- Title: UK: New image for pawnbrokers
- Date: 15th October 2008
- Summary: (L!3) LONDON, ENGLAND, UK (OCTOBER 10, 2008) (REUTERS) WOMAN EXAMINING A RING WITH MAGNIFYING LENS DOOR OF SAFE BEING OPENED JOHN NICHOLS, PRESIDENT OF THE NATIONAL PAWNBROKERS ASSOCIATION AND CEO OF H&T PAWNBROKERS TALKING TO NPA MEMBER VIDEO SCREEN WOMAN LOOKING AT A DIAMOND (SOUNDBITE) (English) JOHN NICHOLS, PRESIDENT OF THE NATIONAL PAWNBROKERS ASSOCIATION AND CEO OF H&T PAWNBROKERS, SAYING: ''I think what it has done is given us the opportunity for a lot of press coverage which has meant a lot more people understand the industry. Therefore they go along to the shops and have a look at it and actually probably quite like what they see.'' VARIOUS OF GOLD JEWELLERY IN PAWNBROKERS SHOP WINDOW BRANCH MANAGER OF H&T PAWNBROKERS, LOOKING IN SHOP WINDOW TALKING TO H&T's COMMERCIAL DIRECTOR STEVE FENERTY VARIOUS OF GOLD JEWELLERY IN SHOP WINDOW OF H&T PAWNBROKERS (SOUNDBITE) (English) STEVE FENERTY, H&T's COMMERCIAL DIRECTOR, SAYING: ''It's people who are quite comfortable buying and selling things that they have. They maybe don't use a particular item anymore, they don't wear it anymore, or they're just bored with it and they can come to us, realise some cash on it.'' WOMEN LOOKING IN SHOP WINDOW GOLD CHAINS SALES ASSISTANT VARIOUS OF CUSTOMER COMPLETING A TRANSACTION NATHAN FINCH AN NPA COUNCIL MEMBER AND DIRECTOR OF PICKWICK PAWNBROKERS. (SOUNDBITE) (English) NATHAN FINCH AN NPA COUNCIL MEMBER AND DIRECTOR OF PICKWICK PAWNBROKERS, SAYING: ''It's really the ability to get hands on cash from a business that wants to lend you money as opposed to many of the mainstream credit providers that are trying to find reasons not to lend you money.'' PAWNBROKER BALLS OUTSIDE H&T's SHOP AND SIGN ON THE FRONT OF THE SHOP.
- Embargoed: 30th October 2008 12:00
- Keywords:
- Topics: Economic News,Light / Amusing / Unusual / Quirky
- Reuters ID: LVA214XQ6D12ETUJK4QT76O83LJB
- Story Text: The 3,000 year old industry is still perceived by some as a bit shady. A squeeze on credit, coupled with high gold prices has heightened awareness and understanding of the industry that's resulting in more new customers walking through pawnbrokers doors.
The ancient trade of lending cash against an asset - usually jewellery - hasn't enjoyed the best of reputations.
Perceived as, 'a last resort', some might presume a rush of family heirlooms being pawned as mainstream sources of credit dry up.
John Nichols, president of the National Pawnbrokers Association and CEO of H&T Pawnbrokers says while the industry has been affected by the financial crisis, it's not in the way everyone would expect.
''I think what it has done is given us the opportunity for a lot of press coverage which has meant a lot more people understand the industry.
Therefore they go along to the shops and have a look at it and actually probably quite like what they see.'' he said.
While jewellery remains the most common form of security against a loan, many pawnbrokers now buy gold as well as lend on it. H&T's commercial director Steve Fenerty says that's brought what he calls the ebay generation through the doors. ''It's people who are quite comfortable buying and selling things that they have. They maybe don't use a particular item anymore, they don't wear it anymore, or they're just bored with it and they can come to us, realise some cash on it.'' High gold prices have focused many people's attention on the cash potential of their unused and even scrap bits of jewellery.
The average pawnbroker loan is 120 pounds and the average length of a loan is 3-and-a-half-months. Most charge 7 to 8 percent interest, making it one of the few ways people can access low values of credit quickly and easily.
That's key to the industry's success according to Nathan Finch an NPA council member and director of Pickwick pawnbrokers. ''It's really the ability to get hands on cash from a business that wants to lend you money as opposed to many of the mainstream credit providers that are trying to find reasons not to lend you money.'' With that in mind the ancient three ball pawnbroking symbol may start to represent, 'opportunity' rather than 'last resort'. - Copyright Holder: REUTERS
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