The Non-Depository Division of the Office of Financial Institutions regulates the licensing of Pawnbrokers operating within the state of Louisiana. The Office began to regulate pawnshops in September 1993, after passage of a comprehensive licensing bill enacted by the Louisiana Legislature. Requirements included in the Act still in effect are:
- The applicant must have verifiable net assets of at least $50,000 when applying for licensure OR must maintain a $50,000 surety bond issued by a surety licensed to do business in Louisiana.
- The applicant shall not have been convicted of a felony under the laws of the United States, the state of Louisiana, or any other state or country within the last ten years.
- The applicant shall be over eighteen years of age and of good character and reputation.
All further requirements are enumerated in the license application. The timeframe for licensure usually runs between four and six weeks. All Pawnbrokers are subject to examination by our Office.
The fees for licensure are as follows:
- Initial licensure – $1,000
- Additional license to operate at another location – $500
- Annual renewal license fee for each location – $300
Penalties are assessed for late license renewals. Before changing locations, the licensee is required to submit to the Commissioner a 30 day written notice and submit a $100 fee. Additionally, the Pawnbroker must provide a 30 day written notice to all persons holding pawn tickets prior to his relocation or before a Pawnbroker can cease to do business.