Consignment bank is an intermediary agency for consignment of goods, which is responsible for accepting consignment business entrusted by the owner and selling it on behalf of both parties through signing relevant service agreements. According to the consignment agreement, the consignment bank does not enjoy the ownership of the goods, but only enjoys the management right of the goods during the consignment period. The ownership of the consigned goods still belongs to the principal, and the consignment bank can charge a certain service fee to the principal after completing the entrustment.
Consignment banks originally belonged to industries specially approved by the Administration, but now they belong to special industries such as hotels and printing. With the needs of social development, the state's supervision of the consignment industry has been relatively loose. Consignment banks do not belong to pawn shops. Pawnshops are formal non-bank financial institutions that specialize in issuing pledged loans.