Pawn knowledge

According to the "Pawn Management Measures" promulgated by the Ministry of Commerce and the Ministry of Public Security, which came into effect on April 1 2005, the so-called pawn refers to the act of pawning the pawnbroker as pawnbroker's movable property and property rights, paying a certain percentage of the fees, obtaining the pawnbroker's income, paying the pawnbroker's interest, repaying the pawnbroker's loan and redeeming the pawnbroker within the agreed time limit. Generally speaking, pawn is a way of borrowing and financing with property as pledge within a fixed period of time. This is a financing method of exchanging things for money. As long as the customer repays the principal and pays a certain comprehensive service fee (including storage fee, insurance premium and interest, etc.). ) within the agreed time, the pawn can be redeemed.

Historical evolution of pawn

Pawnbroking industry is one of the oldest industries in mankind, and it can be called the originator of modern financial industry and the predecessor of mortgage bank. China is one of the earliest countries in the world where pawnbroking activities took place and pawnbroking industry was formed. According to textual research, China's pawnbroking industry first sprouted in the Eastern and Western Han Dynasties, began in the Fushou warehouse of Buddhist temples in the Southern Dynasties, flourished in the Tang and Five Dynasties, stood in the Southern and Northern Dynasties, flourished in the Ming and Qing Dynasties, and declined in the late Qing Dynasty and the early Republic of China. It was banned in the 1950s, but it was revived in the contemporary reform and opening up and experienced the ups and downs of 1600 years. 1978 Pawnshops resumed business after the Third Plenary Session of the Eleventh Central Committee. 1995 The Ministry of Public Security promulgated the Measures for the Administration of Public Security in Pawnshops (Order No.26 of the Ministry of Public Security). 1996 In April, the People's Bank of China promulgated the Interim Measures for the Administration of Pawnshops, making it clear that pawnbrokers are non-bank financial institutions and the pawnbroker industry is supervised by the Ministry of Public Security. After 2000, in order to meet the requirements of financial system reform, with the consent of the State Council, the People's Bank of China transferred the pawnshop as a special industrial and commercial enterprise to the former State Economic and Trade Commission for centralized management. In August of 20001year, the former State Economic and Trade Commission formulated and promulgated the Measures for the Administration of Pawnshops (Order No.22 of the State Economic and Trade Commission) according to the development of the pawnbroker industry. After the institutional reform in 2003, the Ministry of Commerce was responsible for the supervision of the pawnbroker industry. In the Qing Dynasty, pawnbroking extended from cities to rural areas and became an important lending institution all over the country. During the Kangxi period, according to tax data, there were at least 20,000 pawnbrokers in China. During the Qianlong period, there were six or seven hundred pawn shops opened by officials and people inside and outside Beijing. After the Opium War, due to the increasing poverty of people's livelihood in urban and rural areas, the pawn industry was divided into pawn, pawn, pledge, pawn and pawn. The biggest pawn shop has more capital, longer redemption period and lower interest. It accepts real estate and chattel as collateral, and there is no limit on the amount of mortgage. Pawnshops only accept chattel mortgage, and the amount of cash paid is limited; Once again, it is a quality store (Shanxi Anhui is called quality, and Guangdong Fujian is called publishing house); Pawnshops are the smallest, with the shortest redemption period and the highest interest. Due to the increasing amount of taxes and donations collected by the Qing government, the share varies with the scale of enterprises. In order to reduce the burden and get rid of the restrictions of pawn shops, businessmen later set up new pawn shops, which were called quality shops or pawn shops, while some original pawn shops were renamed pawn shops, so it was difficult to distinguish the boundaries. In addition, there is a so-called "Daidang", also known as "Dainian" or "Jiedian", which is mostly located in towns and villages, such as a branch of big pawn, called "Bendai"; Signing a contract with a pawnshop to operate the pledge agency business is called "customer agency". soldier

Borrowers go to pawn shops to borrow money, mainly to meet the urgent needs of family life, but also for the small-scale operation of individual small producers or the production of farmers. When borrowing money, you must first send it to the physical inspection as a pledge, and the pawnshop will pay a "pawn ticket", which will indicate the price of the goods and the mortgage as a voucher for the pawnshop to redeem the mortgaged goods at maturity. In order to make it unrecognizable to outsiders, pawn tickets are written in special fonts. When things are new clothes, they must be written as old clothes or marked as "broken"; Write copper and lead into gold and silver as usual; For utensils, use the word "waste". According to the nature of collateral and the scale of pawn shops, the loan term, loan amount and interest level vary from place to place. The term usually ranges from six months to two years. Most loans are about 50% of the value of collateral. If it cannot be redeemed at maturity, it will become a "dead pawn" and the collateral will be confiscated by the pawnshop. According to the official regulations of the Qing Dynasty, the pawn interest should not exceed three points per month, but in fact it is greatly exceeded, and the interest should be calculated monthly. In a few days, plus January interest. Pawnshops also exploit pawnbrokers in the way of so-called "light out and heavy in" or "full in" when collecting money and paying. Lending cash is only paid at 94% discount, 95% discount or even 10 discount, and must be paid in full when the customer redeems, and the interest is calculated at full cost; In addition, there are various additional costs. Moreover, the smaller the collateral value, the shorter the redemption period and the highest interest rate, so the poor working people are also the most exploited. Pawnshops in towns and villages also use grain as capital or collude with big hoarders to carry out speculative manipulation activities such as grain lending and trading, and farmers have to bear physical losses and import and export price differences. The cruel exploitation of the pawnbroking industry aroused the resistance of the broad masses of people. Although the government protects and supports pawn shops, incidents such as looting and burning pawn shops still occur from time to time. In the early days, the pawnbroking industry was mostly wholly owned, with capital ranging from thousands to tens of thousands, almost for Shanxi,

Shaanxi merchants (commonly known as Shaanxi gangs) and Huizhou merchants. Feudal officials and aristocratic bureaucrats also regarded it as a favorable place for working capital. The Ministry of Interior has opened more than a dozen official pawn shops in Beijing, and local governments have also set up their own pawn shops through officials. Treasury and local treasury often allocate some official funds to dealers to earn interest, which is called interest-bearing bank, and the interest rate is about 78% to 1 cent. It is not uncommon for big bureaucrats and businessmen to invest in pawn for profit. Xu Gan, the minister of punishments in Kangxi dynasty, once handed the silver to the cloth dealer Chen to operate the pawn; Xiao Shenyang, a university student in Qianlong Dynasty, owns 75 pawn shops. During Guangxu period, Hu, a big comprador, had more than 20 pawn shops, which were operated in different provinces. Pawnshop embodies the activities of usury capital in the trinity of bureaucrats, landlords and businessmen. The official fund deposit with interest was once a powerful pillar of this usury activity; Generally speaking, pawnbrokers can also issue their own bank notes and banknotes as credit instruments, so their loan amount (commonly known as "shelf capital") far exceeds their own capital. Later, the official bank opened, the business between banks developed, and the official deposits decreased. With the support of banks and banks, the original pawn shops and pawn shops gradually declined. In the 14th year of Guangxu (1888), the number of pawnbrokers in provinces outside Beijing was about 7,000, which was much lower than that in the previous period. 19 12, the number of registered pawns in China decreased to more than 4,000. The number of pawn shops is increasing, and its business focus is gradually shifting from cities to towns and villages.

Pawnshop management in modern countries

At present, the management of registered pawn shops is very strict, and it needs to be approved by the Ministry of Commerce, which will approve and issue a pawn business license. After receiving the pawnbroker's business license, the applicant shall apply to the public security organ of the local people's government at the county level for a pawnbroker's special trade license within 10 days. After obtaining the special trade license, the applicant shall apply to the administrative department for industry and commerce for registration within 10 days, and can start business only after obtaining the business license.

The minimum registered capital of a pawnshop is 3 million yuan; Engaged in real estate mortgage pawn business, the minimum registered capital is 5 million yuan; The minimum registered capital of those engaged in the property right pledge pawn business is100000 yuan. The minimum registered capital of a pawnshop is the paid-in monetary capital of shareholders, excluding physical objects, industrial property rights, non-patented technologies and land use rights.

Pawnshops shall establish and improve the following safety systems:

(a) A system for receiving, updating and redeeming inspection documents (photos);

(2) Pawn inspection and storage system;

(3) The system of investigation and verification of wanted warrants;

(4) Suspicious reporting system;

(five) equipped with security personnel system.

The building and operating facilities of the pawnshop shall conform to the relevant national safety standards and fire regulations, and shall have the following safety precautions:

(a) set up video equipment in the business premises (video materials shall be kept for at least 2 months);

(2) The business counter is equipped with protective facilities;

(three) the establishment of pawn goods storage warehouses and safes (cabinets, warehouses) that meet the safety requirements;

(4) setting an alarm device;

(five) doors and windows set up protective facilities;

(six) equipped with necessary fire control facilities and equipment.

Pawnshops with the following conditions may set up branches across provinces (autonomous regions and municipalities directly under the Central Government):

(a) engaged in pawn business for more than 3 years, the registered capital of not less than 654.38 million yuan;

(two) the last two years of continuous profit;

(3) It has no record of illegal business operation in the last two years.

Pawnshops should allocate not less than 5 million yuan of working capital to each branch. The total working capital of each branch of a pawnshop shall not exceed 50% of the registered capital of the pawnshop.

Compared with bank loans, pawn loans:

1) In terms of operation mode, pawn is more flexible and diverse. In principle, valuables or property rights can be pawned;

2) Pawn loan procedures are simple and quick, generally ranging from a few minutes to three to five days;

3) Loans are used for different purposes. Pawn loans are mostly used for emergencies, while bank loans are mostly used for production or consumption.

4) Pawning time is generally short, ranging from 5 days to 6 months;

5) In addition to interest, pawns generally charge a comprehensive fee according to a certain proportion of pawns.

What can be pawned

In principle, as long as the source is legal and the property right is clear, valuable items or property rights can be pawned according to law, but the specific business carried out by different pawn shops is different. Generally speaking, real estate, stocks, corporate bonds, certificates of deposit, vehicles, gold and silver ornaments, jewelry and diamonds, electronic products, clocks, cameras, bulk materials, etc. You can pawn it. Different from the old pawn shops that people usually imagine, modern pawn shops generally don't accept old clothes. Generally speaking, creatures are not pawned. What about the pawn comprehensive fee and pawn interest?

Pawn is a kind of financing behavior, which needs paid use. Pawnshops generally charge comprehensive fees and interest on pawns. According to the relevant provisions of the "Pawn Management Measures", the monthly comprehensive rate of pledged pawns shall not exceed 4 or 5% of the pawn money, and the monthly comprehensive rate of real estate mortgage pawns shall not exceed 3 or 0% of the pawn money. The comprehensive fee was deducted in the pawn era, and the pawn interest generally rose by 30% in the same period. The specific fees and interest standards will vary according to different pawn shops and different business types, and customers should take the announcement of pawn shops as the standard. How to handle the pawn formalities?

Its basic process can be simply summarized as three parts: handover, reception and storage. The specific operation steps are as follows:

1. The pawnshop shall deliver valid certificates to the pawnshop.

2. Pawnshops accept pawns for identification.

3. Both parties agree to evaluate the price, pawn amount and pawn period and confirm the legal interest rate standard.

Pawnshops should take good care of pawns.

Pawnshops issue pawnbrokers to pawnbrokers and pawnbrokers.

It should be noted that different pawn businesses need to provide different certificates and go through different procedures:

1, civilian products: original ID card, preferably with invoice, which can appropriately increase the current price.

2. Property: ID card of the head of household, household registration book, house ownership certificate, land use certificate, etc. It is necessary to inspect the real estate on the spot.

3. Stock: My ID card and Shenzhen-Shanghai shareholder account card are generally contract monitoring.

4. Vehicle: my ID card and relevant automobile documents.

5. Materials: my ID card and relevant property certificates.

Note: civilian products include gold and silver ornaments, jewelry and diamonds, electronic products, watches and clocks, cameras, etc.

What are the rules of pawn period?

According to the relevant provisions of the Measures for the Administration of Pawnshops, the shortest pawn time is 5 days, and the longest pawn time is 6 months if it is less than 5 days. After the pawn expires, customers can choose to redeem it within 5 days, or they can choose to renew their insurance according to their own needs.

What is absolute? What should I do when things are absolutely rejected?

After the pawn period or renewal period expires, the pawn shop should redeem or renew it within 5 days. It is expected that it will be absolutely necessary not to redeem or renew it. After the pawn, if the assessed value of the pawn is less than 30,000 yuan, the pawn shop can sell it at its own expense or discount it. If the value of the pawned property exceeds 30,000 yuan, it can be handled according to the relevant provisions of the Guarantee Law of People's Republic of China (PRC), or it can be auctioned by the pawnshop after the two parties have agreed in advance. After deducting the principal and interest of auction fees and the pawnshop, the rest shall be returned to the pawnshop, and the insufficient part shall be recovered from the pawnshop.

General situation analysis of pawn industry

Pawning refers to the act of pawning one's movable property and property rights as pawnbrokers or mortgaging one's real estate as pawnbrokers, paying a certain percentage of fees to obtain pawnbrokers, and paying the interests of pawnbrokers, repaying pawnbrokers and redeeming pawnbrokers within the agreed time limit. With the development of market economy and financial industry, the financing problem of small and medium-sized enterprises has become increasingly prominent, and the ancient pawn industry has re-emerged with a brand-new look, with a good development trend. 1987 12, after disappearing from Chinese mainland for more than 30 years, the first pawn shop in new China-Chengdu Hua Mao pawn service firm was established for the first time. Since then, the establishment of pawn shops has swept the country. Because it was very easy to apply for the establishment of a pawnshop at that time: as long as it was approved by any government department, it could complete the enterprise registration in the industrial and commercial bureau, so a few years later, the pawnshop was nationwide.

The number of lines soared to more than 3000.

China is a pyramid-shaped society, with the highest number of low-income people, followed by middle-income people, and few high-income people. At present, the main customer group of pawn is small and medium-sized enterprise owners, and the three new categories are mainly real estate, vehicles, stocks, machinery and equipment, followed by gold ornaments and hand ornaments. The amount of pawn varies from several million to several million yuan, of which tens of thousands to hundreds of thousands account for the majority. In 2006, the pawnbroking industry in China was in good condition. The total number of pawn shops has increased and the scale has expanded. By the end of 2006, there were 2,494 pawn shops in China with a total registered capital of 24.6 billion yuan. In 2006, the total business of 2,052 pawn shops was 96 billion yuan, an increase of 40% over the previous year. By the end of 2006, * * * had a total of 134 branches nationwide, initially forming a number of brand pawn shops with distinctive service characteristics, professional division of labor, chain operation and innovative management. The development of pawn industry is closely related to the development of regional economy and the activity of private economy. The turnover period and total amount of pawn funds in Zhejiang, Jiangsu, Shandong and other economic provinces are far better than those in mainland provinces with the same capital scale. In the first half of 2007, the pawnbroking industry in China continued to develop steadily and rapidly. The total assets of 2,342 pawn shops that have been opened are 86.2 billion yuan, up by12.7% year-on-year; In the first half of the year, the total amount of pawn was 44,654.38 billion yuan, up 31%year-on-year; The balance of pawn was 25.4 billion yuan, a year-on-year decrease of 7.7%; Interest income was 3.07 billion yuan, up14% year on year; The tax paid was 390 million yuan, a year-on-year increase of 1.6 times; The number of employees in the industry is 2 1 10,000, a year-on-year increase of 40%. In terms of regions, there are a total of 1.239 pawn shops in the eastern region, with a total pawn amount of 35.49 billion yuan, accounting for 8 1% of the total pawn amount in the country, of which the proportion of chattel pledge pawn is two percentage points higher than that in the country. From the perspective of business composition, the amount of chattel pledge pawn is 65.438+0.083 billion yuan, accounting for 24.7% of the total pawn; The amount of real estate mortgage pawn is 23.6 billion, accounting for 53.6% of the total pawn; The amount of property pledge pawn accounts for 265,438+0.7% of the total amount of pawn. From the perspective of business objects, small and medium-sized enterprises and private economy have become the main service objects of pawn industry. A total of 38,000 pawns were provided for small and medium-sized enterprises nationwide, up by 18% year-on-year, with a pawn amount of 22.2 billion yuan; Pawn services were provided to 990,000 people, up 8% year-on-year, involving a pawn amount of 654.38+09.9 billion yuan. Generally speaking, the development space of the pawn market is still very promising. In recent years, the scale of pawn market in countries and regions around the world has been expanding, and the main body of pawn business, pawn transaction volume and pawn amount have been increasing. At the same time, as a new financing method, pawn is a special financing method, which has three obvious characteristics: flexible mode, almost zero credit requirements for small and medium-sized enterprises and comprehensive supporting services. Therefore, its development prospect is very promising.

Scope of pawn acceptance

According to the provisions of Article 25 of the Measures for the Administration of Pawn, upon approval, a pawnshop may engage in the following businesses:

First, the chattel mortgage.

(2) Property right pledge pawn business;

(3) Real estate mortgage business (excluding real estate in other provinces, autonomous regions and municipalities directly under the Central Government or projects under construction without pre-sale permit for commercial housing);

(4) Commodities within the sales quota;

(five) identification, evaluation and consulting services;

Other pawn business approved by the Ministry of Commerce according to law.

Article 26 Pawnshops shall not engage in the following businesses:

(a) Selling non-essential goods and buying and consigning secondhand goods;

(2) Chattel mortgage business;

(3) Raising funds, absorbing deposits or absorbing deposits in disguised form;

(4) Issuing credit loans;

(5) Other businesses not approved by the Ministry of Commerce.

Article 27 Pawnshops shall not accept the following property:

(1) Property that has been sealed up, detained or taken other preservation measures according to law;

(2) stolen goods and items of unknown origin;

(3) Flammable, explosive, toxic and radioactive articles and their containers;

(4) control knives, guns, ammunition, military and police signs, standard clothing and equipment;

(five) official documents and seals of state organs and the property they manage;

(6) Certificates and valid identity documents issued by state organs except professional title certificates;

(seven) when the household has no ownership or fails to obtain the right to dispose of property according to law;

(eight) laws, regulations and relevant provisions of the state prohibit the circulation of natural resources or other property.

Necessity

(I) Controversy on the Legislative Management of Pawning It is said that the pawnbroking industry in China originated in the Southern Dynasties and developed again after 1600 years of ups and downs. However, since the establishment of Hua Mao Pawnshop in Chengdu, Sichuan marked the revival of pawnbroker in China, whether pawnbroker should unify legislation has been accompanied by controversy. After the founding of New China, the pawnbroking industry was once banned, so it is no longer necessary to regulate the pawnbroking industry through special legislation. For some pawnbrokers that still exist among the people, we should follow the policy and judicial interpretation to make adjustments. For example, article 58 1987 of the Supreme People's Court's Opinions on Several Issues Concerning the Implementation of Civil Policies and Laws and article 120 of the Opinions on the Implementation of the General Principles of the Civil Law of People's Republic of China (PRC) (for Trial Implementation) both affirmed the pawning right system. After the pawnbroking industry re-emerged, there have been different opinions on how to supervise the pawnbroking industry through legislation. On the government side, pawnshops were initially regarded as financial institutions, and the People's Bank of China implemented strict management policies. In June 2000, the State Economic and Trade Commission took over the supervision of the pawnshop industry and announced that it would "cancel the qualification of the pawnshop financial institution". As a special industrial and commercial enterprise, it relaxed the market access conditions of pawn shops and allowed them to engage in movable property and property rights business. In July 2003, the State Economic and Trade Commission was abolished, and the Ministry of Commerce was responsible for the supervision of the pawn industry after its establishment. The frequent changes in the competent departments of the industry and the change in the role orientation of pawn enterprises from "financial institutions" to "special industrial and commercial enterprises" to "more special industrial and commercial enterprises" are not only the needs of institutional reform, but also mainly reflect that the government management has not yet reached a stable understanding of the nature of the pawn industry. There have always been two views on the legislative form of pawn industry in the legal field. One is to add the section of "business quality" to the "pledge chapter" of the property law. The second is to formulate pawn commercial law. The Draft Civil Code of People's Republic of China (PRC) drafted by the Office of the National People's Congress Standing Committee (NPCSC) Legal Affairs Commission on June 5th+February 6th+7th, 2002 has no provisions on commercial pledge. In February 2005, the Ministry of Commerce and the Ministry of Public Security jointly promulgated the Pawn Management Measures (hereinafter referred to as the Measures). In order to overcome the defects of insufficient effectiveness of pawn management norms, the Property Law (Draft) drafted by Professor Liang Huixing and Professor Wang Liming specially set up commercial pledge. If this provision is adopted, it is impossible to introduce special legislation for the pawn industry in the short term. However, there are also different views in the legal circle on whether the relevant provisions of "business pledge" can cover the "pawn" behavior in practice. In the four deliberations of the Draft Property Law, the provisions on "pawning right" were written in twice and deleted twice, which shows that there is indeed a big legislative dispute between the legislature and the legal circle about pawning. It is the uncertainty of the government and the legal profession about the pawn industry that has not been adjusted at the legal level. When there is a dispute between the pawn business and the upstream bank guarantee business and the downstream consignment business, many normal pawn companies have become enclaves under legal jurisdiction because of the ineffectiveness of existing measures, and some new businesses, such as the disposal of stock quality, have no legal basis.

(2) The level and effectiveness of measures are low. Although China's pawn industry has been rapidly restored and developed, due to the low level of management norms and low effectiveness, it can not meet the practical needs. The "Measures" are administrative regulations in terms of legal level and effectiveness, which are lower than laws and regulations. This has produced at least two consequences that are not conducive to the development of pawn industry in legislative management. First of all, it can't prevent other departments and local legislatures in the State Council from making relevant laws and regulations, which will lead to the confusion of multi-head management of departments. Second, when the relevant provisions formulated by other departments and local legislatures in the State Council are inconsistent with the Measures, whether the effectiveness is determined according to the level of the norm-making organ or the time when the norm is promulgated is not clearly stipulated in China law, which leads to the enterprise being at a loss when operating according to law. That is the reality. Because there is no unified and authoritative national legislation, although the Measures comprehensively stipulate the nature, competent departments, procedures for establishment, alteration and termination, business scope, operation mode and punishment of pawn shops, the basis will be different in specific implementation, especially when entering court proceedings. Due to the differences between the industry regulations of the relevant administrative departments and the principles stipulated by local legislation in various provinces and cities, disputes in the operation and development of the pawn industry have increased, and the effectiveness of some pawn shops can only be affirmed through the "reply" of the Supreme People's Court or the competent authorities. For example, 1993 "the Supreme People's Court's Reply on How to Deal with the House Pawning Disputes between Dai Wenlin and Dai v. Gao Xuekong", 1996 "Reply of the People's Bank of China on Issues Related to House Mortgage Loan Business" and "Reply on Not Prohibiting House Mortgage Loan Business" and so on. This stopgap management method reduces the efficiency of enterprise management and seriously affects the sustainable operation of enterprises.

(3) Some important norms of the Measures are too abstract and lack operability. Some important norms of the Measures are too abstract and lack operability. For example, although the Measures allow pawn enterprises to set up branches, the Measures do not clarify the legal status of branches. Article 53 of the "Measures" generally stipulates that pawns belonging to stolen goods or suspected stolen goods shall be seized by public security organs according to law and handled in accordance with relevant state regulations, but what is "relevant state regulations" is not clear and cannot be operated in practice. There are no detailed provisions on the damages of pawn shops. In practice, it can only be handled according to the relevant provisions of the General Principles of Civil Law, which greatly reduces the role of the Measures as a special law. According to the "Measures", pawnshops should go through the registration and transfer procedures after the real estate and cars are absolutely unusable. However, in pawn practice, pawnbrokers often refuse to perform their obligations because of the lack of connection between the Measures and the regulations on vehicle registration management of public security departments. At this time, if the pawnshop unilaterally handles the transfer procedures, it will usually be rejected by the relevant departments according to law. There are still many such provisions in the Measures that are too abstract and difficult to operate. It is better to formulate an authoritative commercial code to solve these problems than to formulate highly effective implementation rules through departments with limited power. In addition, through the enactment of pawn law, it can also provide a safer channel for pawnbrokers to remedy their rights. For example, when a normal pawnshop encounters legal refusal, obstruction and negative inaction of relevant departments, it can protect its own interests through judicial channels.

There are conflicts between the main legal norms related to the pawn industry. Adjusting the legal norms of China's pawnbroker industry mainly includes the provisions on quality in the Guarantee Law of People's Republic of China (PRC) (hereinafter referred to as the Guarantee Law), the Measures jointly promulgated by the Ministry of Commerce and the Ministry of Public Security, and the provisions on the establishment and operation of companies in the Company Law of People's Republic of China (PRC) (hereinafter referred to as the Company Law). Because of the "multiple policies" in the State Council, these norms are not well connected or conflict with each other, which affects the healthy operation of the pawn industry. Among them, the conflict between "Measures" and "Guarantee Law" is the most critical conflict in theory and practice. According to China's Guarantee Law, the pledge is a kind of business pledge, and the flow agreement is invalid. According to the Measures, pawn is not only a kind of commercial pledge, but also the pledgor can obtain real estate mortgage and the pledgee can obtain financing, which shows that the pawnshop has the right to mortgage because of the pawnshop. In this case, should the pawn company apply the Guarantee Law or the Measures? From the perspective of legal effect, the former is undoubtedly more effective than the latter, but from the perspective of the relationship between general law and special law, the latter should take precedence over the former, so pawnshops are at a loss.

The urgency of editing this paragraph

Judging from the business innovation of the pawn industry, some businesses have been out of the scope of regulation of the "Measures" and other legal norms, so it is urgent to formulate the pawn law and improve the legislative level of pawn management.