§ 66-385 – Short title.

66-385. Short title. This Part shall be known and may be cited as the Pawnbrokers and Cash Converters Modernization Act. (1989, c. 638, s. 2; 2011-325, s. 2; 2012-46, ss. 2, 4.)

§ 66-386 – Purpose.

66-386. Purpose. The making of pawn loans and the acquisition and disposition of tangible personal property by and through pawnshops and cash converters vitally affects the general economy of this State and the public interest and welfare of its citizens. In recognition of these facts, it is the policy of this State and the purpose […]

§ 66-387 – Definitions.

66-387. Definitions. The following definitions apply in this Part: (1) Cash. – Lawful currency of the United States. (2) Currency converter. – Either (i) a person engaged in the business of purchasing goods from the public for cash at a permanently located retail store or (ii) an itinerant merchant as defined in G.S. 66-250(1) who […]

§ 66-388 – Pawnbroker authority.

66-388. Pawnbroker authority. A pawnbroker licensee is authorized to: (i) make loans on pledges of tangible personal property, (ii) deal in bullion stocks, (iii) purchase merchandise for resale from dealers, traders, and wholesale suppliers and (iv) use its capital and funds in any lawful manner within the general scope and purpose of its creation. Notwithstanding […]

§ 66-389 – License required.

66-389. License required. It is unlawful for any person, firm, or corporation to establish or conduct a business of pawnbroker unless such person, firm, or corporation has procured a license to conduct business in compliance with the requirements of this Part. (1989, c. 638, s. 2; 2012-46, ss. 2, 7.)

§ 66-390 – Requirements for licensure.

66-390. Requirements for licensure. (a) To be eligible for a pawnbroker’s license, an applicant must: (1) Be of good moral character; and (2) Not have been convicted of a felony within the last 10 years. (b) Every person, firm or corporation desiring to engage in the business of pawnbroker shall petition the appropriate city or […]

§ 66-391 – Record-keeping requirements for pawnbrokers.

66-391. Record-keeping requirements for pawnbrokers. (a) Every pawnbroker shall keep consecutively numbered records of each and every pawn transaction, which shall correspond in all essential particulars to a detachable pawn ticket or copy thereof attached to the record. (b) The pawnbroker shall, at the time of making the pawn or purchase transaction, enter upon the […]

§ 66-392 – Record-keeping requirements for currency converters and e-buyers.

66-392. Record-keeping requirements for currency converters and e-buyers. (a) Every currency converter shall keep consecutively numbered records of each cash purchase. The currency converter shall, at the time of making the purchase, enter upon each record all of the following information, which shall be typed or written in ink and in the English language: (1) […]

§ 66-393 – Pawnbroker fees; interest rates.

66-393. Pawnbroker fees; interest rates. No pawnbroker shall demand or receive an effective rate of interest greater than two percent (2%) per month, and no other charge of any description or for any purpose shall be made by the pawnbroker, except that the pawnbroker may charge, contract for, and recover an additional monthly fee for […]

§ 66-394 – Pawnbroker transactions.

66-394. Pawnbroker transactions. In every pawn transaction: (1) The original pawn contract shall have a maturity date of not less than 30 days, provided that nothing herein shall prevent the pledgor from redeeming the property before the maturity date; (2) Any personal property pledged to a pawnbroker in this State is subject to sale or […]

§ 66-395 – Prohibitions.

66-395. Prohibitions. (a) A pawnbroker shall not: (1) Accept a pledge from a person under the age of 18 years. (2) Make any agreement requiring the personal liability of a pledgor in connection with a pawn transaction. (3) Accept any waiver, in writing or otherwise, of any right or protection accorded a pledgor under this […]

§ 66-396 – Penalties.

66-396. Penalties. (a) Every person, firm, or corporation, their guests or employees, who shall knowingly violate any of the provisions of this Part, shall, on conviction thereof, be deemed guilty of a Class 2 misdemeanor. If the violation is by an owner or major stockholder or managing partner of the pawnshop and the violation is […]

§ 66-397 – Municipal or county authority.

66-397. Municipal or county authority. All of the counties and cities as defined by G.S. 160A-1 may by ordinance adopt the provisions of this Part and may adopt such further rules and regulations as the governing bodies of the counties and cities deem appropriate; provided, however, no county or city may regulate: (1) Interest, fees, […]

§ 66-398 – License renewal.

66-398. License renewal. Notwithstanding any provision of this Part to the contrary, any person, firm, or corporation licensed as a pawnbroker on or before October 1, 1989, shall continue in force until the natural expiration thereof and all other provisions of this Part shall apply to such license. Such pawnbroker shall be eligible for renewal […]

§ 66-399 – Bond.

66-399. Bond. Every person, firm, or corporation licensed under this Part shall, at the time of receiving the license, file with the city or county issuing the license a bond payable to such city or county in the sum of five thousand dollars ($5,000), to be executed by the licensee, and by two responsible sureties […]

§ 66-405 – Legislative finding.

66-405. Legislative finding. The General Assembly finds and declares that precious metal businesses in North Carolina vitally affect the general economy of the State and the public interest and public welfare, and in the exercise of its police power, it is necessary to regulate such businesses, in order to prevent thefts, disposal of stolen property, […]

§ 66-406 – Definitions.

66-406. Definitions. The following definitions apply in this Part: (1) Dealer. – A person who purchases precious metals from the public, other than by an exempted transaction, in the form of jewelry, flatware, silver services, or other forms and holds himself or herself out to the public by signs, advertising, or other methods as engaging […]

§ 66-407 – Permits.

66-407. Permits. (a) Dealer Permit. – Except as provided in subsection (c) of this section, it is unlawful for any person to engage as a dealer in the business of purchasing precious metals either as a separate business or in connection with other business operations without first obtaining a permit for the business from the […]

§ 66-408 – Perjury; punishment.

66-408. Perjury; punishment. Any person who shall willfully commit perjury in any application for a permit or exemption filed pursuant to this Part shall be guilty of a Class 2 misdemeanor. (1981, c. 956, s. 1; 1993, c. 539, s. 525; 1994, Ex. Sess., c. 24, s. 14(c); 2012-46, ss. 15, 19.)

§ 66-409 – Bond or trust account required.

66-409. Bond or trust account required. Before any permit shall be issued to a dealer pursuant to G.S. 66-407, the dealer shall execute a satisfactory cash or surety bond or establish a trust account with a licensed and insured bank or savings institution located in the State of North Carolina in the sum of ten […]