Texas Administrative Code › Title 7 - BANKING AND SECURITIES › Part 5 - OFFICE OF CONSUMER CREDIT COMMISSIONER › Chapter 85 - PAWNSHOPS AND CRAFTED PRECIOUS METAL DEALERS › Subchapter A - RULES OF OPERATION FOR PAWNSHOPS › Division 4 - OPERATION OF PAWNSHOPS › Section 85.410 - Lost or Destroyed Pawn Ticket

Current through Reg. 49, No. 28; July 12, 2024
(a) Notice of lost pawn ticket. When oral
					 notification is received from a pledgor that the pledgor's pawn ticket has been
					 lost or stolen, the pledgor must be instructed to give the notice in writing
					 and informed that pledged items may still be taken into inventory after the
					 last day of grace if the pawn transaction is not renewed, redeemed, or
					 extended. The date and time the oral notification was received must be
					 documented. If the pledgor is present in the pawnshop at the time of giving
					 oral notice, the pledgor must be provided with a form to give written notice.
					 If the suggested guideline in subsection (d) of this section is employed, the
					 pledgor who gives oral notification should be informed that without a written
					 statement of the lost pawn ticket, the goods will be surrendered to someone who
					 properly presents the pawn ticket for redemption. A lost pawn ticket statement
					 must be filed in the numerical pawn ticket file.
(b) Record of payment. If a payment is made
					 in connection with the redemption of pledged goods or the renewal of a pawn
					 transaction and a separate lost pawn ticket statement is used, the requirement
					 may be satisfied by recording the payment on the front of the lost pawn ticket
					 statement, as well as the date of the transaction and the amount of money
					 actually received. The lost pawn ticket statement must be filed in the
					 numerical pawn ticket file.
(c)
					 Redemption or renewal procedure. Appropriate procedures must be employed to
					 ensure that only a person with a valid claim to a pledged item is able to
					 redeem that item. Upon receipt of written notice of a lost pawn ticket, the
					 original pawn ticket is void. The written notice of a lost pawn ticket must be
					 signed by the original pledgor or a person with the legal capacity to represent
					 the original pledgor. A person with the legal capacity to represent the
					 original pledgor includes: an administrator or executor of an estate, a person
					 designated as an attorney-in-fact for the original pledgor with a valid power
					 of attorney, or a person appointed by a court of competent jurisdiction. If
					 someone other than the original pledgor signs the written notice of a lost pawn
					 ticket, the pawnbroker must maintain copies of the supporting records (a copy
					 of the will, power of attorney, or court order) in either the original pawn
					 ticket file or the numerical hard card file.
(d) Suggested guidelines. These suggested
					 guidelines are intended to give pawnshops considerable flexibility to fit
					 individual needs while providing some guidance. Modifications to the guidelines
					 may be made without the loss of protection from any liability defense. When
					 oral notification that a pawn ticket has been lost or stolen is received, the
					 pledgor is instructed to give the notice in writing within the next two
					 business days. If a person other than the pledgor presents the pawn ticket in
					 an attempt to redeem the item prior to timely receiving written notice, it is
					 suggested that:
(1) an immediate attempt to
					 contact the pledgor by telephone be made in order to determine if the presenter
					 has a valid claim to the item;
(2)
					 a record of identifying information be made in the numerical file of loans,
					 including name, identification number, address, and phone number, of the
					 presenter of the pawn ticket;
(3)
					 when ownership cannot be immediately determined, a request be made that the
					 presenter of the pawn ticket return in a mutually agreeable time frame to
					 redeem the merchandise and return the original pawn ticket to the holder; and
(4) all actions taken relating to
					 the situation be documented in a clear manner to accurately record the events.