- [(1) No pawnbroker shall charge interest in respect of a loan on a pledge at a rate exceeding such rate as the State Government may, by notification, fix from time to time:] [This sub-section was substituted by section 2 of the Tamil Nadu Pawn brokers (Second Amendment) Act, 1979 (Tamil Nadu Act 34 of 1979).][Provided that the rate of interest to be fixed by the State Government under this sub-section shall not exceed five per cent more than the current bank rate of lending as may fixed by the Reserve Bank of India, from time to time.] [This proviso was substituted by section 2 of the Tamil Nadu Pawnbrokers (Amendment) Act, 1992 (Tamil Nadu Act 51 of 1992).](2)A pawnbroker may demand and take from the pawner such charges and in such cases as may be prescribed.(3)A pawnbroker shall not demand or take from the pawner any profit, interest, charge, or sum whatsoever, other than the interest due to him and the charges, if any, referred to in sub-section (2).
