A couple days ago I was reading Forbes.com and came across an article about EzCorp. EzCorp is a publicly traded company that owns hundreds of local pawn shop around the country.
The gist of the article was that during tough economic times local pawn shops become a major player in the business of giving loans. A local pawn shop can give a loan to just about anyone who has collateral. The pawn shops have the opportunity to sell the collateral if a loan is defaulted on. Customers are also drawn to pawn shops because they usually deal in cash and they can can get a loan quickly. There is no waiting and barely any paperwork.
Pawn shops help give people who are struggling a place to go when banks and other lenders turn them down.
by, Seth at Boca Raton Pawn