How pawnshops can help you get through tough times

Times are hard for most people, and at some point they have to resort to getting a loan to meet their financial needs. The problem is that banks and most financial institutions require a person to have a good credit history, besides that, it takes time to get an approval. Where can you go if you have a bad credit score or you are facing something that requires immediate action? There are a lot of money lenders out there but most of them turn out to be loan sharks. The best thing to do when you need money in a hurry is to approach a pawnshop. Look around your house. Is there something you don’t really need that is valuable? It could be an old cellphone, a computer, some electronic gizmo, etc. Pawnbrokers accept most items if they are valuable and in good working condition. Most Melbourne Pawnbrokers love gold jewellery.

If you have gold jewellery that you don’t use that much, you can get a lot out of it by pawning it. Old gold jewellery that has been stuffed in some drawer for some time can be useful. You don’t have to hold on to jewellery from a failed relationship. Pawn it, sell it get cash for it instead of keeping it as a memento.

The value of your jewellery does not appreciate with time however, with gold, the spot price will be factored into the valuation of your jewellery pieces. You can work out a rough estimate of what your gold jewellery is worth. Do some research online to find out what others are willing to pay for your gold. Use online tools like gold calculators to work out how the current spot price of gold affects the value of your jewellery. When you have a general idea of what to expect, then you can approach a pawnbroker.

Pawnshop will approach gold jewellery differently than a jeweller or a gold dealer would. Pawnbrokers typically offer less than gold dealers because they can’t turn an immediate profit on what gets pawned. They carry the risk thallllt the money they lend you might not be paid back for whatever reason and they then have to sell it. For Pawnbrokers, selling also comes with its own challenges for instance, gold engagement rings may not be popular and it might be months before your particular ring gets sold.

Pawnbrokers will offer you less so that they can make a good profit on your jewellery. But you don’t have to accept the first offer you get. Take your jewellery to as many Pawnbrokers as you can and compare the quotes you get.  Sometimes, you may get a different quote that is slightly higher than the original from one shop if you visit on a different day or get served by a different person. It has been known to happen, which is why some establishments have special guidelines on valuations and pricing.

A Pawnbroker will evaluate the item you bring in and then offer you a price. This could be anything from 25 to 80 percent depending on whether it’s a cash loan or a sale. They will also take into consideration what the demand is for that particular item. The higher the demand, the better the chances of you getting a high price for it.

Don’t expect to get more for your items just because you’ve never used them. They may have sat untouched in their original box – you still will not get the full retail price for them.

Have a figure in mind when you take your valuables to Melbourne Pawnbrokers. But be realistic.  It won’t do you any good to try and pawn or sell something that is worth $100 if you need $300. There is no way you can negotiate a $100 item to $300, even $120 is a stretch.

Manage your expectations when it comes to gold. A lot of pawnshops buy gold but not all of them are discerning in their prices. Some Pawnbrokers will offer scrap prices for gold jewellery. This means any kind of gold is treated the same. You could be selling an expensive wedding ring or your grandmother’s prized necklace, it will be evaluated the same way as old, broken gold jewellery and someone’s dental fillings