When we are in a tight spot money-wise, our next thoughts are usually on where can we get more money? You might be thinking about taking a loan to help pay off debt, or you’re just saving up to buy something important like a house. We’ve got another idea.
Do you have a lot of things lying around that you don’t really use much? Selling off these older items like jewellery is a great way to gain a bit more income, especially if you go to any of the highest appraisal pawnshops in the Philippines.
Highest appraisal pawnshop Philippines
If there are valuable items in your house that you don’t use anymore or have little sentimental value, pawning can be a really good way to earn a bit more money. Pawn shops are always on the lookout to buy these hidden gems, especially jewellery.
People often use pawn shops to get a short-term loan where they offer their valuables as collateral. It’s a win-win situation when you need cash. You get instant cash on the spot after your jewellery is appraised. You can redeem it in the future by paying them back, plus a small fee (usually a fraction of the loan value). But it stops becoming a loan if you decide you don’t want it anymore. If you don’t claim it, the pawn shop will auction it off.
In fact, you can get up to Php20,000 for a single item! While this might be a lot less than when you first bought the jewellery, don’t forget you can redeem it later in the future!
Rings can be pawned for Php8,000 and bracelets often go for Php11,000, depending on where you go.
How do they work out how much to pay you?
It can seem a bit random when you get an appraisal value. Some people suggest expecting only 10%-25% of your items initial value when you first bought it. Say you pawned a gold ring that you bought a few years ago that was worth Php5,000. Then they offer you Php500.
One shop revealed the price is set according to a more logical formula.
Trading price of gold/31.3 x percentage of gold x weight.
The higher the karat of your jewellery, the higher purity it is. And that means more value.
- 10 karat: 41 percent gold
- 14 karat: 57.5 percent gold
- 18 karat: 75 percent gold
If gold is trading at Php8,000/ounce, you have a 14-carat ring and it weighs 5 grams, it would be worked out like this:
Php8,000/31.3 x .575 x 5 = Php734.82
With this market value, you can detect if someone is offering you cheaper than other shops!
How to pawn off jewellery?
Pawning used merchandise is pretty easy. All you need is to find a pawn shop. You pass them your item and show them an ID (Passport; inlcuding those issued by foreign governments, Driver’s License, Professional Regulation Commission (PRC) ID, National Bureau of Investigation (NBI) Clearance included).
Whilst they appraise your item, you complete a form with your personal data. Then they’ll pass you the money and a redeem ticket. Each shop will have different options for how long you get until your redemption period expires.
Top 5 tips to get the best appraisal value
So now you know pawning off items are a good and quick way to raise up cash quickly when you need it. But since we know the value can change from shop to shop, you should know these tips so you get the best value!
1. Clean your jewellery
People respond to things that are pretty to the eye. If someone offered you a shiny, flawless platinum bracelet and a grimy, stained diamond coated necklace, your first instinct would be to accept the bracelet. Dirtiness immediately lowers the price of your jewellery. It’s worth cleaning it yourself or paying for a professional to touch it up so you get the maximum appraisal evaluation.
2. Research the market price
You can use the formula above to check what the going rate is for whatever jewellery you’re hoping to pawn. Check online or ask around. Speaking of asking around…
3. Get several quotes from different shops
There’s nothing wrong with keeping your options open. Just because you get a quote doesn’t mean you commit to taking the money! It’s always good to have as many options on the table as possible
4. Tell a good story
All appraisers will want to know why you’re pawning the item in case there’s some illegal activity and cover their back. If you can spin a good background story about it, it can also increase the value when there’s some interesting history!
5. Go to a famous shop
Reputable shops will always offer fair prices. Maybe it won’t be the highest but you know you won’t get ripped off. Shops like Cebuana Lhuiller act as a good yardstick to measure other offers.
Going to the highest appraisal pawnshop Philippines is a great way to earn some cash quickly. Share with a friend if they need some money quickly!
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