WASHINGTON (AFP) — As other businesses struggle in an economic slowdown, US pawnbrokers are thriving thanks to increasing numbers of Americans forced to separate with their family jewels to make ends meet.

"We see more people coming in to raise money in these uncertain economic times," said Rick Sussman of Northwestern Loan Company in Baltimore which, founded in 1919, is the oldest pawnbroker in the state of Maryland.

He added: "In better times you might see people from the lower end of the social economic class getting loans, and in bad economic times you tend to see additionally also people who are middle-class trying to raise money."

Power tools, stereos and above all jewelry -- given the high price of gold -- are pawned for between one and three months in exchange for a loan.

The interest rates vary between states: five percent in Washington, DC, but 20 percent in neighboring Maryland.

If clients don't come back to recover their goods, they are sold off.

"We have everything," said Sussman, whose vast store is visited by about 100 clients a day. "Our motto is if we don't have it, it doesn't exist."

Dave Adelman, president of the National Pawnbrokers Association which represents 2,400 pawnbrokers, said the average pawn loan is 60 dollars, which "helps pay the rent, keep the lights on and gas in their cars to get to work."

Jessica Caslani, of Crown Pawnbrokers in Washington, said: "A lot of customers need a quick loan until the end of the week."

She noted that many people came in to borrow money for gas, which now costs more than 3.6 dollars a gallon (3.78 liters), a US record.

At the same time, rising gold prices provide an incentive for people to pawn their family jewels. "We see also more people because the price of gold is very high," said Sussman.

Last week, the price of an ounce of 24-carat gold reached 851 dollars, compared to 578 dollars two years earlier. In March, the price topped a record 1,000 dollars.

Some jewelry remains on show for months without finding a buyer because the prices are so high.

When such gold deposits accumulate, some pawnbrokers prefer to melt rings, necklaces and bracelets to sell as precious metal, one told AFP on condition of anonymity.

At Hock Shoppe pawnbrokers in Fresno, California, 28-year-old Andrea Santiago was pawning her rings.

"I'm here every time we run out of gas or bus money," she said. But this time is a bit different -- she needs the money for a birthday party for her seven-year-old daughter.

In the past six months, Hock Shoppe has seen about ten to 20 new customers walk through its doors each day. Occasionally, the items they offer are a little unconventional.

The other day "a lady called wanting to know if she could pawn her dentures," shop clerk John Benson said.

Crown Pawnbrokers advertises for gold in Washington, DC

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Crown Pawnbrokers in Washington, DC

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