For those of us who have to pawn items for financial reasons, it can be a bittersweet experience. One thing it doesn’t have to be, however, is confusing! Here are 6 questions to ask your pawn broker when pawning your items.
1) “How much can I get for this?”
This is what you’re at the pawn shop for, right? Though it helps to get an independent appraisal of your item beforehand, even knowing how much you think is a fair amount in exchange for your item will go a long way toward determining whether or not the pawn shop you’re in is the right one for you.
2) “What are your fees?”
Depending on the pawn shop, there may be some sort of transactional fees that are due. For example, there may be storage fees associated with keeping your item on the premises.
3) “What is your interest rate?”
When getting a loan for your item, this is very important– you want to make sure that it’s low enough so that it’s a reasonable amount to pay off.
4) “How long have you been in business?”
This might not seem like a very obvious question to ask, but it’s kind of an important one! As new pawn and loans businesses pop up all the time, you want to make sure that the one you’re dealing with is reliable, as that should give you more peace of mind that your item will be there when you come back to pick it up. Not only should you ask how long they’ve been in business, but also how long they’ve been at their current location.
5) “What sort of insurance do you have?”
A reputable pawn shop should have insurance, but you want to make sure to ask, as you would want to be compensated for your item in the event of a break in or disaster, such as a fire.
6) “Do you have any sort of notification service in place?”
While certainly not a requirement, it’s a convenience and an extra safety net for you if a pawnshop can provide you with updates on your loan. For example, they could have an automated reminder a few days before a payment is due, or, if your loan is repaid, to go to the shop and pick up the item.
These are just some of the important questions to ask! Don’t be afraid to ask more!
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