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Secondhand Dealers and Pawnbrokers Act 2004

Obligations of licence holders, promoters, and Internet auction providers - Obligations of licensed pawnbrokers - Pawnbroking

66: Sale of goods by pledger to pawnbroker

You could also call this:

"Selling goods to a pawnbroker: what you need to know"

Illustration for Secondhand Dealers and Pawnbrokers Act 2004

You can sell goods to a pawnbroker if you have a pawnbroking contract with them. The pawnbroker can buy the goods from you if they pay more than the redemption price. The difference between the redemption price and the purchase price must be paid in cash to you. You get the difference in cash when you sell the goods. The pawnbroker must record the sale and the purchase price in their records. This is so they can keep track of the sale. When you sell goods to a pawnbroker, the pawnbroking contract is cancelled for those goods. Some rules, like sections 60, 63, 64, and 67(1)(c), (f), and (g), do not apply to the goods you sell. This means those rules do not affect the goods after you sell them to the pawnbroker.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM305645.

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Topics:
Money and consumer rights > Consumer protectionBusiness > Industry rules
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Part 3Obligations of licence holders, promoters, and Internet auction providers
Obligations of licensed pawnbrokers: Pawnbroking

66Sale of goods by pledger to pawnbroker

  1. If, after entering into a pawnbroking contract, a pledger wishes to sell any of the goods that are the subject of the contract, the pawnbroker who accepted the pledge may buy the goods if—

  2. the purchase price of the goods is more than the redemption price of those goods; and
    1. the difference between the redemption price and the purchase price is paid in cash to the seller at the time of the sale; and
      1. the pawnbroker records the sale and the purchase price in his or her pawnbrokers record.

        1. When goods are purchased under this section,—

        2. the pawnbroking contract is treated, so far as it relates to those goods, as having been cancelled immediately before the sale; and
          1. sections 60, 63, 64, and 67(1)(c), (f), and (g) do not apply in respect of the goods.