pawn shop

the flying belgian · Jan 1, 2014

Can't believe I am this naive but is it possible for
someone to explane to me how a pawn shop works?
Reason I ask is because I enjoy watching Judge Judy
in the winter and from time to time the case involves
a pawn shop. I am so concentrated on figuring out
how one works that I miss the whole just of the case.

DeltaRed · Jan 1, 2014

You need money.Take something of value to a pawnbroker.He pays you what its 'worth'.Each month you pay an (expencive) interest fee.Pay off in xx amount of time.You dont pay,the item is siezed.After 90 days the item is sold to recover the 'loan'.This is how I understand it....

john in la · Jan 1, 2014

You bring me a item that I can sell for $200
I loan you $100 for 90 days
At the end of 90 days you bring me $150 to get your item back or else I sell it to get my money back.

Billy Shafer · Jan 1, 2014

That is the way I understand it.

Royse · Jan 1, 2014

As pawning customer, you take something in as collateral and
they loan you money against it. (not as much as its worth)
You have a set time to pay back the money plus interest.
If you do not pay it back as agreed, they keep the merchandise
and resell it in their store.
As a buying customer, you can walk in and buy stuff
from their store and sometimes get good deals.

jon f mn · Jan 1, 2014

If you need money you bring something of value in. You have some choices at that point. First you can sell it and take the money and run. Next you can pawn it which is to take a loan on it. Usually they will let you make payments on it til it's paid for. The charges are very high tho, on small stuff you may have to pay back as much as double or more. If you don't pay it they take it and sell it. The store is for the stuff they buy outright or get from non payment. Some also go to auctions like storage lockers and stuff and buy out estates and such to keep fresh stuff in the store.

Bill(Wis) · Jan 1, 2014

Let's say you need some fast cash and have no credit but you have some "stuff". Like maybe a motorcycle or a nice wristwatch or a gun. You take it to a pawn shop where, they will either offer to buy your "stuff" at whatever price they offer, or, you can borrow the money you need and agree to pay off the loan with interest within an agreed period of time. If you don't pay off the loan with the interest as agreed, they can sell your stuff.

JD Seller · Jan 1, 2014

The other guys have pretty much nailed how they work. You just are "loaned" money against items you bring in. Then you have so much time to pay the loan back or you forfeit the item you put in "pawn" for collateral for the loan.

I never have "pawned" anything but I have bought a lot of stuff at pawn stores. There are two that call me when they get certain things I collect/buy.

You can get good "deals" but you also can get skinned too. I have never met a "poor" pawn store owner. So your dealing with a modern day money changer so just go in with your eyes WIDE open and you will be fine.

I would rate Pawn shops a few steps above the PAY DAY loan and car title loan places. They all are preying on people that "need" money NOW. Mostly poor people or people just with Poor money management skills. Not the most moral business in town in my opinion. They charge handling fees and other charges that make the effective "interest" rate in the 25-50% range.

Ultradog MN · Jan 1, 2014

Pawn shops are a sign of moral and ethical decline.
They serve the detritus of civilization.
There are more and more of them around the Twin Cities where I live.
Much of the merchandise they sell was stolen and much of the money they give out goes to fuel the drug trade.
I never go into them. I think there is bad karma attached to everything about them.

Greg1959 · Jan 1, 2014

I can't count the number of times that I've gone into Pawn Shops and had to buy my stuff back that was stolen!

I only had one shop that let me buy back my stuff for what they had in it.

Also, took a State Trooper in with me the last time. The pawn shop owner was reluctant to tell me what he had on pawn after I had described the items that were stolen. He knew he had them but did not want to give them up. Trooper said get them out front NOW! Owner went into the back brought my items out. One was a Gibson RB-250 Banjo from 1978 and lots of my guns. Trooper told me to take my stuff and he would deal with the pawn broker.

Geo-TH,In · Jan 1, 2014

In Indiana, buyers of scrap metal and pawn shops are required to have a photo ID of seller. Neighbor's kid bikes were stolen. Neighbor finds bikes at pawn shop 2 days later. Cops are called in. Pawn shop owner showed cops photo ID of seller. Seller goes to jail.

Another pawn show had a don't aks, don't tell policy. He was a fence, bought stolen goods. Theif gets caught steeling, rolls on pawn shop owner. Cops come in. Shuts down pawn the shop, takes everything out of the shop, freezes all of owner's assests, cars, checking, savings, even his wife's pension, mother in laws property too. This happened over 2 years ago, still in the courts. Pawn shop owner doesn't have a paddle to go up a creek with. All he has to live on is his SS, which isn't much because he worked off the books.

George

ohiojim · Jan 1, 2014

what I learned in my fine state is if someone steals something from you and pawns it and you find the stuff at the pawn shop you have to buy it back, even though it's stolen....

lloyd in sc · Jan 1, 2014

Well, its more likely they will "loan" you $20.oo on a $200.00 item. Then try to sell it for $250.oo.

Here3 most of em are working hand in hand with the thieves.

BigMarv1085 · Jan 1, 2014

All I know is that there are probably 75 title pawns on my 70 mile round trip to work everyday and probably 10 pawn shops. I have been in several of the shops but they seem on the high side or they just have junk.

Sammy in Kansas · Jan 1, 2014

I have bought a lot of good tools, rings various other things at pawn shops over the years. There is about a dozen of them I buy from on a regular basis. The way they have explained it to me, is a person needing fast cash, most of time that takes in people on drugs and have stolen property, brings goods into the store to pawn or sell.
They will determine a resale value, in other words what they feel they can sell it for in their store. The pawn show will loan him or her aprx. 25 percent max of the estimated value and again after 90 days if terms of loan are not met, they will place it on there shelves for sale. They start out at that pre determined value and the longer it sets on the shelf the lower the price will go. They have told me they hardly ever sell something for less that half of what it is worth, so at a worse case, they give you 25 percent and sell it for 50 percent of actual value so they have doubled there investment.

Russ from MN · Jan 1, 2014

I think it's just as much the fault of the native American's casino's, crime is somewhat worse surrounding them.

4020deereboy · Jan 1, 2014

Short answer good way to get scrwed I needed to borrow some money once had 400 worth of tools had to beg to borrow 90.00 that 90 ended up costing me about 400 . Also to had to sell my john deere silver coins got whatever silver was worth minis a little .just like anything they won't give you full price

Frank 41 · Jan 1, 2014

We have bought many indian rings in Arizona in the 70's. Some were what they called dead pawn, they had them for a long time. They were quality rings, not like what you see today.

Local shops today around here are probably selling about half stolen stuff. A guy in Champaign, IL had 3 guys break into his house and beat him and his wife up pretty bad trying to get his cash and big stuff. They were caught later.

pawn shop

the flying belgian

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DeltaRed

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john in la

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Billy Shafer

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Royse

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jon f mn

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Bill(Wis)

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JD Seller

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Ultradog MN

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Greg1959

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Geo-TH,In

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ohiojim

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lloyd in sc

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BigMarv1085

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Sammy in Kansas

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Russ from MN

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4020deereboy

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Frank 41

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