Bill Text: NC S144 | 2011-2012 | Regular Session | Introduced
Bill Title: Cash Converters Must Keep Purchase Records
Spectrum: Moderate Partisan Bill (Republican 21-6)
Status: (Passed) 2011-06-27 - Ch. SL 2011-325 [S144 Detail]
Download: North_Carolina-2011-S144-Introduced.html
GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2011
S D
SENATE DRS35071-MD-27 (01/24)
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Short Title: Cash Converters Must Keep Purchase Records. |
(Public) |
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Sponsors: |
Senator Meredith. |
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Referred to: |
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A BILL TO BE ENTITLED
AN ACT to require cash converter businesses to keep records of purchases and to make those records available to local law enforcement agencies.
The General Assembly of North Carolina enacts:
SECTION 1. The title of Chapter 91A of the General Statutes reads as rewritten:
"Pawnbrokers and
Cash Converters Modernization Act of 1989.Act."
SECTION 2. G.S. 91A‑1 reads as rewritten:
"§ 91A‑1. Short title.
This Chapter shall be known and may be cited as the
Pawnbrokers and Cash Converters Modernization Act of 1989.Act."
SECTION 3. G.S. 91A‑2 reads as rewritten:
"§ 91A‑2. 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 of the Pawnbrokers and Cash Converters Modernization Act
of 1989 to:to do all of the following:
(1) Ensure a sound system of making loans and acquiring
and disposing of tangible personal property by and through pawnshops,pawnshops
and cash converters and to prevent unlawful property transactions,
particularly in stolen property, through licensing and regulating pawnbrokers;pawnbrokers.
(2) Provide for pawnbroker licensing fees and
investigation fees of licensees;licensees.
(3) Ensure financial responsibility to the State and
the general public;public.
(4) Ensure compliance with federal and State laws;
andlaws.
(5) Assist local governments in the exercise of their police authority."
SECTION 4. G.S. 91A‑3 reads as rewritten:
"§ 91A‑3. Definitions.
As used in this Article, the following definitions shall
apply:The following definitions apply in this Chapter:
(1) Cash converter. – A person engaged in the business of purchasing merchandise from the public at a permanently located retail store who holds himself or herself out to the public by signs, advertising, or other methods as engaging in that business. The term does not include pawnbrokers or persons whose merchandise purchases are made directly from manufacturers or wholesalers for their inventories.
(2) Cash converter store. – The location at which, or premises in which, a cash converter regularly conducts business.
(1)(3) "Pawn" or "Pawn
transaction" means a Pawn or pawn transaction. – A written
bailment of personal property as security for a debt, redeemable on certain
terms within 180 days, unless renewed, and with an implied power of sale on
default.
(2)(4) "Pawnbroker" means any 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.
(3)(5) "Pawnshop" means the Pawnshop.
– The location at which, or premises in which, a pawnbroker regularly
conducts business.
(4)(6) "Person" means any Person.
– Any individual, corporation, joint venture, association, or any other
legal entity, however organized.
(5)(7) "Pledged goods" means
tangible Pledged goods. – Tangible personal property which is
deposited with, or otherwise actually delivered into, the possession of a
pawnbroker in the course of his business in connection with a pawn transaction.
(6)(8) "Purchase" means any Purchase.
– An item purchased from an individual for the purpose of resale whereby
the seller no longer has a vested interest in the item."
SECTION 5. The catch line of G.S. 91A‑7 reads as rewritten:
"§ 91A‑7.
Record keeping requirements.requirements for pawnbrokers."
SECTION 6. Chapter 91A of the General Statutes is amended by adding a new section to read:
"§ 91A‑7.1. Record keeping requirements for cash converters.
(a) Every cash converter shall keep consecutively numbered records of each and every purchase. The cash 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) A clear and accurate description of the purchased property, including model and serial number if indicated on the property.
(2) The name, residence address, phone number, and date of birth of the seller.
(3) The date of the purchase.
(4) The type of identification and the identification number accepted from the seller.
(5) A description of the seller, including approximate height, weight, sex, and race.
(6) The purchase price.
(7) The statement that 'THE SELLER OF THIS ITEM ATTESTS THAT IT IS NOT STOLEN, HAS NO LIENS OR ENCUMBRANCES, AND IS THE SELLER'S TO SELL.'
(b) The seller shall sign the record and shall receive an exact copy of the record which shall be signed or initialed by the cash converter or any employee of the cash converter. These records shall be available for inspection and pickup each regular workday by the sheriff of the county or the sheriff's designee or the chief of police or the chief's designee of the municipality in which the cash converter is located. These records may be electronically reported to the sheriff of the county or the chief of police of the municipality in which the cash converter is located by transmission over the Internet or by facsimile transmission in a manner authorized by the applicable sheriff or chief of police. These records shall be a correct copy of the entries made of the purchase transaction and shall be carefully preserved without alteration, and shall be available during regular business hours.
(c) This section does not apply to purchases directly from a manufacturer or wholesaler for a cash converter's inventory."
SECTION 7. G.S. 25‑9‑201(b) reads as rewritten:
"(b) Applicable consumer laws and other law. – A
transaction subject to this Article is subject to any applicable rule of law
which establishes a different rule for consumers, to any other statute, rule,
or regulation of this State that regulates the rates, charges, agreements, and
practices for loans, credit sales, or other extensions of credit, and to any
consumer‑protection statute, rule, or regulation of this State, including
Chapter 24 of the General Statutes, the Retail Installment Sales Act (Chapter
25A of the General Statutes), the North Carolina Consumer Finance Act (Article
15 of Chapter 53 of the General Statutes), and the Pawnbrokers and Cash
Converters Modernization Act of 1989 (Chapter 91A of the General
Statutes)."
SECTION 8. This act becomes effective October 1, 2011, and applies to purchases by cash converters on or after that date.
