Pawn Shop Services

Businesses that offer secured loans to individuals using personal property as collateral. If the borrower repays the loan within the agreed timeframe, they can reclaim their item; otherwise, the shop may sell the item to recover the loan amount. These shops also often sell previously pawned merchandise and provide quick, short-term loans accessible to individuals with poor credit scores.

[
Code
PS0061
]
[
Name
Pawn Shop Services
]
[
Version
1.0
]
[
Category
Lending & Credit
]
[
Created
2025-03-14
]
[
Modified
2025-04-02
]

Related Techniques

  • Criminals can repeatedly pawn and redeem jewelry at manipulated valuations, laundering proceeds by inflating or underreporting their worth.
  • Minimal specialized valuation checks create opportunities to introduce illicit funds into the financial system under seemingly legitimate transactions.
  • Criminals use counterfeit notes to purchase or redeem items of value from pawn shops.
  • Inadequate detection methods allow fake currency to be exchanged for legitimate goods or cash, disguising illicit origins.