Why Delray Beach Pawn is the Best Place to Pawn Gold

delraypawnmaster delray beach pawn shop January 2, 2023 | 0

Why Delray Beach Pawn is the Best Place to Pawn Gold

The economy has been rough on all of us. Rising gas prices has led to rising food prices which has led to rising prices in just about every other industry. It can be impossible to keep your head above water.

If you’re having trouble making it through tough times, there is a solution. It’s called a pawn shop. A pawn shop will buy or offer loans for valuable items giving you the financial assistance you need to survive through your economic rut.

There are many items a pawn shop will accept with gold being one of the most common. Read on to find out what you need to know about pawning your gold items at Delray Beach Pawn.

Why Gold?

Gold is an excellent item to pawn in times of inflation because it holds its value longer than other types of assets. Therefore, it can act as a hedge against inflation when buying power for goods and services decreases.

For example, in the 1970’s inflation hit hard with interest rates going from 5.84% to 13.58% from 1970 to 1980. Meanwhile, gold rose from $35 a share to $850 a share in the same time period.

Gold is an excellent item to pawn during tough economic times because it is sure to get high valuations at pawn shops. This is because it will retain its value and it will be in high demand.

What Gold Items Can I Sell?

A pawn shop will take just about type of gold item as long as it’s real. Here are some of the gold items pawn shops deal with most often:

Gold Jewelry: Pawn shops accept all kinds of gold jewelry including earrings, necklaces, brooches, rings, bracelets, and more.
Gold Watches: Gold watches will bring in a pretty penny at a pawn shop, especially if the watch is made by a high-end designer such as Rolex, Cartier or Audemars Piguet.
Gold Coins and Bullion: Gold bullion is gold kept in the form of bars, ingots, or coins. Pawn shops will be happy to take these items off your hands.
Dental Gold: Yep, even items like dental crowns, caps and partials can be worth something. They can be melted down into bars, rounds and more.
Gold Scraps: Gold scraps like broken jewelry and mismatched earrings can be worth more than you would think.

How Do I Know if My Gold Items are Real?

You may have gold items in your home, but you may not be sure if the items are real gold or not. Here are a few ways you can test if they are the real deal.

Drop the Gold in Water: Real gold is dense and will sink when placed in water.
Look for Discoloration: Real gold doesn’t tarnish so if you see discoloration, the item may be fake gold or plated gold.
Place Drops of Vinegar on the Gold: Vinegar will discolor fake gold, but real gold will retain its color.
Note Discolorations on Your Skin: Gold does not react with sweat and oil in your skin. So, if you see black or green marks on your skin after removing a piece of jewelry, it’s probably not real gold.
Do the Magnet Test: Gold is not magnetic, so it won’t stick to a magnet. You can test it by holding the magnet over your item to see if there is an attraction. If there is, your item is not real gold. Note that you must use a magnet strong enough to attract and hold the gold for accurate results.
Check Manufacturer Markings: Most gold jewelry will have some sort of engraved marking. Jewelry made in Europe will have a number between 1 and 999 with 999 meaning pure gold. The U.S. uses a scale from 0 to 24 where 24K is real gold. Note that if the ring says GP, GF or GEP, it means it’s gold plated, gold filled or gold electroplate. None of these materials are as valuable as real gold. However, there may be some elements that add to the item’s value such as a designer name or precious stones.
Got to a Jeweler: Another option is to bring your gold jewelry into a jeweler. The jeweler will appraise the ring and tell you if its real as well as how much it’s worth. Getting an appraisal is a good idea as it will let you know if the pawn shop is providing a fair valuation for your item.

What is the Pawn Process Like?

If you have never pawned anything before, you may wonder what’s involved. You can either sell or get a loan for an item at a pawn shop. Here’s how the two processes work.

Sell an Item: If you want to sell your item, all you need to do is go into the pawn shop with your item. The salesperson will assess it and make you an offer. If you agree to the offer, you can leave with cash in hand.

Get a Loan: Getting a loan for an item is slightly more complicated, but it’s still a relatively easy process. As a bonus, it allows you to get the cash you need, and you probably won’t have to part with your item on a permanent basis. Here’s what’s involved.

Come into the store with your item. The salesperson will assess it and offer you a loan.
If you agree to the loan you can leave with cash in hand.
You will need to pay off the loan in accordance with the terms that have been worked out. When you pay off the loan, you will get your item back. If you are unable to pay off the loan, the pawn shop will keep your item, but the unpaid amount will never go into collections or show up as an unfavorable mark on your credit score.

How Should I Prepare My Gold for a Pawn Shop Sale?

There are several things you can do to prepare your gold for a pawn shop sale. Here are some suggestions:

Clean the Gold: Cleaning your gold will make it look shiny and new. You may be surprised to find how much this can increase the value of the item you are selling.
Bring in Authentication Papers: If you are bringing in an upscale piece of jewelry, it may have come with authentication papers. If you have these papers, bring them into the pawn shop with you. This will show that you are the rightful owner and that the item is the ‘real deal’. If you don’t have these papers, a box or the original receipt may also be helpful.
Make Small Repairs: If the item has any signs of damage, fix them before you bring it in. For example, if you have a gold necklace with a broken clasp, have the clasp fixed before pawning it. If you have a watch that needs a new battery, change the battery before pawning it.

Why is the Pawn Shop Loan Better Than a Bank Loan?

If you are thinking of getting a loan, you may wonder, why not just go to a bank? After all, a bank is a trustworthy institution that is known to provide low interest loans. Well, here are some reasons why a pawn shop loan is better.

Easy Approval Process: A bank will require you to show a credit score and proof of income before they approve you for a loan. With a pawn shop loan, all you need to do is bring in an item of value and you can leave with cash in hand.
Fast Funding: A bank loan requires extensive paperwork. Therefore, it can take days or even weeks before your loan is approved. With a pawn shop loan, you just bring in your item and you can leave the same day with cash in hand.
No Collections/Credit Score Damage: if you are unable to pay off your loan, the shop will keep your item, but unlike a bank, the unpaid amount will never go into collections or damage your credit.

How Do I Know if I Can Trust a Pawn Shop?

Pawn shops have gotten a bad rap in the past. But many of them are trusted businesses that have been in the industry for years building strong reputations with their community.

So how do you know if the pawn shop you are thinking of working with can be trusted? Here are a few things to look out for.

Customer Reviews: These days, almost every business has online reviews from past customers, and pawn shops are no exception. If a pawn shop has mostly positive customer reviews, it’s likely that you can trust them.
Years in Business: If the business has been active for a long time, it means they have spent years building a strong reputation in their community. Some newer shops may be associated with established locations which is also a good sign.
High Valuations: If the shop provides accurate and/or high valuations for the items you bring in, they are likely to be trustworthy. Get your item appraised in advance to determine if they are making a fair offer.
Good Loan Terms: If you are going in for a loan, you must make sure the shop offers good loan terms that offer flexibility and reasonable interest rates and fees.
Licensed and Insured: If a business is licensed it means it is backed by a government organization and that it meets certain standards. If it is insured it means it will replace your item if it becomes lost, damaged, or stolen while the shop is holding on to it.
Good Selection: A pawn shop is not only a great place to pawn an item, it’s also a terrific place to shop. If you are looking to get some shopping done, a pawn shop is the place to go as it offers luxury items at discount prices.