If you have never needed to use the services of a pawn shop then you might not know much about them. Unfortunately some people have a negative view of pawn shops, but that’s not really fair – nor are what they may be basing their views on entirely true in most cases.
The truth is that they are an incredibly valuable asset to the communities they serve.
The fact of the matter is that many people have really only gotten to know pawn shops for the first time on television through the various TV shows you can now easily find just about any day of the week.
However to the people that are temporarily stuck in a situation,they understand how helpful these small businesses really are.
Pawn shops are more than just a place to sell your grandfather’s antique penny collection, or buy that limit edition watch you’ve always wanted.
Pawn shops are a vital part of their local communities and many people will occasionally have to depend on them to help meet their financial commitments.
The Amazing Service Pawn Shops Provide Their Community
If you are a well-off individual or grew up in a modern middle class family than there might be some things that you take for granted that other people simply don’t have.
For instance, I bet a checking account is one thing that you’ve had for years and most people do.
However there are a lot of people in lower income neighborhoods that don’t have checking accounts. Without a checking account, you can’t get a cash advance or payday loan.
So what happens when people that don’t have that check account need some quick cash to get through a tough month? They use a pawn shop.
A pawn shop will make a loan to someone without any kind of bank account required. The only thing someone needs is an item of value that the pawn shop accepts.
Gold jewelry is the most common asset and virtually everyone has at least one gold ring.
People with poor credit histories are typically in bad shape if they need to get a loan for an unexpected expense.
Banks and other lending institutions depend on credit scores almost entirely to determine if they will make someone a loan and if so, how much it will cost that person to pay it back.
The worse their credit is, the higher the interest rate typically will be.
But Pawn Shops Don’t Care About Your Credit
To a pawn shop, someone without credit isn’t a ‘bad person.’ They are just like anyone else that needs a little money to get them through whatever they may be going through.
A pawn shop will make you a loan if you have bad credit, or no credit.
Better yet, the rate it will cost to pay back that loan doesn’t change based on your credit history. It will cost a person with bad credit the same amount to pay back their loan as it costs someone with perfect credit.
Pawn Shops Will Let You Have Time To Pay Back Your Loan
Typically speaking as long as you make the minimum monthly interest and storage payments a pawn shop will let you have as long as you need to pay back your loan in full.
Better yet – in most state’s there is a ‘grace period’ before a pawn shop will forfeit your item. For instance, in Ohio it’s 90 days.
That means you can not pay a single dime towards your loan for 89 days and if you come in at the last moment and pay up your interest it’s just like you had been paying all along.
Try to get your credit card company go for 90 days with no payment and see how far you get… Pawn shops are far more forgiving and friendly business to make loans with by comparison.
If You’re Buying From A Pawn Shop You’re In Luck
Another great benefit of pawn shops is if you are shopping in one.
You are going to find a wide variety of merchandise at rock bottom prices most of the time.
Jewelry is a big one. Typically speaking you are going to save between 30-70% by shopping at a pawn shop for your next ring, bracelet or necklace. When you are talking about items that cost thousands of dollars, 30-70% is a HUGE savings!
Typically tools and some new electronics are the same way. Going to the pawn shop first will really help the savings add up.
The Nerd’s Experience
I’ve spent a lot of time in pawn shops and I’ve got to tell you – the most rewarding experience is helping a customer that would have no other way to get quick, emergency cash when they need it if we weren’t there for them.
We play a vital role in the community we serve and I know the people well – just as well as they know us.
When I see our customers out and about, all I typically hear is how thankful they were that we were there for them when they needed us.
Pawn shops truly help the community they serve and creates a positive experience and sense of relief for many. That’s a positive influence that you simply won’t find in any other business.
As humbling as it might be to have to go to the pawn shop, they are there for you when you need them and are happy to help in any way the can.
Thanks as always,
The Head Nerd
