Modern Pawn Industry Research

Pawn is a way of obtaining financing by mortgaging valuable objects, credit by valuable objects given, as security for a loan is the basis of the exiting and developing of the pawn business. Pawn has once played an important role in economic development and daily life. But at this moment, the Chinese modern pawn industry has gradually stepped into an isolated, thin brink position;it is just a fill-in tool in financing.Affected by government economic macro-control, the problem of financing for the small and medium-sized enterprises seems more protruding, while the role of solve this problem that mortgage acts can be exerted, meanwhile the pawn industry welcomes new opportunities for development. In this thesis, the writer reviewed the development of the pawn industry in current economic circumstance and address some new characteristics appeared in pawn's new development period. There are three major changes: First, the management theory of the mortgage has changed completely, second, the serving object has changed very greatly, and third, the pawn products have obviously changed a lot. According to pawn's role in modern economy, its function can be summarized as supporting production, promoting circulation, solving problems, facilitating the masses, suppressing the usury, and stabilizing the order.In this article, the writer address six basic operation modes in modern pawn industry, which are the articles for daily use, means of production, real estate, stock right, creditor's right, and invisible proprietary. And also the writer emphasized three innovative pawn business modes: Land mortgage, mortgage of apartments, and the house property mortgage business provided for personal real estate investor. Compared with other financing way, this new pawn business mode has its unique characteristics for mortgage financing, which are high fund price, low utilizing degree, short debt-credit time, small-amount debt-credit, and convenient financing, etc.According to the pawn business process and business circle, the risks of pawn business can be classified as appraising and market forecasting risk, safety precaution risk, legal risk and market risk. For different risks, the writer has advised the corresponding risk measure and risk control methods. Particularly, the writer address special risk control strategy for equity pawn and housing pawn businesses.To have the pawn industry develop in a healthy way, we should establish correct ideas, strengthen guidance positively, perfect policies and regulations, create essential condition, perfect the organizing system, make trade management in order, pay attention to managing innovation, and strengthen the ability of developing.Combining the experience of foreign pawn industry development and the external environment and existence condition of development of pawn industry in our country, the pawn industry has just comes to a crossroad, the chance and challenge are half to half. The governance environment is improving forward, the pawn industry is stepping into favorably track;as to the market environment, it favors the pawn industry as well at this moment in our country. With the constant development of Chinese market economy and perfection of the market mechanism, the pawn business will welcome a brand-new developing period.