Sec. 86-481. Contract for purchase; interest rate.
(a) Each contract for purchase shall provide the customer with an option to cancel within 90 days following the date of execution of said contract. Each contract for purchase shall further provide that the customer may redeem any pledged property delivered to the pawnbroker in connection therewith at any time prior to the maturity of said contract by paying in full the fixed price to cancel said contract.
(b) The fixed price to cancel any contract for purchase shall not exceed:
(1) One-fifth of the original purchase price for each month, plus the original purchase price, on amounts of $50.00 or more; or
(2) One-fifth of the original purchase price for each month, plus the original purchase price, on amounts under $50.00.
(c) If any customer fails or neglects to cancel a contract for purchase for any pledged property as provided in this section, the pawnbroker may, upon the 30th day following the date of execution of said contract, mail a notice to said customer at the address listed in the pawnbroker's numerical register. Such notice shall contain the following information:
(1) The date of the notice;
(2) The number of the contract for purchase;
(3) A description of the pledged property;
(4) Notification that the pledged property must be redeemed within ten days from the date of the notice;
(5) A statement that, upon the failure of the customer to redeem the pledged property within ten days, such property shall be forfeited to the pawnbroker and all rights to the customer to redeem such property shall be foreclosed.
(d) If the customer fails or neglects to redeem the pledged property within the ten-day period provided in subsection (c) of this section, all the customer's right, title, and interest therein shall be forfeited to the pawnbroker. As consideration therefor, the debt owing by the customer to the pawnbroker shall be deemed satisfied and shall be canceled. Any pledged property that becomes the property of the pawnbroker pursuant to this subsection (d) may thereafter be sold by said pawnbroker. (Ord. No. 2005-12, § 131, 4-11-2005; Ord. No. 98-86, § 16, 11-30-1998)