When you need money in a hurry, pawning jewelry or other valuable items can help you to create liquid money. In essence, you are using the object you pawn as collateral for a loan. If you default on the loan, the pawnbroker may then sell the time to recoup his losses. Understanding how the pawning process works will help you to get a loan that gives you the money you need without making it difficult to redeem your item.
Interest and Fees
As with other loans, pawn brokers will charge an interest rate. While states will enforce a maximum interest rate that brokers can charge, you will find interest rates will vary from shop to shop. Some shops will try to attract customers by offering lower interest rates. These brokers will often charge storage, shelving, processing, and other features to help allay their costs. Thus, it is often better to go with a shop that charges higher rates but does not assess fees because you will end up paying less money in the end.
Don't Expect Full Value
Pawnbrokers will not offer full value for an item because they have to face the reality of reselling the item. Thus, pawnbrokers will consider how the value of the item will change over time. Pawnbrokers must also make a profit, so the amount of money they offer for an object will typically be far below the current retail value of the object.
Do You Have to Take the Full Loan Offering?
The more money you take for a loan the harder it is to pay back. If you have a high-value item, you may not want to take the full value of the item. Analyze your needs and then be ready to come to terms with your greed. While it might be nice to have a little extra money on hand, if you want to reclaim items that you put up for pawn, you should keep your loans small.
Remember Your Ticket
When you go to reclaim an item that you have put up for pawn, you will need your original ticket. Some pawnbrokers will not allow you to redeem an item without a ticket, so losing your ticket might cause you to forfeit the item.
Pawning items is a good way to turn a valuable item into liquid money, but you need to know what you are doing. The tips above will help you to secure a good loan without putting your precious objects forever beyond your reach. If you're looking for a pawn shop in your area, visit Desert Jewelry Mart & Coins.
Ever since I was a child, I've loved the look of fashion earrings. However, I soon discovered that my ears are sensitive to metal-coated earrings. Rather than spend a small fortune for custom made jewelry, I've found retailers that sell hypoallergenic earrings. These earrings are made for individuals such as myself with sensitivity to metals. Check your high-end department stores or local jeweler. You'll find hypoallergenic earrings in sterling silver, white gold, yellow gold, and platinum. The main thing is to never choose jewelry containing nickle, as this is commonly the culprit. A good alternative to metals listed above is titanium jewelry, as this is considered to be hypoallergenic. Also, avoid using harsh detergents or chemicals to clean your earrings and jewelry, as this may cause further irritation. Mild dish soap may work well, but be sure to rinse your jewelry thoroughly.