445-134.13 Prohibited practices. (a) No pawnbroker shall:
Terms Used In Hawaii Revised Statutes 445-134.13
- Contract: A legal written agreement that becomes binding when signed.
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Finance charge: The total cost of credit a customer must pay on a consumer loan, including interest. The Truth in Lending Act requires disclosure of the finance charge. Source: OCC
- Maturity date: means the date upon which a pawn transaction agreement expires and the holding period begins to run. See Hawaii Revised Statutes 445-131
- Month: means that period of time from one date in a calendar month to the corresponding date in the following calendar month, but if there is no corresponding date, then the last day of the following month, and when computations are made for a fraction of a month, a day shall be one-thirtieth of a month. See Hawaii Revised Statutes 445-131
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Pawn finance charge: means the sum of all charges, payable directly or indirectly by the customer and imposed directly or indirectly by the pawnbroker, including charges for insurance, handling, storage, and any other charge imposed incidental to the pawn transaction. See Hawaii Revised Statutes 445-131
- Pawn transaction: means the act of lending money on the security of pledged goods or the act of purchasing tangible personal property on condition that it may be redeemed or repurchased by the seller for a fixed price within a fixed period of time. See Hawaii Revised Statutes 445-131
- Pawnbroker: means a person engaged in the business of making pawn transactions, but does not include financial institutions whose deposits are federally insured and companies that are regulated or supervised by the division of financial institutions. See Hawaii Revised Statutes 445-131
- Pledged goods: means tangible personal property, other than choses in action, securities, or printed evidences of indebtedness, that is deposited with or otherwise actually delivered into the possession of a pawnbroker in the course of the pawnbroker's business and in connection with a pawn transaction. See Hawaii Revised Statutes 445-131
(1) Charge or receive any pawn finance charge exceeding twenty per cent a month;
(2) Contract for or receive any amounts other than the pawn finance charge in connection with a pawn transaction;
(3) Accept a pledge or purchase of property from a person under the age of eighteen years;
(4) Accept any waiver, in writing or otherwise, of any right or protection accorded a customer under this part;
(5) Fail to exercise reasonable care to protect pledged goods from loss or damage;
(6) Fail to return pledged goods to a customer within three business days of payment of the full amount due the pawnbroker on the pawn transaction;
(7) Make any charge for insurance, storage, or handling in connection with a pawn transaction;
(8) Enter into a pawn transaction which has a maturity date more than one month after the date the pawn transaction agreement is signed;
(9) Accept pledged goods or buy merchandise from a person unable to supply verification of identity by photo identification card, a state-issued identification card, driver’s license, or federal government-issued identification card; provided that in addition to such verification, the pawnbroker shall take the person’s thumbprint, and retain the thumbprint on file;
(10) Make any agreement requiring the personal liability of a customer in connection with a pawn transaction or creating any obligation on the part of the customer to redeem pledged goods or make any payment on a pawn transaction;
(11) Allow a customer’s pawn account to exceed $10,000. For purposes of this paragraph, “pawn account” means the total accumulation of unpaid pawn finance charges for any single customer; or
(12) Accept vehicles, vessels, or negotiable instruments as pledged goods, or certificates of title or registration of vehicles or vessels as evidence of possession of pledged goods.
(b) Any person who violates this section shall be penalized pursuant to section 445-136.