Ask HN: How does PawnGo make money?

1 points by katieben ↗ HN

1 comment

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I imagine it would work like a normal pawn shop. In a traditional pawn shop, you take out a small loan with interest using your valuables as collateral (the loan is usually a lot less than the value of the item). The pawn shop makes money from the interest, and if you default, they can sell your item and make a profit.