Pawn shops see holiday rush as shoppers hunt deals and sell for cash
In the months leading up to the holidays, pawn shops across the country are busy as shoppers look to score deals or sell items they no longer need for extra cash.
At the Pawn Shop Chula Vista, you’ll find just about everything — from furniture, clothes and collectibles to tools, jewelry and electronics.
“You never know what you’re going to find at a pawn shop. Any day, every day is different,” said Ronald Krasner, the shop’s owner and manager.
Krasner said that before the holidays, lots of people come by the business. Some are looking to buy holiday gifts at a discount.
“These binoculars retail for about $1,100 to $1,200. They’re for marine use. They have a built-in compass inside. We have it marked for $495, so that’s a little bit
less than half,” Krasner said.
According to Loan Star Exchange, pawnshop items typically cost 40 to 70 percent less than brand-new, retail-priced items.
Krasner said their biggest seller is jewelry.
“This is an 18-karat bridge design. See how the diamonds are a bridge going over the top. A beautiful piece. This would retail for about $5,000, and we have it marked at $2,500. That’s a huge savings for someone that’s looking for a deal,” Krasner said.
Krasner said that because they’re not a jewelry store, there are no upfront costs tacked on.
“You have to pay for the mall. You have to pay for a guy in a suit and tie. And all that expense adds up,” Krasner said.
The other reason people come to the shop is to sell their items and make some extra money. Many are looking to cash in on collectibles like baseball cards, bobbleheads, musical instruments, and comic books.
“A lot of times, people need cash sooner than later, so we’re an easier outlet for them to take care of whatever business they need to take care of,” Krasner said.
Sellers typically can get 30 to 60 percent of an item’s current resale value, depending on the condition and quality. Krasner said most places like his use websites to compare the prices of new versus previously bought items.
“The customer most of the time has to be reminded that they’re selling to someone who has to buy it and resell it and make a few dollars on the deal,” Krasner said.
Another reason for a visit is when people want to give up an item for a collateral-based or short-term cash loan.
“The interest rates that we charge is a lot less than going to either a check-cashing or an advance payday type of business. They just have to leave an item with you, a radio, an electronic, or a tool. They just leave it for a week or two, they come back and pick it up and pay a little bit of interest, and we’re done,” Krasner said.
It’s another option for people when it comes to how to pay for holiday presents.
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