Payday Loan Business Hammered with $1.3B Fine for 700% Lending Rates

iStock

Payday Loan Business Hammered with $1.3B Fine for 700% Lending Rates

Oct, 5th 2016

A federal judge in Nevada said professional racecar driver Scott Tucker and several of his companies owe $1.27 billion to the Federal Trade Commission after systematically deceiving payday lending customers about the cost of their loans.

In one example, lending documents indicated that a customer who borrowed $500 would only have a finance charge of $150, for a total payment of $650 — but the actual finance charge was $1,425.

In a decision late on Friday, Chief Judge Gloria Navarro of the federal court in Las Vegas, Nevada said Tucker was "specifically aware" that customers often did not understand the terms of their loans, and was at least "recklessly indifferent" toward how those loans were marketed.

"Scott Tucker did not participate in an isolated, discrete incident of deceptive lending, but...

Read More

Join Us. We are waiting for you!

Sign Up Today!

We welcome you to our community where you can gather and share information on debts and issues which may have your life unsettled. Together we thrive!


Logo mobile 4b2fda9e088d7249be95ede0cc3adea2de299a346ba55b450264e0c976b239c5

Join our community Today! IT'S FREE

Our Interactive Knowledge Base Has All The Infomation You Need To Settle Your Debt & Settle Your Life™

SIGN UP NOW!

Join, Resolve & Share!