HB4714 Summary

• Amends the Pawnbroker Regulation Act to include regulation of precious metal scrappers, defined as businesses offering payment for physical gold or silver where at least 50% of revenue comes from melting, reforming, or reselling those metals.

• Requires the Secretary of Financial and Professional Regulation to issue annual or multi-year licenses for operating precious metal scrappers and pawnshops; operating without a license is unlawful.

• Mandates that precious metal scrappers pay sellers at least 60% of the actual melt value of gold or silver based on weight, purity, and spot value from the previous 3 business days of major U.S. stock exchange trading.

• Requires precious metal scrappers to maintain physical possession of gold or silver for 10 business days after receipt and prohibits melting or altering the metals during that period.

• Expands existing pawnbroker regulations to precious metal scrappers, including record-keeping requirements, identification verification, daily reporting to law enforcement, manager licensing, and penalties for violations ranging from Class C to Class B misdemeanors.