Monterey, CA Business Licensing & Operations: Pawnbrokers (2026)

Monterey City Code Chapter 24 defines a pawnbroker broadly under Section 24-1 as anyone who keeps a loan or pawn office, or takes jewelry, watches, precious stones, firearms, clothing or other personal property in pledge for loans and charges interest, other than banks, savings and loan institutions or other organizations already regulated by law. Section 24-2 makes it unlawful to carry on that business without a valid City business license issued under the City's Business License Ordinance, with all required fees paid. Section 24-3 requires a written application to the Finance Director disclosing the business's ownership structure, the names and residence addresses of all owners or, for a corporation, its principal officers, the business location and mailing address, and whether any license or permit for a similar business has previously been denied, suspended or revoked.

Section 24-4 sends every application to the Chief of Police, who investigates the applicant's criminal record, obtains fingerprints, may require a personal interview, and can refuse to approve issuance if the applicant would be a poor risk based on criminal history, has had a prior pawnbroker license revoked or suspended by Monterey or another jurisdiction, or if the business at that location would not serve public health, safety or welfare. The Chief must notify the Finance Director and applicant in writing within thirty days. A business already operating in Monterey for twenty-four consecutive months before the ordinance's effective date is exempt from the application and Chief-of-Police-approval sections under Section 24-7, but not from the recordkeeping duties.

Section 24-6 requires a permanent, ink, English-language transaction record for every purchase, sale, exchange, pledge or pawn, kept at the business for at least twenty-four months, with triplicate pawn tickets on a Chief of Police-approved form and a daily report of the prior day's transactions delivered to the Chief. Renewal under Section 24-8 goes through the same Chief of Police review and denial grounds as an original application.