While trying to convert a shapefile and load it to a DB, some latin characters on the data were a problem and the parameter that shp2pgsql provides for the encoding did not work 
shp2pgsql -W "UTF-8" ...   :( 
Then, a nice workaround is to use | with iconv:
shp2pgsql  file.shp  schema.table | iconv -f LATIN1 -t UTF-8 | psql
 
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