August 9th, 2023
Why You Should Avoid Pawning Your Jewelry
When you are in need of immediate cash, the first thing that comes to your mind might be to sell your jewelry. You might consider going to your local pawnshops and handing over your most precious jewelry, thinking it is the fastest way to turn them into money.
But is it the best option, and will you receive what your fine jewelry is worth?
You will be surprised that the answer is no. In fact, far from it. To understand how pawnshops will not offer the best value for your jewelry, we need a deeper understanding of how they operated since when they were first conceptualized 3,000 years ago and how they evolved through time.
How Do Pawnshops Work?
The pawnshop business model has been practiced for over 30 centuries already. It started in Ancient China and worked its way to Greece and Rome as a way of granting short-term small loans to peasants in exchange for collateral and high interest. If the borrower cannot repay the money plus the interest in the given timeframe, The pawnshop would have the right to sell the valuable item.
This business model aims to get higher profit from your valuable items in exchange for high-risk financial aid.
Why Pawning Your Jewelry is Not Worth It?
Typically, pawnshops offer much less than the value of your jewelry. If you plan to borrow money and pledge your jewelry as collateral, most pawnshops will only offer you 55% to 75% of the value of your jewelry.
You may also pay interest ranging from 5% to 25% per month. On average, the repayment terms are between one to four months. The longer the payment term is, the higher the interest rate. But if you fail the repayment terms, you will not be able to get your jewelry back, and the pawnshop can sell it at a much higher price.
On the other hand, pawnshops may offer to instantly buy your jewelry instead of loaning money and using it as collateral. However, most pawnshops are not fitted to evaluate jewelry and fine luxury watches. They deal with all kinds of merchandise and certainly, they do not have in - depth expertise in watches and jewelry.
Where is the Best Place to Sell Your Jewelry Near Me?
There are many alternatives to pawning or where to sell jewelry. One of these is through consignment. Jewelry consignment is a method of authorizing a person or jewelry store to sell your jewelry in exchange for a commission. However, the downside of consigning your jewelry without proper research, or with unvetted merchant, maybe high commission rates and hidden fees or automatic price reductions you are not aware of.
Another way is through jewelry auctions, especially for rare jewelry pieces. However, auctions may charge a high commission rate, and the process takes longer. Therefore, before auctioning your jewelry, you must consider the timeline before receiving the cash.
Recently, selling jewelry online has gained popularity. Many people now prefer selling anything online, including jewelry. When you search online for the “best place to sell jewelry near me”, there can be thousands of options. However, you should be careful in dealing with people you just met online. It is important only to research and do business with the reputable jewelry companies that can get you the best deal , like Sell Us Your Jewelry.
How to Sell Your Jewelry Online?
Selling your fine jewelry online may not be as easy as it may appear. First, fine jewelry may have higher prices, and many people may not prioritize buying them. Random online services may lack experience or they could be dishonest. They may not be willing to pay the price that is fair and will offer a lower price than your expectation.
Therefore, your best option is to sell your fine jewelry and watches to a trusted jewelry company that buys pre-owned jewelry and watches at a fair price, through easy and fast process . This is where Sell Us Your Jewelry excels. In fact, they have already built their reputation in the industry since it was established in 1980 by Gray & Sons Jewelers.
Sell Us Your Jewelry understands the value of your jewelry.They have in house jewelry and watchmaking experts who will assess your jewelry free of charge. There are no hidden charges, commissions and the process is very straightforward.
You can personally visit their store to ask for quotations. You can also do this by visiting their dedicated online purchasing site for preowned luxury watches and jewelry, gold, silver, and diamonds.
The process can be done entirely online. You will only be asked to provide the details of your jewelry and some photos for the preliminary quotation. Upon request, Easy ship box will be sent to you. You will mail your item to their store, insured. They will contact you within 24 hours of receiving the package to give you the final offer. If you agree, you will instantly receive the payment through your desired method.
Final Thoughts -
Although it may seem that pawning your jewelry is best when you need instant cash, it is worth exploring other better options: safer and more profitable - selling or consigning with your expert, trusted jeweler. Finally, parting with your treasured jewelry will be easier and stress-free.
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