Please read our Description of a What is a Pawnbroker.
- What is a pawnbroker? Pawnbroker – Pawnbrokers are licensed lenders that carries on the business of advancing money on the security of pledged goods. The goods that we generally lend against are Cars, Boats, Trucks, Jet skis, Motorbikes, and items of value.
- As required by law the goods lent against are retained by as the pawnbroker for the term of the loan, which can be from 1 day to 3 months
- A pawnbroker must keep complete records in relation to every transaction, containing the information required by the Second-Hand Dealers and Pawnbrokers Regulations. Records include details of the goods pawned, full name and address of the borrower, the amount of money advanced on the goods, the charge for the loan and the term of the loan.
- The Pawnbroker Act requires a pawnbroker to be licensed and have a notice displayed so it is clearly visible to the public from outside the premises. The notice must show the maximum amount charged weekly and monthly by the pawnbroker, and state that in special circumstances a higher amount may be charged.
- A pawnbroker must require from everyone attempting to pawn goods evidence as to the person’s identity.
- A pawn ticket must be issued and must include the amount borrowed, charges, and the term of the loan. This must be given to the consumer with a notice in the form of Schedule of the Regulations. This notice includes information about redeeming goods, charges, and sale of unredeemed goods.
- Goods may be redeemed by paying the outstanding amount of the loan and producing the pawn ticket and a driver’s license or other identification as set out in the Regulations. Goods may be redeemed after the expiry of the period of the loan if the pawnbroker has not disposed of them.
- Once the period of the loan expires and the goods are not redeemed, the pawnbroker must offer the goods for sale as soon as practicable.
- If your goods are sold, the pawnbroker can deduct from the proceeds of sale any money you owe and the costs of selling the goods. You are entitled to any money left over from the proceeds of sale after these amounts have been deducted, if you claim it within 12 months after the sale of the goods.
- If you do not claim the money left over within 12 months after the sale of the goods, you are no longer entitled to it and the pawnbroker can keep it. It is illegal for the pawnbroker to refuse to pay you the money left over if you request payment within the 12-month period. If the pawnbroker refuses to pay you, you may apply to the Magistrates’ Court for an order that the pawnbroker pay you the money.
- We operate in the state of New South Wales and are fully licensed complying with all laws relating to the pawn brokering industry in that state. New South Wales Pawnbrokers and Second-hand dealers act 1996 Click here to link
New South Wales Fair Trading, what is a Pawnbroker? Click here to link
- Pawn broking is exempt under the National Credit Act, however it is covered by State-based pawn legislation and also by the unconscionable conduct and misleading and deceptive provisions of the (ASIC 2001Act).