PAWNBROKERS appear to be beating the credit crunch thanks to struggling residents who are loaning their possessions.

Stores in the area have reported increased profits over the past six months while other industries and businesses continue to suffer during the downturn.

Albie Burke, of Gemini Pawnbrokers in Orpington High Street, says business is good and that he's noticed a new type of customer coming into his shop.

The store manager said: "Trade has definitely picked up and we are starting to see people, who maybe used to have a bit more money than most, come in and cash-in their luxury items like rings, necklaces and watches.

"I guess these items were bought during the good times."

He added: "At the same time, people are opting to buy secondhand goods at half the price, whereas in the past they would have bought new."

In fact, some people who live in Gravesend and commute to the city have even been cashing in their valuables.

James Marsh is the owner of Blackwells in Barrack Row, Gravesend. He said: "Even some city-slicker types have been in here selling their Rolex watches. So times are definitely tough."

Similarly, Welling-based pawnbroker Harvey and Thompson Ltd says business is good at its branch in Bellegrove Road.

Once again jewellery seems to be the number one item to cash in.

Assistant manager Lisa Julian said: "Since last September there has been an influx of customers. People who are struggling come in and loan their rings and watches for cash."

Meanwhile, Ray Barber, director of Charles Dance pawnbrokers in Woolwich, said: "This company has been running for more than 50 years and exactly the same happened in the last recession.

"If you go to the bank then they ask you a million questions and it's a real hassle - but when customers come to us they can get cash easily.

"Trade is picking up nicely."

Strange items offered to pawnbrokers in the News Shopper area:

- A bottle of whiskey purchased on the QE2

- Gold teeth

- A genital piercing

- A one-foot-tall silver coated model of a tin-man (like from Wizard of Oz)

- Silver teeth

- Samurai sword

- War medals

- Broken TVs

- A helicopter

- A barge boat

- Sex toys