Have you got cash in your attic?

More and more people are using pawnbrokers as the credit crunch continues to bite. Maybe it is time to search the house for forgotten valuables? Sarah O Meara reports.

With the highest level of credit card debt in Europe, Britons are notoriously naughty spenders. Despite earning less money each year than we owe, as a nation we still love to spend.

While our love of high street shopping was fine while prices were low – and the words credit crunch only applied to money-themed breakfast cereals – now the bills are mounting up. Is is time to cut up the cards and start raiding the attic for things to sell?

Antique dealer Michael Hogben, former presenter of Channel 4's Name Your Price, says "you normally have to go back to Granny's assets" to make money from your home.

"Anything from jewellery to furniture, which is dated pre-1930s, becomes collectible and is almost guaranteed to make some money," he says.

Admittedly, many of us would probably prefer pay the average 18.9 per cent credit card interest than flog great-aunt Matilda's favourite chair. But in these times of looming recession, it might be time to put such emotional attachments aside and find our inner Del Boys.

One industry already taking advantage of our need to make instant cash is pawnbroking.

There are more than 800 pawnbrokers already operating in the UK and this number is increasing by 10 per cent each year.

John Nichols, chief executive of pawnbroking firm Harvey & Thompson, says letting go of a few things in the short term is a sound option.

"If you can't get a bank loan, have huge sums on credit cards and have got to the end of your overdraft, pawn-broking is a short-term good fix. There are no late payment penalties, no administration charges, just 8 per cent a month interest.

And you'll avoid the charges from an unauthorised overdraft or gaining more interest on your credit card."

With so many ways to make money from your home, it would seem a shame not to take advantage.

Research from T-Mobile revealed last month that Brits spend over a year of our lives hunting for the best deals. So despite our ability to accumulate debt, it would also seem we're also great at spotting a good deal.

Nichols and Hogben both agree that whether you're planning to hock or flog that crystal necklace, knowing the material value of your goods can be an enormous help.

"This is the biggest mistake that people make and they've been making it since way before the credit crunch – overvaluing their antiques," Hog-ben says. "If you're looking to sell then it's always worth going online to do a quick search to see what similar pieces are worth.

But I wouldn't use eBay as a reference; there are no experts, just the public's opinion. Go to one of the London sale rooms websites and look at their sales. If you're uncomfortable online, head to the library.

source : http://www.halifaxcourier.co.uk