A pawnbroker is someone who runs a special kind of store called a pawnshop, where people can borrow money by temporarily trading in their valuable possessions. Here's how it works: if you need cash quickly, you might bring a guitar, a piece of jewelry, or even power tools to a pawnbroker. The pawnbroker examines the item, decides what it's worth, and offers to loan you money (usually less than the item's full value). You get cash on the spot, and the pawnbroker keeps your item as security.

You have a set amount of time, often 30 to 90 days, to pay back the loan plus interest. If you repay, you get your item back. If you can't repay, the pawnbroker keeps the item and sells it in the shop to recover the money.

Pawnbrokers have existed for thousands of years. Before banks were common, they provided one of the few ways for ordinary people to get emergency money. The three golden spheres you sometimes see hanging outside pawnshops are an old symbol of the trade, dating back to medieval Italy.

Pawnshops still exist today in most cities, offering quick loans when people face unexpected expenses, but it's important to understand the terms before you agree to one.