A Pawn Loan vs Selling at a Pawn Shop

Man in a suit scratching his head with a confused look.

Is it better to take out a pawn loan or sell your valuables at a pawn shop? Either option can get you quick cash, however, whether you decide to pawn or sell depends on many different factors.

When you take out a pawn loan you are expected to pay the loan back with interest. The pawnbroker will make money off the interest and will usually give you a larger dollar amount for the loan than he or she would to simply buy your valuable.

A pawn loan can be the best option if you have a valuable item you do not want to part with and you will have the means to repay your loan and reclaim this item. The beauty of a pawn loan is that it will never affect your credit and you get quick cash on the spot.

Selling your valuables is another option for quick cash at a pawn shop. You may not get as much cash when you sell, as the pawnbroker will only make money once he or she can sell your item. However, when you sell your valuables at a pawn shop there is no money to be repaid. It is the best option for someone looking to make cash on valuable items they no longer need or use.