Pawning is the act of loaning or selling your old item to a shop. A pawn shop is one of the best places where you can earn extra bucks to pay off your bills, buy other gifts, or fund your book-expenses. But, it is also the place which has been dealing with so many people that the owner knows the real value, and will try to get himself on the upper hand. So, this increases the chances of you getting exploited.
There are some rules that you should follow while dealing with a pawn shop. This will help you land up with a better bargain than you may otherwise get.
Know the item to be pawned and its worth
The first rule of any trade is ‘know your worth’. This is also applicable in a pawn shop. Before pawning anything out, you should know the item that is going to be used in it. You should be sure that the item will not be required by you for a long time, at least till the end of ‘pawning’ time. Then, do research to find out how much your item is worth. This will help you set up a negotiation-margin. In this way, you will not end up giving away your object for a lesser amount of money.
Make it clear whether you want to sell or mortgage
Most of the times, the owners of the items end up losing them in the market. This happens not only because of the pawn-owner’s alacrity of getting extra bucks on the item, but also because of unclear communication. While giving your item away to a pawn shop-owner, make him/her clear what you actually want to want with it: sell it or take a loan out of it. In this way, you will sign the correct papers and deals, and secure your item from the market.
Be clear about money
It’s your item you are giving away, so it is your right to demand the right amount of money. Make the owner very clear about the amount of money you expect from pawning the item. Sometimes, people tend to end up having a shorter end of the stick only because they have not been clear enough about the money they actually want. You should remember one thing, though: pawn shopkeepers do not care about the attachment you have for the item, nor do they care about its value in your life. So it is better not to take it as a factor to ask more money out of the item than its market-worth. Be reasonable and realistic while naming your price, as it will give the owner an impression that he is not dealing with an amateur and will take you more seriously.
Do the paperwork and collect the money
Once the price has been negotiated with, it is time to do the main job: fill the paperwork. The owners will give you the right paperwork in most of the cases, but it is advisable to go through it once again, so that there is no problem afterward. After all, it is not your word that counts, but your signature. Read everything in the paperwork: the mention of your item, the amount of money exchanged, rate of interest and penalties impressed and amount of time. You should also be careful which paperwork you are filling up. If you are loaning, go for the loan-paperwork, and if you are selling, go for the sale-paperwork. While filling the paperwork, you will need a state- or country-issued valid ID and thumb-impression on the back of the receipt.
Once paperwork is done, collect the money from the owner. Count the money before leaving the shop.
Repay the agreed amount on time
The best way in dealing with a pawn-shop is to return the money, along with the required interest, on time. This will not only help you save penalties, but also increase your image in the shopkeeper’s eyes. This way, you will be ensuring yourself with better deals tomorrow. Moreover, the shopkeeper will not increase the penalty or interest the next time, thus securing you a fair deal. Returning money on time will also see you secure your item safely, without running into a risk of losing it to the market. So, you should be careful about asking for money in the first place. You should know your capacity of reimbursing the money on time.
