Based on the history, the pawning business is inherent in daily life of Indonesian society, and has become a formal institution since the Dutch colonial era through Compagnie or VOC Oostindische Vereenigde that established a Van Leening Bank as a financial institution that provides loans to start-up the pawning system. Momentum Pegadaian institutions in Indonesia that occurred on August 20, 1746 in Batavia.
At the beginning of the Republic of Indonesia government era, Pegadaian Office once had moved out from Jakarta to Karanganyar, Kebumen, Central Java due to the war situation that heated up. The second Military Aggression of the Dutch had forced Pegadaian Office to be recolated to Magelang, Central Java. During post-war era, Pegadaian Office was transefered again to its early location in Jakarta and managed by the Government of the Republic of Indonesia.