Let’s just face some facts about pawn shops and their loans.
When someone comes into a pawn shop to make a loan, they aren’t there because they are having a great day or things are awesome financially.
By the very fact that they are in a pawn shop getting access to cash immediately, it means that they’ve had something come up that they weren’t expecting or they just don’t have enough money to cover the bills that month.
There’s nothing wrong with that, it’s very common.
And there’s nothing wrong with the people that use pawn shops. We’ve all had a period of financial hardship in our lives and we do whatever we have to do to get through it.
For some of us, that has meant using a pawn shop from time to time.
That having been said, just because someone makes a short term loan at a pawn shop doesn’t mean that all of their financial woes are forever solved.
Typically speaking, people experience these periods of financial hardship for at least a few months at a time.
What that means is that sometimes, just keeping up on the monthly interest (and maybe storage) payments on your pawn loans can be difficult when money is already tight.
Or maybe money isn’t particularly tight at the moment, but you just forgot when you payment date was.
You might be panicked, worried that a pawn shop is now going to keep what you made a loan on.
However, maybe, just maybe, they will give you a grace period to come in and pay that loan back or catch up your past payments? Is that something they even do?
Grace Periods On Loans In Pawn Shops
The first thing that we have to get out of the way here is to understand that pawn shops are owned by thousands of individual, small business owners with their own policies regarding these matters.
What one pawnbroker does may be completely different from what another will do.
With that in mind, almost all pawnbrokers understand that things happen in life.
Sometimes you can be on your way to the pawn shop to make your payment and you get a flat tire, or get into a car accident (hopefully you’re okay if you did!)
They are humans, just like you.
For this reason, some pawn shops will build a 2-3 day grace period into their software by default for all customers. That’s some, not all, keep that in mind.
Others will give you a little extra time if you simply call them and let them know what your scenario is. Like I said above, they are humans just like you, they know what life is like.
You’re much more likely to have this work in your favor with small, individual pawnbrokers. Chains of pawn shops are less likely to do this, and there’s a few reasons.
Why Some Pawn Shops Won’t Give Individual Grace Periods
As I mentioned above, some pawn shops build default grace periods into their software. Others will give individual exceptions.
However, this is a dangerous practice, legally speaking.
The reason is that the pawn shop can be accused of showing “Favoritism” for certain customers over others, not treating all of them fairly.
This is a real liability that pawn shops have to be aware of as technical, they are a financial services business, not a retail business as you might have expected or thought that they were.
So, in these cases, if the pawnbroker in question as previously had a problem with this, or it is a chain that eliminates this fear at a top level, you may find that the pawn shop will not offer you any kind of grace period.
It’s Not You, It’s Them
What you really need to understand about this is that the pawn shop isn’t picking on you if they don’t give you a grace period.
They aren’t saying that you’re a bad person. They aren’t punishing you for anything.
They just don’t want to accept the potential blow-back and legal liability of engaging in this risky practice.
Yes, like I said above, they are humans and they understand that life “Happens” to all of us.
That having been said, they still have to protect their business interests and sometimes, that means that they have to make the hard calls like this and not give you a grace period.
But They Still May Be Able To Help
That having been said, if you did forfeit something and it is still in their store, you will often find that pawn shops are willing to sell you back your items at a very low markup.
They still have to cover their expenses, which the balance of the loan is part of that, but none the less, most will be willing to work with you in these situations.
Keep in mind though with things like laptops and tablets, they may have already erased your data when they prepared your items for resale.
There’s nothing you can really do about that, it’s a necessary step to protect both you and them. After all, you wouldn’t want some stranger having pictures of your kids, or access to your banking information right?