They could also simply SELL equipment (back to shops) at half price or something.
Not if their party is new(technically new since their original party got wiped out) and has nothing on them with almost no gold.
Maybe you can let them have maybe few items from dead members that they can sell? Maybe they should only be allowed to sell items of dead members instead of using them themselves.
Edit: Maybe you can say those retrieved items are not in good conditions and only shopkeers can make them good enough to be sold again.
