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Salem, OR Business Licensing & Operations: Pawnbrokers (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

License category
"Dealer in used merchandise" (SRC 30.010(c))
Property hold
14 days after report to Chief (SRC 30.205)
Extended hold
Up to 180 days if stolen suspected (SRC 30.210)
Thumbprint required
50+ transactions per year (SRC 30.200(a)(8))
Minors
Purchases from under-18 sellers prohibited (SRC 30.230)

Summary

Salem requires every pawnbroker to hold a City license as a "dealer in used merchandise" under SRC chapter 30, keep detailed transaction records reported to the Police Chief, and hold purchased or pledged property for 14 days before resale. The Police Department administers licensing and can order property held longer during an active investigation.

Pawnbroker means any person engaged in the business of loaning money to another person where personal security, pawns, or pledges are the condition of the loan; or the business of purchasing articles of personal property with the agreement to resell the articles to the vendors thereof, at prices agreed upon at or before the time of such purchase. ... [SRC 30.200(a)] every dealer in used merchandise shall make and keep a full, true, and complete record of all articles received, pledged, or purchased. ... [SRC 30.205(a)] all property purchased or received by any dealer in used merchandise incident to such business shall be held without alteration, change or subsequent sale for a period of 14 days after the receipt of the property is reported to the Chief.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 26 Update 1).

Full Breakdown

005 as anyone in the business of loaning money on personal security, pawns, or pledges, or of buying property with an agreement to resell it to the seller at an agreed price. 010(c), administered by the City's Licensing Director in coordination with the Salem Police Department's Chief. 015(b). 200 requires a pawnbroker to log every transaction: the date, pawn ticket number, purchase or pledge amount, a description of each item, any serial numbers or markings, the borrower's or seller's name, address and ID type, a declaration of ownership, and a signature.

Shops handling 50 or more transactions a year must take the pledgor's right thumbprint with a scanner and submit daily records electronically to a computer system chosen by the Chief; smaller operations may use ink prints and mail records within two days. 210 if the item is suspected stolen. 230.

Violations & Fines

Failing to keep required transaction records is an infraction under SRC 30.250. Knowingly altering, commingling, or failing to produce held property violates SRC 30.255 and is a misdemeanor, as is disobeying a Chief's hold order under SRC 30.260. Purchasing from a minor (SRC 30.230) or failing to verify identification (SRC 30.265) is an infraction. Salem Municipal Court hears these charges, and the Director may also suspend or revoke the license under SRC 30.060.

Frequently Asked Questions

Does Salem require pawnbrokers to hold a special license?
Yes. SRC 30.010(c) requires anyone operating as a "dealer in used merchandise," including pawnbrokers, to obtain a City license before starting business, per SRC 30.020. The Director can require fingerprinting, a criminal history check, and inspection of the shop as part of the application under SRC 30.015(b).
How long must a Salem pawnbroker hold an item before reselling it?
SRC 30.205 requires items to be held without alteration or resale for 14 days after the purchase or pledge is reported to the Police Chief. If the Chief has probable cause the item was stolen, SRC 30.210 lets the Chief order a longer hold, up to 180 days.
What records must a Salem pawnshop keep on every transaction?
SRC 30.200 requires the date, pawn ticket number, price, item description, any serial numbers, the seller's name, address and ID, a signed ownership declaration, and a thumbprint if the shop handles 50 or more transactions a year. Records must be reported to the Chief daily or within three days for smaller shops.

Sources & Official References

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