How to Use a Pawn Shop in Hollywood

pawn shop in Hollywood

If you have never been inside a pawn shop before, then it might be fair to assume that the only idea you have of such an establishment is the over the top portrayals in TV and movies, almost always to do with illegal business of some kind! However, in real life, this couldn’t be further from the truth. 

Pawn shops are a perfectly legitimate place to both buy and sell items, as well as a great place to organize a simple collateral loan without all of the institutional red tape of somewhere like a bank. If you are interested in using the services of a pawn shop in Hollywood, then here is a basic rundown of what to do and how to do it.

You Bring In An Item Of Value 

The first thing that you need to do if you want to receive a loan from a pawn shop is bring with you an item in your possession that you think will cover the value of the amount that you need. This is known as collateral.

You Will Be Loaned Money Against The Collateral

After the pawnbroker has assessed the item you present, they will come up with a figure that they think is worth, and this is the figure that you will be given in the form of a loan from the shop.

You Need To Pay Back Plus Interest

Once the deal has been made, it is now your responsibility to repay that initial loan figure in the time that has been agreed upon with the pawnbroker, plus the amount of additional interest that they have stated. You need to do this in order to get your item of collateral back at the end of the transaction.

If You Can’t Pay, You Lose The Item

If for any reason, you are unable to make the required payments in time, then the pawnbroker is within their right to keep the item of collateral that you offered, and this is in order to recoup the lost value of the money that they loaned to you that you cannot pay back.

pawn shop in Hollywood

Be Prepared To Haggle With The Pawnbroker

Though many pawnbrokers will always use the base value of gold for things like jewelry, when it comes to other, less ‘cut and dry’ items, you should always be prepared to haggle and try to prove the item’s worth. They will always want to offer as little as possible for your collateral, so don’t be afraid to argue your case.

If you think that you would like to visit a pawn shop in Hollywood, then a good place to start is by visiting the LA Loan Company website. Here, you will find lots of great information on everything to do with pawn shops in the city, with answers to any burning questions that you might have. Our aim is to make sure that pawn shops are no longer a mysterious concept to you, but rather one that you feel comfortable enough to use time and time again.