Short Guide for Smart People: Getting a Pawn Shop Loan

There's a right way and a wrong way to get a pawn shop loan.  There's also a right time and a wrong time.  Here, we're going to tell you how smart people get pawn shop loans – about the right way AND time.

But first, let's consider why you're getting a loan from a pawn shop. 

Hopefully it's for the right reason. 

For instance, perhaps you're late on your apartment rent and need some fast cash to pay off your debt.  Or maybe you need to pay the gas bill so you can cook and eat things other than canned food.  Or maybe you're starting a new business and need some money to pump into it.  These are all good reasons to get a loan, as long as you believe you can pay it back within the time the pawn shop gives you.

You don't have forever to buy your collateral back from the pawn shop.  This is why you need to make sure the time allotted by the pawn shop for buyback is sufficient. 

Do it the Right Way

The only reason you're loaning instead of selling is because, eventually, you want to get your piece of collateral back.  If you don't care about it, or don't need it, you can just sell it.  There's no point in taking out a collateral loan from a pawn shop if you don't intend on getting the item back.  If it makes no difference to you whether you own the item or not, just sell it.  Don't waste your time with the loaning process.

However, if you know you want to keep the item for yourself or someone else, make sure you're positive you'll have the money in time.  Since pawn shops only give you a limited time to buy back your collateral, it's not wise to take out HUGE loans.  Only take what you need and don't get greedy.

If you get smaller loans, or loans within your means, you have the greatest chance of getting your collateral back without complication. 

In addition to doing it the right way, make sure you keep your loan receipt.  This prevents a world of future hassle when you go to buy back your collateral.

Do it at the Right Time

When you need money, you need it.  And when you're making just enough to get by, it's hard to put a timestamp on cashflow.  But just because you can't judge your cashflow doesn't mean you can't have control over when you take out a pawn shop loan.

Although it's tempting to give something valuable up (a car?) for a wad of cash, it's unlikely you'll pay it all back ... unless you know you're getting paid a substantial sum, within the allotted time the pawn shop gives you. 

In this case, if you ABSOLUTELY needed money NOW, it would be the right time to make that decision.  On the other hand, if you weren't expecting a large cashflow to buy back your collateral, the time wouldn't be right.  Since you probably need your car to get to important places, basing a loan on it is not worth the risk.

Instead of asking for a loan, maybe it's a better time to sell.  And if one item won't cover your debt or expenses, try selling several things.  Things you can live without.  Taking out a pawn shop loan smartly is all about timing and prediction.  If you can strongly predict you'll pay off your loan in the allotted time, getting a pawn shop loan may be a good idea for you.

Going Green

There's a lot of talk about going green, and we are all doing our part. Sure, you recycle cans and plastics and glass, you shop for products made from post-consumer recyclables, you try to be energy efficient around the house and where you work, you've swapped out all those old bulbs with energy efficient CFL bulbs, maybe you even drive a hybrid or you've been thinking about those all-electric cars...but have you given any thought to one of the easiest and most cost-efficient ways to help recycle?

Buying pre-owned. Let's take a look at some benefits...

A Little Lesson About Loans

A little lesson about loans

It happens.

Every now and then, from time to time, emergencies pop up, the unexpected happens, or sometimes that paycheck you are counting on is delayed. The point is, it happens to everyone…you need just a little help to get by. We're glad to be there to help with our short-term, collateral-based loans, as you know. The rules behind these collateral-based loans are all set out by the Florida State Pawnbrokers Act, but let's be honest here…that's a pretty dry read. I'm getting kinda bored and sleepy just mentioning it.

Lucky for you, we're going to distill it down to the basics. 

Pawn Shops Make for Profitable Visits

Any time that an individual needs to generate some extra cash, visiting pawn shops represent great opportunities.  Taking your old memorabilia and antique items to the local pawn shop creates an excellent way to sell these items and eventually put them in the hands of those that will have a sincere appreciation for the goods.  These shops are located all over the continental United States.  Gainesville pawn shops offer a great and accommodating location for people in northern Florida and the town sits just off of Interstate 75 (US-I-75).

The first pawn shops were said to be found as far back at ancient Greece and the time of the Roman Empire.  Back in these days, King Edward III actually pawned royal jewels in 1338 to help fund the war with France.  These businesses have long been based on a strict cash business model.  That is, simply bringing in your older goods and exchanging them for straight cash.  It was not long ago in the United States that electronic payments started to make their way in to pawn shops.  With the expanding electronic commerce industry and the emergence of Merchant Data Systems, statistics on the pawn shop business have indicated a strong growth in activity.  This adoption of these advanced payment systems, in addition to the increased visibility and awareness thanks to the History Channel and their coverage of “Pawn Stars”, more people are understanding how these shops work and how they can start to make some extra cash for themselves.

Many businesses throughout the United States that work in the Pawn arena have even started including financial services, currency exchange, and more.  The simple days of introducing your goods and exchanging for cash are evolving and this trend is expected to continue in to the future.  Simply put, Americans enjoy the ability to bring in their old items and obtain cash and other services in this hip, negotiating manner.

The industry is not just attractive to those individuals that enjoy looking for older and historic items, the negotiating process is also a thrill for some individuals.  Typically, the individual will negotiate the price with the pawn shop, who must consider how much they will be able to sell the item for in the future.  This unique trait of people is interesting in the fact that it comes out in these types of circumstances.  Nonetheless, people enjoy the thrill of selling their old items in exchange for cash which they may use in a multitude of ways.

The Showdown

Throughout history, there have been issues that have divided families, made enemies out of close friends, and even started vehement arguments that lasted until early hours. The Civil War, liberal versus conservative, paper versus plastic, Coke versus Pepsi...all pale in comparison to perhaps one of the greatest controversies of our age: Apple's iOs versus Google's Android OS. Throughout history, there have been issues that have divided families, made enemies out of close friends, and even started vehement arguments that lasted until early hours. The Civil War, liberal versus conservative, paper versus plastic, Coke versus Pepsi...all pale in comparison to perhaps one of the greatest controversies of our age: Apple's iOs versus Google's Android OS.

A Familiar Ring To It...

My favorite part of the day is when a young man enters my jewelry section in search for that one particular piece that will say to his prospective significant other, “yes, I love you enough that I would sacrifice this much money for you.”  My favorite part isn’t the look of joy he experiences when I give him an amazing deal on an amazing piece.  No, my favorite part is explaining to that young man that he is participating in a mating ritual that has existed since time immemorial!

Strange romantic symbolism binds our age to ancient times.  But our ties are lost if we forget why our traditions exist.  I mean, why do we wear rings on our ring fingers?  Why do we give our spouses gold?  Why do we spend so much money on diamonds?  Why do we choose diamonds anyways?  Everyone used to know the reasons why we have these traditions.  Now we simply operate as if these traditions were rules that always existed and never evolved.  But that isn’t true.

Fun Facts:

1.      The tradition of wearing a ring on the left hand wasn’t universally accepted until after WW2.  Almost all modern cultures wear the wedding band on the left hand, except for Korea.  Koreans traditionally wear their wedding band on the right hand.

2.      In ancient medicine, the ring finger was thought to house a nerve that connected it to the heart.  It was known as the Love Nerve.  By giving your spouse a ring that was borne on the ring finger, you were symbolically giving something that would always be next to his or her heart.

3.      The diamond has been perceived to possess extraordinary warding powers since its emergence in popularity millennia ago.  A warrior was thought to be able to inherit the hardness of a diamond if he wore the diamond against his flesh in battle.  Diamonds were also thought to protect against mental maladies, contagious diseases and evil spirits.  However, the powers of a diamond were lost if it was purchased—fortunately, the powers may return if it’s given.

4.      Additionally, while the diamond solitaire is the traditional engagement ring, the symbolism of the ring is what is important and holds significance, so when deciding, make sure you find that perfect ring that makes the right statement. Feel free to stop by and ask any of our associates for ideas or examples of different types of rings.

Patience is a Virtue: Depreciation

Welcome to the age of tight budgets and shallow pockets. Since the holidays are coming up your teenager is eyeballing the newest Axe guitar on Craigslist, the pre-teen is ready for a bigger bike and your youngest is checking out the most recent DsI. Even with the holiday sales you’re starting to total anywhere from $500 to $1,000 at a retail store. How is one able to afford all of this? One option is to throw it all on a credit card and defer the inevitable. The other option is to buy used.

However, buying anything used, especially electronics, Blu Ray discs, and musical instruments, can be a daunting, and worrisome task. I’m glad to say that we make it safer, faster, and easier on your mind. At TB Goods we test all of the items that we take in as a Pawn or Buy, then we test them again when we get ready to release them back into the public. Every one of our associates has an area of expertise that ensures that we only take in the best tools, computers, jewelry and any other item that comes our way. So when someone decides they’ve played enough on their $50 amp we can take it, spiff it up and after its gone through the system to ensure that it hasn’t been stolen we can bring it out of our doors and sell it to you for $30.

Here is where it all comes together. That Les Paul Studio guitar that is going for $800 on Craigslist, we just got it into stock (and sold it on Ebay) for $499.99. That adorable pink DsI is retailing for $150, we have it for $100 and that awesome mountain bike was another $150, we have it for $69.99 plus tax.

So now that you know we offer the same items, in comparable condition, for fantastic prices (often marked with a BLUE STAR deal of an additional 30% off) I’ve been reminded to tell you about our 7-day return policy. If for some reason one of our Sales and Lending Associates missed something and an item doesn’t work properly, or isn't what you needed, you can return it and we will exchange it for one that does work properly, or you can get store credit. Try returning an item on Craig’s list, and see what happens!

All of our Layaways are currently 10% down on jewelry and 1/3 down on all other items!
We’re here to help your budget and take the worry out of shopping used items.

Shop our EBAY or come by our two locations in Alachua and Gainesville, Florida! Mention this blog post and get 10% off your purchase!