A top-rated pawn shop is a place where people can get a quick cash loan with no credit check. When you bring in an item that is worth money, the pawnbroker will give you a loan offer based on demand and resale value. If you don’t pay back the full loan within the month, then they will sell your item and keep the proceeds for themselves. Experts like Corey Harrison and Austin “Chumlee” Russell are often called in to determine the authenticity and value of items brought into the store.

Discover the Best Local Pawn Shops Near You

While it might seem like a good idea to borrow money from a pawn shop, the process of getting a loan is often a lot more complicated than advertised. For example, some shops add storage fees or a $10 processing fee to their loan amount. Others might lowball appraisals to pad their profits. Some even charge interest rates that are higher than a credit card.

It’s no wonder that pawn shops have a bad reputation. After all, if someone brings in something that’s stolen or fake, then the pawn shop might be liable for criminal prosecution. That’s why many pawn shops require that you bring in your government-issued ID when you want to sell an item. They also ask questions about your item’s history and use to prevent fraudulent transactions. However, you can save yourself from the hassles of a pawn shop by learning some simple financial tips before you ever step foot in one.