Some people will try anything to save a few bucks, including trying to scam their local pawn shop. We blogged recently about the risks associated with pawning a stolen item, like inadvertently becoming involved in an active crime case. But that was about people who don’t know the origin of a product.
Consumer Fraud Is On the Rise
Scammers, on the other hand, know exactly what they’re doing. So do the pawners, which is why it is not generally a good idea to be known as an unscrupulous player in one’s local business community.
The fact is, consumer fraud is on the rise. Americans lost some $12.5 billion to fraud in 2024, according to the FTC – much of it online. But some of that trend spills out onto the counters of small neighborhood businesses, too. There are few approaches scam artists will try, and lessons can be taken from those errors, for legit customers as well as the brokers.
Pawn Shops Question Sketchy Stories
Can you imagine packaging a different product as something more valuable – passing off an older laptop as a newer one, for example? How about switching tags on an article of clothing so it appears more expensive? These methods have been tried, believe it or not, many times.
Even if the item is sealed in packaging, store workers will open the box to make sure the contents are what they purport to be. The sketchy stories some people tell aren’t fooling anyone.
How Experts Spot Counterfeit Goods
While a tourist might unwittingly buy a fake Gucci bag in Times Square, pawn brokers are more savvy when it comes to spotting counterfeit goods. You don’t have to use luxury goods to be able to detect a fake one. Some details pawn shops will look for in a supposedly valuable designer bag:
- Stitching on the label
- Authenticity of the logo
- Metal features like cheap zippers and clasps
- Quality of stitching and embossing
- Feel and appearance of the fabric
Digital Information Will Be Verified
Millions of people receive gift cards each year on birthdays and holidays, and many of those cards get tossed even though there is money still on them. Fraudsters have figured out how to tamper with gift cards to obtain the money digitally, while the card appears to be unused.
Some pawn shops accept gift cards with cash on them, paying out a percentage of the total amount. However, they will first verify that these cards are still valid, so it’s not worth bringing one in unless you know it’s legit.
You May Be on Video
In the past, fraudsters operated under the radar more easily. Perhaps more would be deterred if they knew their face was visible on camera. It is common for pawn shops to install security cameras for a variety of reasons, such as helping identify anyone breaking the law.
Once scam artists realize they are being watched, they may be less likely to continue.
Check Your Goods Thoroughly
One thing regular consumers can do is be as thorough about verifying the value and authenticity of their goods as the stores are. Finding out where an item came from, even calling a company to check a serial number or ask for a receipt, you will be more informed about the product you hope to pawn.
Doing so gives you more bargaining power when you enter into a conversation at a pawn shop. It may also save you the trip if the item isn’t worth what you thought it was.
Fullerton Pawners Are Interested in Electronics, Precious Metals & More
Fullerton Pawners has been operating on Chicago’s north side for decades, and we have seen (and heard) it all. We are open to accepting a very wide range of goods, and are happy to help you assess the value when you come in.
Check out our services online, or call Fullerton Pawners at 773-637-9999 so we can answer your questions.