City of Eldon, MO Chapter 620 Pawnshops

Article I Licensing and Regulating Pawnshops

Section 620.010 Definitions.

[Ord. No. 1600 §1, 9-26-1995]

As used in this Chapter, the following terms shall have these prescribed meanings:

PAWNBROKER

Any person engaged in the business of lending money on the security of pledged goods or engaged in the business of purchasing tangible personal property on condition that it may be redeemed or repurchased by the seller for a fixed price within a fixed period of time.

PAWNSHOP

The location at which or premises in which a pawnbroker regularly conducts business.

PERSON

Any individual, partnership, corporation, joint venture, trust, association or other legal entity however organized.

PLEDGED GOODS

Tangible personal property which is deposited or otherwise actually delivered into possession of a pawnbroker in the course of his/her business in connection with a pawn transaction.

Section 620.020 License Required — Qualifications — Oath — Bond — Accounting — Location Within One-Half Mile of Excursion Gambling Boat or Facility, Prohibited — When.

A. No person shall operate a pawnshop unless such person obtains a municipal pawnshop license issued pursuant to this Section. To be eligible for a pawnshop license, an applicant shall:

1. Be of good moral character;

2. Have net assets of at least fifty thousand dollars ($50,000.00) readily available for use in conducting business as a pawnshop for each licensed pawnshop; and

3. Show that the pawnshop will be operated lawfully and fairly within the purposes of Sections 367.011 to 367.060, RSMo.

Any applicant who has a felony or misdemeanor conviction which directly relates to the duties and responsibilities of the occupation of pawnbroker or otherwise makes the applicant presently unfit for a pawnshop license shall not be eligible for a pawnshop license.

B. If the City is unable to verify that the applicant meets the net assets requirement for a licensed pawnshop, the City may require a finding, including the presentation of a current balance sheet, by an independent certified public accountant that the accountant has reviewed the books and records of the applicant and that the applicant meets the net assets requirement of this Section.

C. An application for a new pawnshop license, the transfer of an existing pawnshop license or the approval of a change in the ownership of a licensed pawnshop shall be under oath and shall state the full name and place of residence of the applicant, the place where the business is to be conducted, and other relevant information required by the City. If the applicant is a partnership, the City may require that the application state the full name and address of each member. If the applicant is a corporation, the application shall state the full name and address of each officer, shareholder, and director. The application shall be accompanied by:

1. An investigation fee of five hundred dollars ($500.00) if the applicant is unlicensed at the time of applying for the pawnshop license or two hundred fifty dollars ($250.00) if the application involves a second (2nd) or additional license to an applicant previously licensed for a separate location or involves substantially identical principals and owners of a licensed pawnshop at a separate location; and

2. Proof of general liability, if required by the City, and an annual fee of five hundred dollars ($500.00).

D. Each applicant for a pawnshop license at the time of filing application shall file with the City a bond satisfactory to it and in an amount not to exceed five thousand dollars ($5,000.00) for each license with a surety company qualified to do business in this City. The aggregate liability of such surety shall not exceed the amount stated in the bond. The bond shall run to the City for the use of the City and of any person or persons who may have a cause of action against the obligor of such bond under the provisions of Sections 367.011 to 367.060, RSMo. Such bond shall be conditioned that the obligor will comply with the provisions of Sections 367.011 to 367.060, RSMo., and of all rules and regulations lawfully made by the City, and will pay to the City and State to any such person or persons any and all amounts of money that may become due or owing to the City or to such person or persons from such obligor under and by virtue of the provisions of Sections 367.011 to 367.060, RSMo., during the time such bond is in effect.

E. Each licensee shall keep, consistent with accepted accounting practices, adequate books and records relating to the licensee's pawn transactions, which books and records shall be preserved for a period of at least two years from the date of the last transaction recorded therein.

F. No person who is lawfully operating a pawnshop on August 28, 1990, shall be required to obtain a license under this Section in order to continue operating such pawnshop, so long as such person does not violate any other provision of Sections 367.011 to 367.060, RSMo., except that, if such person is required by the City to have an occupational license, such person shall be required to pay the five hundred dollar ($500.00) annual fee prescribed in Subdivision (2) of Subsection (C) of this Section in lieu of any City occupational license fee.

G. In addition to the other requirements of this Section for licensure, no license shall be issued under this Section on or after May 20, 1994, for the initial operation of a pawnshop if such pawnshop is to be located within one-half (½) mile of a site where an excursion gambling boat dock or facility is located or within one-half (½) mile of a site where an application for such an excursion gambling boat dock or facility is on file with the Gaming Commission prior to the date the application for the pawnshop license is filed. The provisions of this Subsection shall not prohibit a pawnshop from being located within one-half (½) mile of a dock or facility or proposed dock or facility described in this Subsection if the license for such pawnshop has been issued prior to May 20, 1994.

Section 620.030 Interest On Loans.

[Ord. No. 1600 §4, 9-26-1995]

No pawnbroker shall charge or receive more than two percent (2%) per month on any loan.

Section 620.040 Unlawful To Receive Goods of Minor.

[Ord. No. 1600 §5, 9-26-1995]

No pawnbroker or any employee of such pawnbroker shall buy, receive or take any personal property, goods, wares or merchandise from any minor or have in possession any personal property, goods, wares or merchandise so had and obtained.

Section 620.050 Register of Loans and Purchases To Be Kept — Contents — Inspection — Time of Maintenance — Record of Sales.

[Ord. No. 1600 §6, 9-26-1995]

A. Required Contents. Every pawnbroker shall keep a register of all loans and purchases of articles made or effected by him/her, which register shall show and include:

1. The name and address of the pawnshop.

2. The name, age, sex, race and address of the pledgor, the pledgor's description and the driver's license number, military identification number, identification certification number or other official number capable of identifying the pledgor.

3. The date of the transaction.

4. A detailed identification and description of the pledged goods, including serial numbers if reasonably available.

5. The amount of cash advanced or credit extended to the pledgor.

6. The amount of the pawn service charge.

7. The total amount which must be paid to redeem the pledged goods on the maturity date.

8. The maturity date of the pawn transaction.

9. A statement to the effect that the pledgor is not obligated to redeem the pledged goods and that the pledged goods may be forfeited to the pawnbroker sixty (60) days after the specified maturity date.

10. A statement that the pawnshop has verified pledgor's identity by requiring presentation by pledgor of an official picture identification card.

B. Inspection. The register shall at all times be open to the inspection of commissioned Police Officers of the City of Eldon, Missouri, Police Department.

C. Time Of Maintenance. The register of all loans and purchases shall be maintained at the place of business for a period of two (2) years after the date the transaction occurred.

Section 620.060 Receipt To Be Furnished Persons Depositing or Selling Property.

[Ord. No. 1600 §7, 9-26-1995]

In addition to keeping the register, every pawnbroker shall give the person depositing or selling any property a plainly written, typed or printed receipt for the article deposited or purchased, having thereon a copy of the entries required herein to be kept in his/her register.

Section 620.070 Redemption of Property — Time Limitation.

[Ord. No. 1600 §8, 9-26-1995]

In case the person obtaining the loan fails to pay the interest or principal when due, the pawnbroker shall not sell the article pawned with him/her as security for such loan until the expiration of sixty (60) days from the date of such failure. The person so failing may at any time within the sixty (60) days redeem the article if he/she pays the full amount of principal and interest due at the date of such redemption according to the terms of the contract. If the person obtaining the loan fails to redeem the article within the sixty (60) days, he/she shall thereby forfeit all his/her right, title and interest in and to such article to the pawnbroker who shall thereby acquire and possess an absolute right in and to them to hold and dispose of them as his/her own property.