February 04, 2020 - Jewelry & Luxury Items
When jewelry begins to collect dust in a vanity dresser, often its material is better served through selling. Whether you have hand-crafted designer jewelry, a family heirloom, or a wedding ring—you could potentially sell this jewelry for a strong profit. The best way to discern your jewelry’s value is by using PawnGuru to get offers from local pawnshops ready to give you an offer.
Selling your diamond jewelry is a personal decision and can get problematic, especially when unexpected bills come into the equation. One of the quickest and easiest ways to get a short-term loan is through a pawnshop. There’s no damaging credit check and you can walk away with the cash you need that day!
One of the biggest advantages of pawning jewelry like diamond rings is the item’s high value. High-quality diamonds can be used as collateral on a loan anywhere from $65 to $1,500. This high value is not typical of most household items. Even electronics aren’t valued as high as diamonds by the pawn industry. If you’re in a fiscal pinch this money could be very useful!
Depending on state law, you can get a collateral loan with a favorable interest rate. Often collateral loans have lower interest rates than a major credit card company’s annual percentage rate (APR). Pawn loans interest rates are even comparable with other short-term loan agencies that will run a credit check and require much more paperwork. If your credit is less than desirable and you need cash quick—pawning your diamond ring might be the most economically viable option.
Many opt to sell their diamond rings at pawnshops over getting a collateral loan. If a diamond ring has no intrinsic, sentimental value and your willing to part ways with it—you could end up getting much more by selling it over taking out a collateral loan. This is most likely the case if you have a quality diamond that scores high across cut, carat, color, and color. A valuable diamond gives a seller leverage to negotiate with the pawn dealer when selling. Of course, a jewelry’s selling price can be haggled but most appraisals for a pawn loan will be firm or even non-negotiable. Cases vary and the best way to find out is by listing your diamond ring on PawnGuru!
Another feature of diamond rings making the jewelry a strong seller is their rate of depreciation is much less significant than other items. For example, take laptops—another popular item that pawn dealers love. Laps have strong resale value but are still less valuable than diamonds. These electronics are subject to natural wear & tear and are more difficult to merchandise without the original retail packaging. Furniture is another commodity in high demand at pawnshops. Yet furniture also pales in comparison with diamonds because of the bulkiness of these products.
Diamonds do depreciate, and the honest truth is you most likely cannot get the original buying price of a diamond ring. However, many PawnGuru users have been able to get offers up to 60% of the original retail price for a high quality diamond. Getting this much cash for ‘second-hand’ jewelry is a fair offer! Even when selling consumer-to-consumer, this is a difficult price point to secure. Not to mention, you will have to do much more legwork to advertise your jewelry without verified protection and may even have to pay for shipping.
Clients of pawnshops should never feel pressured to sell by the dealer or put into an uncomfortable situation. As you investigate selling your diamond ring, make sure you’re prepared to sell!
Deciding to sell your personal items is an intimate decision. Most jewelry has sentimental value and we justifiably feel obligated to keep these heirlooms around.
Still, many diamond rings are a symbol of something that didn’t work out. It might be healing to sell the item rather than holding onto jewelry and letting it collect dust. PawnGuru helps clients build relationships with reputable pawn dealers, not offer to advise on private affairs but getting rid of emotional baggage is something to keep in mind.
David Stiebel is one of the cofounders of PawnGuru. David was educated at MIT, where he studied Math. He subsequently worked at Bain as a data scientist before starting PawnGuru in 2015. He started PawnGuru to build a better tool for pawn shops and consumers to connect.More Articles