Pawnbroker Bond - Statewide in Pennsylvania

Brief Summary

A Pennsylvania pawnbroker bond is not a one time filing. Every license expires on October 1, and the renewal has to reach the Department at least 30 days before the license year ends, with a new bond and a published newspaper notice of the renewal. Ordering the bond early keeps the renewal on schedule.

Pawnbrokers licensed by the Pennsylvania Department of Banking and Securities under the Pawnbrokers License Act (63 P.S. §§ 281-1 through 281-32) file a bond with a new license application and a new bond with every annual renewal. Licenses expire October 1. Confirm the current bond amount and form with DoBS before the bond is issued.

We can help with all Pennsylvania bonds!

How to Apply for a Pawnbroker Bond:

• Request the application and bond forms from DoBS, which supplies them, and set up the license record in NMLS.
• Post the notice of application and hearing at the proposed location for at least 30 days, then file the affidavit of posting.
• Publish the newspaper notice of hearing at least 10 days before the hearing date.
• Show at least $10,000 of permanent capital for each office.
• File the bond with the application and pay the new license fee.
• Renew at least 30 days before the October 1 expiration with a new bond and a published renewal notice.

Detailed Information About the Pennsylvania Pawnbroker Bond:

A new bond every year

Under 10 Pa. Code 61.2(e), a pawnbroker license expires on October 1 of each year. The renewal application must be filed with the Department at least 30 days before the end of the license year, accompanied by a new bond and payment to the Commonwealth of Pennsylvania. The renewal applicant also publishes a newspaper notice of the renewal application at least 30 days before renewal and gives the Department proof of publication from the newspaper. DoBS now has pawnbrokers renew through NMLS.

The bond and the capital rule are separate

These two get confused. Section 61.2(f) requires minimum capital of $10,000 for each licensed pawnbroker office, with a total cap of $100,000 for a licensee holding several offices. That capital must be kept as permanent capital and cannot be distributed to owners without the Secretary's written approval. The bond is filed on top of the capital requirement, not in place of it. Confirm the current bond amount and form with DoBS before the bond is issued.

Opening a new shop

An initial applicant posts a notice of application and hearing in a conspicuous spot at the proposed location for at least 30 days, then sends the Department an affidavit of posting. The Department holds a public hearing, which cannot begin until the application is complete, the affidavit is in and a newspaper notice has run at least 10 days before the hearing date. The applicant pays the hearing costs, including the stenographer and transcripts. DoBS also looks for adequate security measures and pawnbroker experience, which can come from a manager with at least 1 year in the business.

Moving the shop

A move within the same municipality needs the Department's prior approval, requested in writing at least 15 days ahead, and a lease for the new space may not be signed until the move is approved. A move to a different municipality requires a new license application, a new bond and a new license fee under 10 Pa. Code 61.3.

Eligibility and Requirements for a Pennsylvania Pawnbroker Bond:

• Bond on the form supplied by the Pennsylvania Department of Banking and Securities.
• A new bond with every annual renewal.
• A new application and bond when an office moves to another municipality.
• Minimum permanent capital of $10,000 per office, up to $100,000 in total.
• License certificate posted in full public view in the shop.

Pennsylvania Pawnbroker Bond FAQs:

Official and Additional Resources for the Pennsylvania Pawnbroker Bond: