Some Questions and Answers You Always Wanted to Ask a Pawn Store Owner

Pawns and loan stores in the Bay Area are often seen as a place that is dubious and not for ordinary people. Thanks to popular culture, most people think of pawn shops as places where criminals and desperate people go to sell or pawn items. But the truth is further from it, and to help you understand this business, here are some questions and answers you have always wanted to ask a pawn store owner.

Do you buy stolen items?

Contrary to what you see in movies or TV, pawn shops are the last place for a criminal to sell stolen or illegally obtained merchandise. That is because, as pawn shop owners, we work closely with local governments and police. Our staff is trained to identify suspicious merchandise and sellers. We need clearance from local authorities to open a pawn shop, and we want to keep that license. So, no, we don’t buy stolen items.

Is a pawn shop a regulated or unregulated business?

Of course, pawn shops are highly regulated business places. In California, we must apply for a license through the local chief of police, police commissioner, or local sheriff to the California Department of Justice. We have to give a two-year surety bond and a financial statement to show we have enough assets and follow federal laws like USA PATRIOT ACT, Truth in Lending Act, etc.

How do you assess items being pawned?

Anything from jewellery to guns to old designer bags can be pawned in a pawn or loan shop. The value of the items is judged based on the item type and conditions. Sometimes our shop assistants will consult a guidebook if it is a very common item or look online to find more about it. Of course, things with valid paperwork get assessed faster. So, if you are looking to pawn your luxury watch in a pawn shop in Bay Area, bring your original receipt, the box it came in, and any other paperwork that proves its worth.

Do you accept anything and everything?

One of the biggest criteria for accepting an item as a pawn is its marketability. If we can’t sell the item pawned, there is no point in keeping it! Or we will offer less money for it. The marketability is highly based on the area; for example, surfboards can be easily pawned in California but won’t be in an inland place.