Frequently Asked Questions+ What is a pawn?
A: A pawn is a secured collateral loan. The loan amount is based on the merchandise brought to the store to be held as collateral for a cash loan.
A: Since a pawn is a secured loan it does not affect your credit. There is never a credit check and your credit score cannot be affected by any pawn transactions.
A: In Louisiana pawn transactions must be held by the pawnbroker for three months.
A: USA Pawn Shop complies with Louisiana state law and charges 20% interest per month.
A: In Louisiana as well as most other states, pawn shops are required by law to report all merchandise taken on a daily basis. Every day we provide the local authorities with a detailed description of each item including the serial number. Studies have shown that less than one-tenth of one percent of the items taken by pawn shops are actually stolen.
A: We have many systems in place to deter criminals from pawning stolen items. In addition to reporting our acquistions on a daily basis, as required by law, we hold all items that we buy or take on trade for 30 days to allow the police to check their records. Anyone who sells, trades, or pawns any item must show a valid government issued picture ID (Driver's License, State Issued ID, Military ID, etc) in order to complete their transactions. This is a major deterrent as criminals do not wish to identify themselves.
A: Loans vary according to the merchandise. There is no minimum or maximum dollar amount allowed on a pawn transaction. A pawnbroker has to recoup his money by selling the item should you choose not to redeem it. Loan amounts are directly related to the new and used retail price of that item. Item condition, age, and desireability also factor into the loan value. As an added value to our customers, we also take into account an individuals good pick-up record. A good pick-up record will allow us to loan higher than the normal loan amount on an item. (We are flexible at times when a regular customer really needs a little extra cash.) We do this to show our customers how much we appreciate their continued business.