Parisians Pawning Valuables During Tough Economy
Posted on May 11, 2012CNN reports that more Parisians are turning to pawn shops to help with cash flow during the tough economy. One of the nation's oldest pawnbrokers, Credit Municipal has operated since the 17th century. The company says business is booming: nearly 40% more people are pawning objects now than they did five years ago. 700 customers a day line up to pawn family antiques, jewelry and furs to make rent. They line up every morning in Paris to see what they can get for their possessions. The possessions are turned in for a low-interest loan of one year equal to one half the pawned object's value. Customers pay between 4% and 9% interest (which is quite reasonable) and can extend the loan as long as they like. The average loan amount is approximately 1,000 Euros.