Frequently Asked Questions How does a pawnshop work?
Pawnshops lend money on items of value ranging from gold and diamond jewelry to household items, such as cameras and lawn mowers. Items such as jewelry maintain their value over a reasonable period of time. Items like computers and electronics lose value over time much quicker. Customers provide collateral, eliminating the need to distinguish high risk from low risk borrowers. Typically, loans are small but can reach as high as several thousand dollars or more depending on the value of your items. The average loan period is 30 days. The process is much the same as other lending institutions, with the primary difference being the size of the loan, the collateral, and the holding of the merchandise until the storage fee or the loan has been paid.
