FAQ’s

Our Frequently Asked Questions

1. Why come to Salinas Pawn, Watsonville Pawn, and Seaside Pawn to get a pawn loan?
   Our representatives will always treat you with courtesy, respect, and efficiency. We will carefully assess your material for purity and value, weigh it accurately, and make you a fair offer. We’ll explain our valuation methods and appraisals so you understand exactly what you have and how we’ve arrived at the value.
2. Why would someone go to a pawnshop to get a loan?
   Pawnshops offer the consumer a quick, convenient and confidential way to borrow money. A short-term cash need can be met with no credit check or legal consequences if the loan is not repaid. A customer receives a percentage of the value the broker believes the collateral would bring in a sale. Although the loan to collateral ratio varies over time and across pawnshops, a loan of about 25-35 percent of the resale value of the collateral is typical. When a customer pawns an item, terms of the loan are printed on a pawn ticket that is given to the customer. The ticket states a description of the item, amount lent, maturity dates and amounts.
3. Are Salinas Pawn, Watsonville Pawn, and Seaside Pawn licensed?
   Salinas Pawn, Watsonville Pawn, and Seaside Pawn are licensed and regulated by the Department of Justice, local police departments and we are also licensed as a second-hand dealer with a retail sales business permit.
4. How does a pawnshop work?
   Pawnbrokers lend money on items of value ranging from gold and diamond jewelry to musical instruments, televisions, tools, household items, etc.. These items maintain their value over a reasonable period of time and are easy to store, especially jewelry. All customers provide collateral, eliminating the need to distinguish high risk from low-risk borrowers. Typically, loans are small averaging between $50 and $100, although they can be as small as $20 or as high as several thousand dollars depending on the value of the collateral. 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.
5. Do most pawning customers lose their merchandise?
   On average, 85 to 90 percent of all loans are repaid. Repeat customers make up most of our business, similar to any other lending or retail establishment. Pawnbrokers know the vast majority of their customers because they often borrow against the same items over and over again. Pawnbrokers offer nonrecourse loans, looking only to the item being pledged to recover their investment if the borrower chooses not to repay the loan. It is solely the choice of the customer whether he/she elects to repay the loan.
6. What if I don’t pick up my item?
   If a customer defaults, the collateral becomes the property of the pawnshop after the loan is overdue by a specific amount of time.
7. What kind of things do pawn shops buy or give loans on?
   We take in any scrap gold, silver or platinum items you no longer want. We buy all sorts of unwanted, broken or scrap jewelry such as class rings, tangled gold chains, bent or broken jewelry, items with missing stones or cracked stones, gold coins, dental gold, gold earrings, bracelets, necklaces, charms and more! We do business with people every day that want to sell gold watches, TVs, Laptops, Video Game consoles, iPod, iPhones, and sometimes fine art. Bring in your sterling silver tableware, your silver & gold coins.
   We do not buy costume jewelry or gold-filled or gold-plated items and firearms.
8. How can I be sure the merchandise I purchase at a pawnshop isn’t stolen?
   Less than one-fifth of one percent of all collateral is even suspect as having been misappropriated in any manner. Thieves and robbers are a pawnbroker’s worst enemy. Pawnbrokers work closely with local law enforcement to catch and prosecute these perpetrators. A customer must provide positive picture identification to show evidence of the transaction. This information is then presented to the police department, therefore decreasing the likelihood that a thief would bring stolen merchandise to a pawnshop.
9. What is the difference between buying at a pawnshop and buying at a retail store?
   Mainly price! Pawnshops can offer you quality merchandise ranging from 1/3 to 1/2 off retail prices. Pawn shops are an excellent place to find great deals on gold, diamond, gemstone jewelry, electronics, and tools!
10. Are my items safe at your pawnshop?
    We take great care in providing a safe and secured storage while your items are in our possession. We protect your safety with a high-security environment. Salinas Pawn, Watsonville Pawn, and Seaside Pawn have a sophisticated security system including closed-circuit TV, a silent alarm that links to the local police department, and motion detectors for when the store is closed.
11. How will I be paid?
    We’ll pay you cash, on the spot!
    There’s no waiting for your payment to come in the mail, we write up your sale or loan and pay you immediately.
12. Do I need to bring identification?
    Yes, We require valid identification when you’re selling or pawning items with us. Forms of ID we accept include a Driver License or ID Card issued by any state, photo ID by a governmental agency, US passport, foreign passport accompanied by another item of ID showing an address.
13. Do I need to do anything to my gold jewelry before bringing it in?
    There is no need to clean, fix or sort your old jewelry, other than taking out the obvious costume jewelry, and plated silver or brass items.
14. How much gold jewelry and other items can I bring in?
    We will purchase any amount of gold, silver or platinum jewelry you wish to sell.
15. How can I tell if my items are gold?
    The simplest way is to read the karat markings on each piece. Anyone of these indicates that your jewelry is gold: For 10 karat– 10k, 10kt, 416 For 14 karat– 14k, 14kt, 585 For 18 karat– 18k, 18kt, 750 For Platinum– 950PT, Platinum, Plat, 950PT 10%IR For Silver – STERLING, 925, SILVER 1/10 GF refers to gold filled and is not solid gold, and we cannot take it in. Vermeil refers to gold plated on Sterling Silver and will be valued as silver. Our in-house experts can test your precious metals for content to ensure that you are getting a fair price for your unwanted gold.
16. Why should I sell my scrap or unwanted gold today?
    There has never been a better time to sell unwanted or broken gold jewelry. Gold prices are near an all-time high. That gold sitting in the bottom of your jewelry box is not making interest, and you may be paying interest on your debts. Why not use the locked up capital in your scrap gold and silver to pay off debts, or just have a good time?
17. Should I wait to see if gold and silver go higher?
    That’s a hard question to answer. Precious metals are a very dynamic marketplace. The prices go up and down like a yo-yo. Although the trend for the last few months has been up, you should base your decision on what alternatives you have for the cash we can give you.