PT, 750, or 750 / 100 stamps are sure to get you better deals from a pawn shop, simply because these mean that the jewelry is genuine and really of high value.

Now, is that glass or crystal? Pawn shops are raring for Swarovski, Limoges, and Baccarat all the way. If you have one, then grab them and go the nearest one now !

Of course, it is best if you would at least clean your pieces first before you hand it over to the pawn broker. Who knows, they might be valued more than you know them to be.

On the other hand, the biggest disadvantage in dealing with pawn shops usually comes when our clients are already about to repay their loans. Usually, pawn shops like NYC Metropolitan Pawn Brokers allow their borrowers to repay their loans within four months.

But what if you’re not able to pay? Simple –they get your item from you.

How to Avoid Being Duped by Pawn Shops

In any loan agreement that you will enter, here is one basic must-remember: Make sure you will be able to repay. If the loan payment period is four months, then think about how you will be able to pay your loan in four months BEFORE even going to the pawn shop.

Be clear with all the details. You should understand that loans availed in pawn shops come with interest. That means that you won’t be paying just the amount you borrowed, you are also contract-bound to pay a few extra dollars. Read all the fine print. How much is the interest? And are there any other fees such as storage or handling, or even fees for lost receipt or documents? These are things you will also need to consider when you avail of a quick cash loan in pawn shops. For one that has a stringent policy of not allowing any fine print or hidden costs in their cash loan products, click here.

And lastly, choose a pawn broker that has already been in the industry for quite some time. An industry leader is one that has stood the tests of the times. Metropolitan Pawn Brokers in New York City has already been in the business of buying and loaning jewelry for more than 25 years. Their physical branches are concentrated in the Richmond Hill and Wood haven areas, but they also now have a website to service all other NY customers. Click here to find out more about Metropolitan Pawn Brokers.