We all know that pawn shops, ours included, deal in many common commodities. There are firearms, coins, jewelry, tools, home electronics, car audio and many other products you would expect to find at a pawn shop. But one of the most interesting things is that our inventory is always in motion, and by the very nature of a business like this, we sometimes come across unique items that do not fit into our general product categorization.
Most people are at least somewhat familiar with the process of financial bankruptcy. Whether it involves an individual, a business or even a country, when debts rise above one’s capacity to pay those debts, financial insolvency ensues. When people and companies are involved in bankruptcy, lawyers file papers, wave a magic wand, and the debts are resolved while adverse effects take hold on said party’s credit rating. So what happens when a country goes bankrupt?
Gold is a precious metal and fairly rare element that has been used throughout history as a monetary system in the form of coinage, in jewelry and other forms of adornment, and in other arts as well. Although the world monetary gold standard was abandoned in favor of a fiat currency system in the 70s, the value of gold persists and actually continues to grow in spite of this.
“Pawning” is a process in which you bring an item into the pawn shop in exchange for a cash loan. For example, you might pawn a gold ring as collateral for a $150 loan. If you repay the loan by a predetermined date, you can retrieve your gold ring. The loan repayment amount will include interest and fees that are typically regulated by the state. You also have the option to extend the repayment time frame, although this will incur continuing interest. If you fail to repay the money on time, the pawn shop takes ownership of the ring and can offer it for resale. A large percentage of pawned items are reclaimed by their owners, but some are forfeited and thus provide inventory for the pawn shop to sell. Pawn shops also purchase items outright to resell, which is another way to provide clients with the cash they need and to acquire inventory for the store.
Some things in the ‘general market of everything’ hold greater value and appeal than others. Technologies change, fads come and go, and styles evolve to reflect the consumers they target. There are also certain ‘fixed points’ in these markets – goods that are equally desirable, if not more so, at any given time.
Pawn shops get a bad rap. While they certainly offer much-needed items at low prices, they’re not necessarily places of bad business, cheap items and scams. Despite being local establishments, pawn shops have a high amount of resources available. They use these resources to abide by the law, hold competitive rates and uphold community values. We’re debunking the top five myths surrounding pawn shops, one fact at a time.
With the holiday season upon us, giving (and receiving) gifts is part of the cheer during this time of the year. No matter the winter blues, the inconvenient blizzards and the frosty car windows – a cup of steaming hot chocolate and classic holiday movies with the family makes everything right.
Silver has been valued as a precious metal throughout history. Used in many pre-modern monetary systems as currency, it also sports value in jewelry, industrial and commercial applications and medical science, and has always been a staple of investment endeavors. The value of silver fluctuates in relation to economic conditions and market variables, but it has always persevered through good times and bad alike.
Starting the year out under $1100 per Troy ounce, gold has worked its way up to $1273.80 per ounce as of May 16, 2016. Used as a guideline of value for currencies around the world, the price of gold fluctuates due to a number of variables.
“Pawning” is a process in which you give the pawn shop an item in exchange for a cash loan. For example, you might pawn your television as collateral for a $100 loan. If you repay the loan by a specified date after you pawn the item, you can retrieve your TV. The loan repayment amount will include interest and fees that are typically regulated by the state. If you don’t repay the money on time, the pawn shop takes ownership of the TV and can offer it for resale. Most of the items pawned are reclaimed by their owners, but some are forfeited and provide inventory for the pawn shop to sell. Pawn shops also purchase items outright to resell.
Pages: Previous12NextReturn Top