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Putnam County, NY Business Licensing & Operations: Secondhand Dealers (2026)

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

Key Facts

License fee
$250, nonrefundable
Bond required
$5,000
License term
1 year, $250 to renew
Holding period
14 days before resale
Payment method
Check only, never cash
Criminal penalty
Up to $500 fine, 15 days jail
Civil penalty
$500 per day for unlicensed operation

Summary

Putnam County requires anyone buying and reselling secondhand gold, silver, gems, or other used articles to hold a Department of Consumer Affairs license. Applicants pay a $250 fee, post a $5,000 bond, and renew annually; the license must be displayed at the place of business.

These county ordinances apply to unincorporated areas of Putnam County. Incorporated cities within the county may have their own rules that take precedence over county-level regulations.

No person shall, within the County of Putnam, establish, engage in or carry on, directly or indirectly, the business of dealing in secondhand articles either separately or in conjunction with some other business, without first having obtained and having in full force and effect a license as provided herein. ... Such application for a secondhand dealer's license shall be accompanied by a nonrefundable application fee of $250. ... Every applicant shall submit a bond or other surety to the County of Putnam in the sum of $5,000, or for a renewal license, evidence of a bond issued in favor of the licensee.

Full Breakdown

Chapter 195 covers any person or business dealing in secondhand articles, especially items containing gold, silver, or platinum, or gems such as diamonds and rubies. The Director of Consumer Affairs issues the license after review of the application, which must include the applicant's business name, all Putnam County business addresses, proof of age 18 or older, a 10-year criminal history disclosure, and two 2-by-2-inch photographs. The $250 application fee is nonrefundable, and the required $5,000 bond guarantees payment on any bank drafts the dealer issues to buy secondhand goods.

Licenses expire one year after issuance and renew for another $250 upon filing 15 to 30 days before expiration. , must verify identification such as a passport or New York driver's license, and cannot pay for goods in cash under § 195-13. Every transaction must be logged with a description, photograph for precious items, and the seller's identification, retained for five years and reported electronically to law enforcement. A license can be denied, suspended, or revoked for fraud, a chapter violation, or a disqualifying theft-related conviction, with a hearing available on request within 60 days.

Violations & Fines

Under § 195-17, violating recordkeeping, identification, nighttime-purchase, or reporting rules is punishable by a fine up to $500, up to 15 days' imprisonment, or both. Operating without a license, past expiration, or without display, renewal, or nontransferability compliance instead draws a civil penalty of $500 per day the offense continues, collectible by the County. The Sheriff's Department and Department of Consumer Affairs both enforce the chapter.

Frequently Asked Questions

Who issues a secondhand dealer license in Putnam County?
The Director of the Putnam County Department of Consumer Affairs, after reviewing the application, fee, and bond under § 195-4 and § 195-5. The license must then be displayed at the licensed business location.
How long must a dealer hold an item before reselling it?
Fourteen days from acquisition under § 195-9B. All held articles must remain available for inspection by the County or local law enforcement during that period.
Can a secondhand dealer pay cash for items?
No. Section 195-13 makes it unlawful for a secondhand dealer to pay cash to a seller or pledger; payment must be traceable, which is why the county also requires a $5,000 bond covering issued drafts.
Does a yard sale need a secondhand dealer license?
No. Section 195-2B(1) exempts sales on the seller's own dwelling property lasting no more than 96 hours and held no more than three times in 12 months from the licensing requirement entirely.

Sources & Official References

Other rules in Putnam County

All Putnam County rules

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