Parents line up to
finance their back-to-school shopping at Pattaya Pawn Shop.
Surasak Huasoon and Jetsada Homklin
Thailand’s economic slowdown has parents complaining even more
than usual about the price of school uniforms and, this year, are
flocking to pawn shops to finance their back-to-school shopping.
Grumbles about the price of uniforms and school supplies is a rite of
spring retailers are all too familiar with. But clothes this year
basically are the same price as 12 months ago, one shop owner said. The
difference is maybe 20 baht.
With the country’s economy slowing due to prolonged political turmoil,
everyone is watching their baht, however. Pattaya Pawn Shop manager
Supha Khamngam said business is up 20 percent as parents mortgage gold
ornaments, gold sticks, diamonds, golden Buddha statues, snake belts,
silver ornaments, watches, electrical appliances and mobile phones to
pay for school.
Rather than have people turn to loan sharks, the government has topped
off coffers at the Pattaya Pawn Shop on Soi 6 with 3 million baht a day
in reserves. Loans run four months - although a one-month extension is
available - and max out at 100,000 baht. Interest rates are 0.5 percent
for loans of up to 5,000 baht, 1 percent per month for up to 30,000 baht
and 1.25 percent monthly up to 100,000 baht. Penalties for late payments
apply.
Wanpen Kaenphirom, 49, was out May 2 buying uniforms and supplies for
her teenage children. She said some years her expenses run 10,000 baht,
forcing her to pawn items to pay the bill. Still, she said, it’s worth
it as she wants her children to have the best education possible.
The hotel employee, however, had the aisles of the uniform shop almost
to herself. Many stores are reporting slower sales than usual.
Mae takes daughter Pui to
buy her school and Girl Scout uniforms.
