The Carrboro Commons
Story edited by Tim Freer
Spring 2011
Picasso Pawn loans to Durham
Pawn shop makes
profit by offering
loans, helping
Durham community
Emma Witman
UNC Staff Writer
A motorcycle is parked inside, near
the front door. Power tools and guitars
line the walls. The occasional trumpet
pops up as well.
Inside Durham’s Picasso Pawn shop,
managing partner Bill Dawson says,
“We get interesting stuff all the time.”
Not wanting to be misleading, he qualifies the statement with a sincere look
on his face. “But most of it is ‘run of the
mill’ stuff,” he says.
Lately it seems like the appeal of
the pawn shop lies in its supposed
hidden treasures and valuables. TV
shows, most notably Pawn Stars on the
History Channel, have glamorized this
idea, making the pawn shop a sort of
pop culture phenomenon.
But it remains for many, including
several of the Durham customers who
came in, that the pawn shop is a vital
institution for self-preservation, providing loans to help pay for food and
rent when needed most.
“It’s just regular people who come
in here, regular people trying to
make it to the end of the week,” says
Bernard Carter, an employee of the
Picasso Pawn shop located on Miami
Boulevard. He has worked there for 14
years.
The atmosphere is pleasant and comfortable — not at all like the so-called
“shady” portrayal most pawn shops
are assigned. Customers browse the
diverse selection that line the walls
and carpeted floors as the popular hiphop radio station K97.5 plays in the
background.
But while a few people may search
the store for items, many more typically come to speak directly with employees about loans, Dawson says.
“I would say the majority of our business — about 70 or 80 percent — comes
from loans,” he adds.
Staff photo by Emma Witman
Bill Dawson stands with the soon-to-be donated red ATV.
The same applies to much of the
inventory.
“About half of the stuff is defaulted
loans, and half was sold to us,” Dawson
says.
Customers are given 30 days to repay
their loan, he says, though they can be
allowed 90 days total if necessary.
Pawn shops carry some particularly
appealing qualities as a place to turn
for a loan. Dawson explains that unlike
a bank, his pawn shop can provide a
quick and easy loan, without the risk
of a blow to the customer’s credit score.
Additionally, he explains that should
a customer default on a loan, that customer is treated differently than at a
bank. “We’ll be happy to do business
with that person the next day,” he says.
“They’re still our customer.”
Brian Malloy walked in to Picasso
Pawn with the intention to sell a DVD
and video game controller; however,
neither was accepted. But it wasn’t his
first time in the store. “I sold a refrigerator here before,” he says.
Employees moved a red ATV outside
the store. One of the more intriguing
items in the shop, its final destination
was a local charity.
“This is being donated, it’s a charity
called Horse and Buddy in New Hill,
North Carolina,” Dawson says. “It’s
a charity for challenged kids to ride
horses.”
Prominent on the store’s many signs
explaining their policies is an antitheft message, which states that stolen
items are not welcome in their shop.
Stolen items are sometimes pawned
off by criminals, according to police
departments.
“We have a sales system where everything we take in is reported to police,
which is required by state statute,”
Dawson says. “We also train all our
employees in avoiding taking stolen
merchandise, which is a company-wide
policy.”
Apparently, these policies are effective. “We have less than half of one
percent picked up as being stolen,” he
says.
Comfortable and spacious as their
location is, Picasso Pawn is only in a
temporary spot, although Dawson says
it’s really considered semi-temporary
as it has been their location for two
years now. But right across the street,
construction is underway for their
future home.
The economic climate has taken a
noticeable toll on many businesses, but
Dawson says peoples’ need for loans,
and thus business at the shop, hasn’t
taken any sort of turn for “phenomenal
growth” because of the recession.
Why? Not surprisingly, most people
would prefer to be able to get their stuff
back. “A better situation for us is when
the economy is picking up, because
then people do have hope,” he says.