Pawnbrokers thrive as US economy falters

0 Comments | AFP, May, 2008

WASHINGTON (AFP) — As other businesses struggle in an economic slowdown, US pawnbrokers are thriving thanks to increasing numbers of Americans forced to separate with their family jewels to make ends meet.

"We see more people coming in to raise money in these uncertain economic times," said Rick Sussman of Northwestern Loan Company in Baltimore which, founded in 1919, is the oldest pawnbroker in the state of Maryland.

He added: "In better times you might see people from the lower end of the social economic class getting loans, and in bad economic times you tend to see additionally also people who are middle-class trying to raise money."

Power tools, stereos and above all jewelry -- given the high price of gold -- are pawned for between one and three months...