License Requirements - Secondhand Precious Metal Objects Dealers & Pawnbrokers
All persons who are in business to buy gold, silver, platinum, and other precious metal objects from the public are required to be licensed by the Department. Pawnbrokers in most counties are required to obtain a pawnbroker’s license from the Department. However, pawnbrokers in Baltimore City and the counties of Anne Arundel, Harford, Howard, Montgomery, and Prince George's are subject to local pawn laws and licenses. All secondhand precious metal object transactions, whether as a pawn or outright purchase, are to subject state law.
Conditions for a license
Licenses may only be issued to an individual for a specific business address. A person who operates at multiple locations must obtain a license for each location. Licenses are not transferrable to another person. Items that are acquired must be safely stored at the business location. A storage location other than the business location must be approved by local law enforcement agencies and disclosed to the Department.
Requirements for corporations, partnerships and limited liability corporations
Applications must include the firm’s articles of incorporation or organization and be in good standing as an organization with the Maryland Department of Assessments and Taxation.
Corporations that are publicly traded on stock exchanges must designate a manager of each location to obtain a dealer’s license.
Criminal history record checks
Each applicant must have a federal and Maryland criminal history check as part of the application process. These reports are reviewed and approved by the Department before a license is issued.
Employees of dealers
Employees of dealers, who act on behalf of the dealer to conduct transactions, must be approved by the Department. Dealers must file a Dealer’s Report of Employee (Word) for each employee who will be conducting precious metal or pawn transactions. Each employee applicant must have a federal and Maryland criminal history check as part of the application process. These reports are reviewed and approved by the Department before issuing a license.