Frequently Asked Questions
As part of our customer-first mentality at M Pawn Shop in Los Angeles, we’ve taken the time to answer some of our frequently asked questions. Should you not find the answer to your specific question listed below, feel free to reach out to us directly via phone or email and one of our friendly, knowledgeable associates will reply as quickly as possible.
Q. How does your pawn shop work?
M Pawn Shop buys, sells, and loans money on many valuables, ranging from gold and diamond jewelry to electronics, musical instruments, tools, household items, and more. We typically look for items that maintain their value over time and are easy to store, especially jewelry. All of our customers provide collateral, eliminating the need for us to distinguish high-risk from low-risk borrowers.
Typically, the pawn loans we offer are small, averaging between $70 and $100. However, they can be as low as $20 or as high as several thousand dollars depending on the value of the collateral involved. The process is much the same as any other lending institution, with the primary difference being the size of the loan, the collateral, and the holding of the merchandise until the interest or the loan has been repaid in full.
Q. Why would someone go to your pawn shop to get a loan?
A. Our loan process is pretty similar to other lending institutions. The main difference includes the size of your loan and the fact that we hold your collateral until the interest and the loan have been repaid. We offer loans up to eight months with only 1% interest. You can rewrite your item for another collateral loan as many times as you want simply paying the 1% interest per month.
Q. What’s your item foreclosure procedure?
A. Your item will never foreclose as long as you continue making your monthly payments to us on time.
Q. Do most of your pawning customers lose their merchandise?
A. No, we only have a 10% foreclosure rate, and that’s only because we allow more time and lower interest rates than many of our competitors.
Q. How can I be sure the merchandise I purchase at your pawn shop isn’t stolen?
A. We report every item we buy to the Los Angeles Police Department’s Pawn Section on a daily basis, so you can rest assured you’re not buying stolen merchandise at any of our four California pawn shop locations.
Q. What’s the difference between buying at a pawn shop versus buying at a retail store?
A. The cost and selection! Our prices are guaranteed to be 60% below any retail store on average.