Iowa City, IA Business Licensing & Operations: Secondhand Dealers (2026)

Iowa's regulatory framework for secondhand dealers operates through Iowa Code Chapter 555C ('Reporting of Transactions in Property') as the principal statute. Chapter 555C, originally enacted in 1996 and updated since, defines a 'reporting person' to include pawnbrokers, precious-metals dealers (gold, silver, platinum buyers), and certain secondhand dealers in regulated property (firearms, jewelry, electronics with serial numbers, prescription drugs, currency). Each reporting person must (1) record every regulated transaction including the seller/pledgor's name, address, government-issued photo ID number, signature, description of the item with all serial numbers, and price paid (Iowa Code §555C.3); (2) electronically transmit the transaction record to the chief of police of the city where the transaction occurred (in Iowa City, the Iowa City Police Department) by the close of business on the next business day under §555C.4; (3) retain transaction records for at least 2 years (§555C.5); and (4) hold purchased property for the minimum statutory period before reselling, melting, or altering it - typically 14 days for precious metals and other regulated property to allow law enforcement to identify stolen goods (§555C.6). Pawnbrokers separately make consumer loans secured by personal property and must comply with Iowa Code Chapter 535B (Regulated Loan Act) administered by the Iowa Division of Banking, including licensing requirements when annual loan volume crosses statutory thresholds. Iowa City has not adopted a stand-alone municipal pawnshop ordinance beyond enforcing Chapter 555C, but secondhand-dealer locations must hold any required Iowa City business permits, comply with the Iowa City Zoning Ordinance (Title 14) - pawnshop uses are conditional in several near-downtown commercial districts - and remit Iowa state and local sales tax under Iowa Code Chapter 423. Iowa City Police participate in LeadsOnline for digital transaction reporting.