Thai second-hand stores witness surge in business before start of academic year
Strapped parents in a bind for cash to cover their children's school essentials are flooding pawn shops, trading their belongings for quick loans. As the approach of the new school term swings around, these money-lenders gear up for the anticipated influx of customers seeking to finance their kids' new uniforms and school supplies.
With schools due to reopen on May 16, many cash-strapped parents are on the hunt for ways to gather the necessary funds for the upcoming semester. Pawn shops, stockpiling cash in anticipation of this bustling period, are a popular choice due to their readiness to provide loans in exchange for collateral.
Parents across the nation are finding solace in these lending establishments, knowing they can exchange their possessions for cash, granting them the means to buy the school necessities they can't afford otherwise.
Pawn shops directed by Nakhon Ratchasima Municipality Office have stockpiled 300 million baht in three city branches and offer attractive low-interest rates as incentives to parents. According to Siriphan Kuanha, the manager of the second branch, they're more than prepared to service every customer seeking financial assistance.
Similarly, pawn shops controlled by state or private entities in different provinces have boosted their cash reserves. A municipality-managed shop in Yala city holds 100 million baht and expects an influx of visitors in the coming days, as reported by the Public Relations Department.
The storage room of the second branch in Nakhon Ratchasima is overflowing with a diverse assortment of pawned items – from ornate amulets to gas cylinders, refrigerators, and even washing machines.
Unfortunately, not all items are welcome. A man in Pak Kret district of Nonthaburi province encountered difficulties exchanging a 40-inch TV for cash at multiple shops. Having urgent need of 1,000 baht for his nephew's tuition and miscellaneous school fees, he ultimately resorted to borrowing money from a loan shark.
He believes that pawn shops should display signs outside their establishments, informing the public that they don't accept TVs, among other reasons.
Financial constraints are pushing parents to turn to pawn shops as a means of bridging the gap between expenses and resources. The immediate funding these establishments offer addresses parents' urgent need for cash due to the tight timeline for school payments. Moreover, their extended hours of operation and ease of access make them convenient alternatives for those who may not have easy access to traditional banking institutions.
The rising costs associated with education and the uncertainties in the economy have fueled the growing popularity of pawn shops as a go-to solution for cash-strapped parents seeking a quick and flexible loan alternative. In fact, this trend isn't limited to developing countries like Thailand. In various parts of the world, pawn shops are experiencing a surge in demand, driving the growth of the global pawn shop market.
- Cash-strapped parents, in search of ways to fund their children's school essentials for the upcoming semester, are increasingly turning to pawn shops in Ratchasima provinces and other areas across the nation.
- As schools reopen on May 16, pawn shops are expecting an influx of customers looking for quick loans, with many of these establishments stockpiling cash in advance.
- Pawn shops are proving to be a popular choice for those facing financial difficulties, offering loans in exchange for collateral and operating with extended hours to cater to those who may not have easy access to traditional banking institutions.
- The growing popularity of pawn shops is driven by rising education costs and economic uncertainties, creating a global trend where pawn shops are experiencing a surge in demand, contributing to the growth of the global pawn shop market.
