What to Do If a Pawnshop Loses Your Things

You can find a pawn shop, probably more than one in any city or town. They offer more than just a quick way to borrow a small sum of money by showing your driver's license and putting up your stereo or TV or some other item of value. For one thing, they usually have a real decent selection of jewelry, since that seems to be what most people pawn first. When my daughter was pregnant with my grandson I happened to be in a local pawnshop checking out the movie selection when a jewelry set caught my eye. It was a mom and baby cameo set with necklace and earrings. I immediately thought how wonderful it would be to slip the necklace around the new mother's neck after the baby was born and that's exactly what I did. I put it on lay-a-way and picked it up the day she went into labor. I couldn't help but wonder why someone would pawn such a lovely set and then not pick it up but I was elated at my good fortune. Not long after, I saw the same set at JC Penney for 3 times what I paid for it.

But what if you're the one who pawns something, you pay all the fees, yet when you arrive to pick up your item, it's nowhere to be found? That's exactly what happened to a young couple at that same pawn shop. It seems they had pawned the young wife's violin to raise money for an emergency they faced. What made the situation heartbreaking was this was the violin her grandfather had given her many years before. While that may be a lesson in what not to pawn: anything sentimental, it was also a lesson about the legal ramifications when something like this happens.

Pawn shop owners in Texas are closely regulated by the Office of the Consumer Credit Commissioner. A Texas pawnbroker must repair or replace, with like kind merchandise pledged goods that are either lost or damaged while in the pawnbroker's possession. Also, a prompt attempt must be made to do so. When an offer has been made to redeem the pledged goods and it is known or learned that the pledged goods are lost or damaged, the pledgor must accurately be informed of the facts of the situation, the status of the pledged goods, the pawnbroker's responsibility under the Texas Finance Code Chapter 371 and the pledgor's rights under paragraph (5) of this subsection. Upon request of the person attempting to redeem pledged goods, a complaint form issued by the commissioner must be provided. The agency will begin review of the complaint for lost or damaged items upon receipt of the written complaint.

In the above example, my young friend got lucky. While the pawn shop didn't inform her of her rights or the pawnbroker's responsibility, they did provide her with a replacement of like kind. Had they not done this and had she complained, the agency would have reviewed her complaint and the commissioner could have offered different remedies, for example, giving the pawn shop a time frame for offering the like kind replacement merchandise. In any event, the complaining party must wait 91 days after the complaint is received before seeking a court remedy and then at her own expense. I can't imagine what one would pawn that would make that worthwhile, but I'm glad to know that even pawn shops have someone to answer to.