How do pawn shops check if a diamond is real?
Most people think the answer to diamond authentication lies in the well-known jeweler’s loupe. However, the process of diamond authentication and evaluations is much more scientific.
It involves a combination of specialized tools and expertise.
Read on to learn more…
When you bring a diamond to a pawn shop—whether to sell it outright or use it as collateral for a loan—you want to know that you’re getting a fair and accurate evaluation. A fair evaluation, however always starts with authenticaltion.
Because of this, and because we understand that your diamonds may carry sentimental and financial value, we take diamond authentication seriously.
But how can a luxury pawn shop tell within minutes whether your diamond is real, lab-grown, or an imitation?
It’s not magic—it’s science. Using advanced tools and years of expertise, we quickly analyze the stone’s composition, determine whether it’s natural or lab-created, and evaluate its quality based on the GIA’s (Gemological Institute of America) diamond grading standards. And we do all of this in front of you—no mystery, no tricks, just straightforward testing that ensures you get the best offer for your diamond, or other gemstone (in the case it proves not to be a diamond).
So, let’s walk through exactly how we determine whether a diamond is natural, lab-grown, or something else entirely.
The first step in determining whether a diamond is real, lab-grown, or an imitation is identifying its material composition.
This is where specialized tools come in—because while the naked eye (with or without a jeweler’s loupe) can catch some obvious fakes, it takes advanced testing to be sure.
One of the quickest and most effective ways to check if a stone is a diamond is by using a diamond and moissanite tester. This handheld device measures thermal and electrical conductivity, two key properties that set diamonds apart from other stones.
Some customers assume their stone is a diamond, only for our tester to reveal it’s moissanite or cubic zirconia.
At this stage, we’ve determined if the stone is a real diamond, but that’s only part of the process. The next step is figuring out whether it was mined from the earth or created in a lab—and for that, we use a much more advanced tool.
Once we’ve confirmed that a stone is a real diamond, the next question is: Was it mined from the earth, or grown in a lab?
Lab-grown diamonds have become increasingly common. Although their formation process is vastly different from that of diamonds, their material composition is the same. The result – the naked eye, not even that of an expert jeweler, can’t always tell natural and lab-grown diamonds.
Yet, natural and lab-grown diamonds are not created equal. As a result, whether a diamond is natural or lab-grown has a significant impact on its value.
For this reason, we use advanced technology—specifically, the Sherlock Holmes Yehuda Diamond Tester—to analyze a diamond’s structure and determine its origin.
This state-of-the-art device combines multiple scientific techniques, including:
Analyzing how the diamond interacts with different wavelengths of light.
Measuring how heat moves through the diamond, which can differ slightly between natural and lab-created stones.
Examining how the diamond was formed, as lab-grown diamonds often have distinct growth structures and fluorescence under UV light.
The process is simple: we place the diamond in the machine, and within seconds, the results appear on the screen—clearly indicating whether the diamond is natural or lab-grown.
Although lab-grown diamonds are chemically identical to natural diamonds, they have very different values in the market.
Diamond authentication and diamond evaluation are therefore two completely concepts.
Just because you have a real diamond, it does not automatically imply you have an item of high value.
A natural diamond, formed deep within the earth over millions of years, typically holds its value better than a lab-grown diamond, which can be produced in a matter of weeks.
We had one customer who brought in a beautiful 1.5-carat diamond ring, certain that it was natural because he had purchased it years ago. Long before lab-grown diamonds had flooded the market. When we tested it, the machine identified it as lab-grown. He was shocked—he had no idea that lab-created diamonds were even a possibility when he bought the ring. Unfortunately, because lab-grown diamonds don’t retain value the same way natural diamonds do, the price he expected was far higher than what the market would pay.
This is why professional testing is so important.
Our process therefore ensures you get the most accurate diamond authentication possible.
But more than that, we also give an accurate expert valuation. This eliminates any surprises when it comes time to sell or use your diamond as collateral.
Now that we’ve determined the diamond is real and identified whether it’s natural or lab-grown, it’s time to assess its quality—which is where the 4Cs come in.
After confirming that the diamond is real and determining whether it is natural or lab-grown, the next step is evaluating its quality.
This is where the 4Cs—Carat, Cut, Color, and Clarity—come into play. These four factors, established by the Gemological Institute of America (GIA), determine a diamond’s beauty and market value.
Since the 4Cs are such an important topic, we have a detailed guide explaining each one in-depth, which you can read here: How Diamonds Are Valued.
However, here’s a quick overview of how we assess each factor when appraising diamonds at our pawn shop.
Each of these factors influences how much your diamond is worth.
A 1-carat diamond with perfect cut, color, and clarity can be worth more than a 2-carat diamond with visible inclusions and a poor cut.
That’s why we take a comprehensive approach to grading—ensuring that you get an accurate and fair assessment of your diamond’s true market value.
If you want to learn more about how the 4Cs impact your diamond’s worth, check out our full article: How Diamonds Are Valued.
If your diamond has a certification from a reputable gemological institute like the GIA (Gemological Institute of America), it can help provide additional confidence in your diamond’s quality.
These certifications offer a detailed report on the 4Cs and other important factors, and they often help increase the stone’s resale value.
Additionally, diamond provenance—the stone’s history of ownership or origin—can sometimes add value, particularly for rare or antique diamonds.
At our luxury pawn shop, we believe in complete transparency.
That’s why every diamond authentication and evaluation happens right in front of you—no back rooms, no mystery, and no taking your diamond out of sight.
The answer is simple.
We value transparency, and we value you.
We understand that selling a diamond or using it as collateral for a loan can be an emotional and financial decision.
By testing diamonds openly, we:
✅ Build trust
You see every step of the process, so you know there’s no guesswork or manipulation.
✅ Educate our customers
We explain each test and what the results mean, so you walk away with a better understanding of your diamond.
✅ Ensure accuracy
If you have any questions during the process, we address them in real-time.
Whether you decide to sell or hold onto your diamond, we want you to leave with knowledge, not just an offer. We encourage customers to ask questions, compare options, and feel confident in their decisions.
At Broff’s Diamond & Loan Co, we’ve developed a quick yet thorough process to ensure your diamond is accurately evaluated, whether you’re selling it or using it as collateral for a loan.
We combine modern technology with decades of expertise. As a result, we are able to verify authenticity, assess quality, and offer you a fair and competitive price—all while explaining each step to you.
We are committed to providing honest, fair pricing based on solid facts and industry-standard practices.
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