PAWNBROKERS

Raleigh City Code pt. 12, ch. 2, art. C

in effect

Raleigh City Code § 12-2101 DEFINITIONS.

Sec. 12-2101. - DEFINITIONS. As used in this article the following terms shall be defined as follows: Pawn or Pawn Transaction: A written bailment of personal property as security for debt, redeemable on certain terms within one hundred eighty (180) days, unless renewed, and with an implied power of sale on default. Pawnbroker: A person engaged in the business of lending money on the security of pledged goods and who may also purchase merchandise for resale from dealers and traders. Pawnshop: The location at which or in which a pawnbroker regularly conducts business. Person: Any individual, corporation, joint venture, association, or any other legal entity, however organized. Pledged Goods: Tangible personal property which is deposited with or otherwise delivered into the possession of a pawnbroker in the course of his business in connection with a pawn transaction. Purchase: Any item purchased from an individual for the purpose of resale whereby the seller no longer has a vested interest in the item. (Ord. No. 1992-982, §1, 6-2-92)

Raleigh City Code § 12-2102 LICENSING OF PAWNBROKERS.

Sec. 12-2102. - LICENSING OF PAWNBROKERS. (a) No person, firm, or corporation shall establish or operate a pawnbroker business without first having applied for and been granted the license provided by this section. (b) Every application for a pawnbrokers license shall be upon a form approved by the City Manager and shall be filed with the Revenue Collector. Each application shall be made under oath and shall contain the following information: (1) The name and address of the person, and in case of a firm or partnership, the names and addresses of the persons composing such firm or of the officers of a corporation. (2) The name of the business and the street address and mailing address where the business is to be operated. (3) A statement indicating the amount of net assets or capital proposed to be used by the petitioner in operation of the business. This statement shall be accompanied by an unaudited statement from an accountant verifying the information contained in the statement. (4) An affidavit by the petitioner that he has not been convicted of a felony. (5) A certificate from the Chief of Police, sheriff of the County, or the State bureau of investigation certifying that the petitioner has not been convicted of a felony. (c) The Revenue Collector shall transmit a copy of the application to the Police Department for an investigative report, to the Inspections Department for a determination as to compliance with zoning and development regulations, and to the Fire Department to determine compliance with laws relating to fire protection. These department shall report back to the Revenue Collector within a reasonable period of time not to exceed thirty (30) days. (d) An application in proper form shall be placed on the printed agenda of the first regular Council meeting after completion of the reports and for which the normal agenda deadline date can be met. (Ord. No. 1992-982, §2, 6-2-92)

Raleigh City Code § 12-2103 ISSUANCE OF LICENSE.

Sec. 12-2103. - ISSUANCE OF LICENSE. (a) Before issuing a license, the Council shall be satisfied that the applicant is a suitable person to hold a pawnbroker license and that the location is a suitable place to hold the proposed license. To be a suitable place, the establishment shall comply with all the rules and regulations set out in G.S. Chapter 91A. Other factors the Council may consider in determining whether the applicant and the business location are suitable shall include all of the following: (1) The application contains no misstatement of fact. (2) The applicant conforms to all requirements of applicable zoning, building, and fire prevention codes. (3) The applicant shall not have been convicted of a felony within a ten-year period preceding the filing of the application. (4) Parking facilities and traffic facilities in the neighborhood. (5) The recommendations of the City of Raleigh Police Department. (6) Any other evidence that would tend to show whether the applicant would comply with the provisions of G.S. Chapter 91A and the applicable provisions of this Code and whether the operation of the business at that location would be detrimental to the neighborhood. (7) This ordinance [section] shall apply to all pawnbroker licenses pending on May 8, 1995, and to all applications for such licenses filed after that date. (b) Upon approval of the application by the Council and upon receipt of a license fee of two hundred seventy-five dollars ($275.00), the Revenue Collector shall issue a pawnbrokers license to the applicant. The license must be renewed annually. (c) At the time of receiving the license the applicant shall file with the City Clerk a bond payable to the City in the amount of five thousand dollars ($5,000.00) to be executed by the licensee and by two (2) sureties or a surety company licensed to do business in North Carolina, which shall be for the faithful performance of the requirements and obligations pertaining to the licensed business. The City may sue for forfeiture of the bond upon breach, and any other person who obtains a judgment against a pawnbroker and upon which judgment execution is returned unsatisfied may maintain an action in his own name upon the bond to satisfy the judgment. (Ord. No. 1992-982, §3, 6-2-92; Ord. No. 1995-639, §1, 5-2-95; Ord. No. 1995-679, §1, 7-5-95)

Raleigh City Code § 12-2104 REVOCATION OF PAWNBROKER'S LICENSE.

Sec. 12-2104. - REVOCATION OF PAWNBROKER'S LICENSE. A license issued pursuant to §12-2103 may be revoked by action of the Council for substantial abuses of this article or G.S. 91A-1-22. Before the Council revokes a license pursuant to this chapter, and before the Council considers an application for a license pursuant to this chapter, a written notice shall be sent to the licensee or applicant affected, by certified mail, return receipt requested, to the address listed on the application. The notice shall advise the affected party of a right to appear before the Council, with or without legal counsel, at a stated time and place at least ten (10) days following the date of the notice for the purpose of presenting any evidence relevant to such revocation or application and for the purpose of cross-examining any person providing evidence against the respondent. A revocation hearing can be initiated by the Chief of Police or by the City Council. (Ord. No. 1992-982, §4, 6-2-92)

Raleigh City Code § 12-2105 RECORD KEEPING REQUIREMENTS.

Sec. 12-2105. - RECORD KEEPING REQUIREMENTS. (a) Every pawnbroker shall keep consecutively numbered records of each pawn transaction. The records 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 pawn ticket a record of the following information which shall be typed or written in ink and in the English language: (1) A clear and accurate description of the property, including model and serial number if indicated on the property. (2) The name, residence address, phone number, and date of birth of the pledgor. (3) The date of the transaction. (4) The type of identification and identification number accepted from pledgor. (5) Physical description of the pledgor. (6) The amount of money advanced. (7) The date and the amount due. (8) All monthly pawn charges, including interest, annual percentage rate on interest, and total recovery fee. (9) Agreed upon stated value between the pledgor and the pawnbroker in case of loss or destruction of pledged item. Unless otherwise noted the stated value is the same as the loan value. (c) The following shall be printed on all pawn tickets: (1) The statement that "ANY PERSONALPROPERTY PLEDGED TO A PAWNBROKER WITHIN THIS STATE IS SUBJECT TO SALE OR DISPOSAL WHEN THERE HAS BEEN NO PAYMENT MADE ON THE ACCOUNT FOR A PERIOD OF 60 DAYS PAST MATURITY DATE OF THE ORIGINAL CONTRACT. NO FURTHER NOTICE IS NECESSARY." (2) The statement that "THE PLEDGOR OF THIS ITEM ATTESTS THAT IT IS NOT STOLEN, HAS NO LIENS OR ENCUMBRANCES, AND IS PLEDGOR'S TO SELL OR TO PAWN." (3) The statement that "THE ITEM PAWNED IS REDEEMABLE ONLY BY THE BEARER OF THIS TICKET OR BY IDENTIFICATION OF THE PERSON MAKING THE PAWN." (4) A blank line for the pledgor's signature or initials. (d) The pledgor shall sign the pawn ticket and shall receive an exact copy of the pawn ticket, which shall be signed or initialed by the pawnbroker or an employee of the pawnbroker. These records shall be available for inspection each regular workday by the Police Department. The records shall be provided to the Police Department within twenty-four (24) hours after the record is created in one of the following ways: 1. Hand delivery to: 110 South McDowell Street Raleigh Police Department 4th floor Attention: pawnshop investigator 2. Facsimile to: (919) 890-3004 Attention: pawnshop investigator 3. Electronic data as set forth in the next paragraph. All pawnbrokers are required to utilize a reporting system that offers an electronic data transmission system that is compatible with the standard used by the local City or County law enforcement computer system. The electronic data must be provided to the appropriate law enforcement agency as designated by the Raleigh Police Department within twenty-four (24) hours after the record is created. (e) Except as otherwise provided in this part any person presenting a pawn ticket for redemption is presumed to be entitled to redeem the property described by the ticket. (Ord. No. 1992-982, §5, 6-2-92; Ord. No. 2003-410, §1, 3-18-03; Ord. No. 2007-222, §§1, 2, 5-1-07)

Source: City of Raleigh, North Carolina, City Code and City Charter (Municode Library, library.municode.com)URL: https://library.municode.com/nc/raleigh/codes/code_of_ordinances?nodeId=DIVIICOGEOR_PT12LIRE_CH2BUTR_ARTCPAFetched: 11/1/2026