Pawning Jewelry


Skye Parker


January 6, 2022

Why pawn jewelry?

You might be interested in pawning jewelry for various reasons.

  • Quick cash, easier than selling it yourself

Selling jewelry yourself has proven to be quite tricky and time-consuming. Consider the time and staging it takes to get decent photos of your piece, let alone listing it online in multiple places. Potentially having it appraised to seek the actual value of the jewelry you intend to sell. Pawning jewelry does save you valuable time and energy you would have otherwise spent trying to sell it yourself. Not to mention the speed at which something sells can vary greatly. Your item might be on the market for months or even years before finding a proper buyer. Pawning your jewelry could result in a slightly reduced price point, but the sale will make up for it in speed, often completed within a few hours.

Why pawn jewelry? Imagine you're in need of some quick cash, and selling some of your valuable jewelry is what you need to make the financial cut this month. But the most valuable piece you own happens to be a family heirloom from your great great grandmother. One of the best pros to pawning jewelry is you can get it back! Pawnshops will keep your jewelry secured, and if you ever change your mind, you can come back and pay the loan back to regain ownership of your sentimental jewelry.

When choosing a pawnshop transaction over your typical bank loan, the worst that can happen is you're unable to pay back the loan to receive your item. As opposed to a bank loan, your ability to pay back the loan would result in negative marks on your credit score that can haunt you in all future transactions for 7-10 years! The fewer strings attached, the better in the case of loaning money, and that's why pawning jewelry is such a preferred option.

How does it work?

Pawning an item is a process that details a collateral loan. Essentially the pawnbroker of your choosing will lend you an amount of cash based on the market value of your collateral item offered. This can be jewelry, but you can also pawn things like electronics, electrical tools, firearms, bicycles, other recreational items, and even cars. You can pawn just about anything of value. You're then given a length of time to repay your loan and have the merchandise returned to you, or you can choose to take the cash and relinquish ownership of the merchandise, which the pawnbroker will then resell.


  • Convenient, pawn shops are everywhere
  • Confidential
  • Lower interest rates compared to payday or title loans
  • No credit check for the transaction
  • No legal consequences if a loan isn't repaid (think bankruptcy)
  • Quick, get in and out with fast cash


  • High-interest rates
  • You can't borrow large amounts
  • Potentially losing your stuff

Is Pawning Jewelry Worth It?

This all depends on your circumstances. You'll have to ask yourself, "which is more important, the jewelry or the money?" If your situation is dire enough and you find that you're willing to part with the jewelry, it may very well be worth pawning and pocketing the cash or going back later on to pay the loan and reclaim your item. If your jewelry holds a lot of sentimental value, you may not feel comfortable taking the risk of losing it. It's not an easy decision to make. If you're still unsure, you could opt for a middle ground; taking your jewelry into a pawn shop for an appraisal. This will give you an idea of what the jewelry is worth and how high in demand it is. You can then make the choice that is best for you. Maybe you're not in a massive time crunch and can sell it yourself for the additional cash it's worth, or perhaps you'll find the pawn shop's offer is more than you expected and go forward with a deal. Regardless of which decision you're leaning towards, it never hurts to explore your options.

You're still wondering, "Why pawn jewelry?" 

It can be hard to understand since the answer isn't as cut and dry as it may seem. Pawning jewelry typically comes from being in a tight financial spot. The driving factors of someone's personal circumstances often play a significant role in why people pawn jewelry over selling or keeping it.