The explanation lies in a increased gold price in combination with the difficult economic situation for many households, says Peter Sundström, CEO of Pantbanken Sverige, to TT.
The number of loans was 86,000 during the first half of the year, which is an increase of 12 percent compared to the same period last year.
According to Peter Sundström, it is people of all ages who come to the pawn shops.
A slightly higher proportion of women than men borrow. But it may also be because there are more women who have gold, he says.
Withdraw
Approximately the same high proportion as before, around 85 percent, withdraw the items they borrow, according to Peter Sundström. In recent years, lending with fashion accessories as collateral, such as brand handbags, has increased.
The most dominant trend, however, is still to borrow on gold.
Many have some old gold that they have inherited, then it has a high value now, says Peter Sundström.
The normal loan at the pawn shop runs for four months and can be redeemed at any time during that period. In practice, however, you usually have six months to redeem the items again.
Sold at auction
The item is valued in the pawn shop's store and the customer receives money directly in their hand. Items that are not redeemed are sold by the pawn shop in the store or at auction, also online. If there is a surplus after deductions have been made for the loan and fees, it accrues to the customer.
In total, there are about 20 pawn shop companies in Sweden. The largest are Pantbanken Sverige with 21 offices and Sefina pawn shop with 20 offices in Sweden.
