A pawn shop is a lot like the TARDIS from the TV series, ‘Doctor Who’—a seemingly small and insignificant establishment that can actually go anywhere and do anything. There are some pretty bizarre facts about this staple of low-income communities and late-night TV that you may not know, so let’s get started!

1. The History of Pawn Shops Is Steeped in the European Middle Ages

Located in the Flemish city of Antwerp, De Ridderzaal was built in the late 14th century. It was originally used as a courtroom, but at the end of the 16th century, the Spanish rulers of the city converted it into a pawn shop. 

It was very practical for the time, as it allowed citizens to pawn possessions for money to survive the harsh winter months that were to come. However, the downside of using a pawn shop was that you would lose your possessions forever then.

2. Pawn Shops Compete with Payday Loans as a Source of Quick Cash

Pawnshops aren’t just for people who have hit rock bottom but can also be used by people who are just in a pinch. Instead of dealing with the exorbitant rates from a payday loan, why not deal with a pawnbroker? Pawnshop owners will look at the items you want to pawn, determine the value, and lend you money at a low-interest rate.

3. There Are Only a Few States in the US that Have Strict Restrictions on Pawn Shops

In California, pawnshops typically have to hold on to the collateral for at least a year before they can sell it. In New York, people cannot be charged interest rates that exceed 25 percent per year, and in Alaska and Oregon, people cannot be charged interest rates that exceed 18 percent.

4. Pawn Shops Typically Have a Lot of Valuable Things that Fail to Sell

In order to keep their inventory fresh, pawn shops have to throw away a lot of items that end up not selling. For example, there are still islands made completely out of failed pawn shop merchandise, some of which are still working. These islands are located off the coast of Thailand, and there are more than 100 of them.

5. The Most Famous Person to Be a Pawn Broker was Abraham Lincoln

Yes, the former president of the United States is well-known for abolishing slavery in the United States. But you may not have known that he once worked in a pawn shop. According to legend, Lincoln had to take a job in his town’s pawn shop when he was a teenager and was tasked with measuring the length of tools in the shop.

Mind Blown?

Whether you’re a fan of pawn shops or otherwise, you might find some things here that surprise you. Pawn shops have intrigued our curiosity for a very long time, yet there are still things we don’t know about them. And if we begin taking a closer look at pawn shops in general, we might just find more facts that blow our minds as well.

River City Pawn is a reputable pawn shop in Murray, KY. We service the entire area of Kentucky. So, if you ever need quick cash, you know where to go!