Queues at pawnshops nothing unusual, says association

Pawnshops around the country are reporting nothing unusual about the long queues of patrons seen leading up to their premises.

It is business as usual, said Tan Ho Keng, president of the Malaysia Pawnbrokers Association (MPBA), adding that the patrons are only attending to matters outstanding since March 18 when the movement control order (MCO) came into force to contain Covid-19.

With the outlets reopening under the conditional MCO after 47 days of inactivity, the patrons are back to redeem their pawned jewellery, make interest payments and extend the period of the mortgages, while a few pawn some items, he said.

Not everyone who goes to a pawnshop is mortgaging jewellery, just like not everyone who goes to an airport is taking a flight.

The CMCO permits pawnshops to reopen but for only five hours on their working days, from 9 am to 2 pm.

Tan explained the reason for the long queues.

“The number of patrons seemed huge yesterday because all of them were adhering to social distancing by staying one metre apart from one another. Only two patrons are allowed into the premises at any one time compared to 10 previously,” he said.

He said most of the patrons came to redeem their jewellery.

“Many of our clients wish to redeem their jewellery as Aidilfitri is approaching,” he said.

Tan gave the assurance that an automatic extension will be given for pawned items which reach the maturity date anytime between March 18 and May 12. The conditional MCO will be in force until May 12.

Bernama reporters visited pawnshops in several states to learn more.

At the Ar-Rahnu Islamic pawnshop in Gombak, Selangor, it was found that many of the patrons had come to extend the mortgage on their pawned jewellery.

Sharifah, 35, said she was unable to complete her business because of the short opening hours.

“I came to pay three months' fees overdue for gold bangles. I thought the outlet will be open as usual, not just up to 2 pm,” she said.

Many patrons in Kuala Terengganu were found to be redeeming their jewellery after having made i-Lestari withdrawals from the Employees Provident Fund (EPF). Others came to extend mortgages. - Bernama