Monthly Archives: March 2015

Is the CFPB Proposing a Usury Cap After All?

In a previous post, I discussed the statutory restriction that prohibits the CFPB from establishing a usury cap.  In light of the clear statutory language, I made a strong declaration that the new payday loan regulations that the Bureau has … Continue reading

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Despite Clear Contractual Language, Place of Formation is Genuine Issue in Dispute

Williams v. CashCall, Inc., 2015 U.S. Dist. LEXIS 32620 (E.D. Wis. Mar. 17, 2015) A class action claim against payday lender CashCall, Inc.  The complaint alleged that the defendant violated Wisconsin’s usury cap by charging interest rates in excessive of … Continue reading

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Ongoing Notice of Potentially Usurious Transactions Not Required in Massachusetts

BayNorth Realty Fund VI, L.P. v. Wickline, 87 Mass. App. Ct. 1109 (Mass. App. Ct. 2015) The defendant appealed the trial court’s ruling granting of partial summary judgment for the plaintiff.  The defendant claimed that the prepayment provision of the … Continue reading

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Class Action Alleges BofA Overdraft Fees are Usurious

McGee v. Bank of America, N.A. 0:15-cv-60480-JIC On March 9, 2015, a class action lawsuit was filed against Bank of America (“BofA”) alleging that the bank’s ‘extended overdraft fee’ constituted illegal and usurious interest.  The plaintiffs alleged that the rate … Continue reading

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Usury Showing Not Required to Establish Substantial Injury Under Consumer Financial Protection Act

Consumer Fin. Prot. Bureau v. ITT Educ. Servs., 2015 U.S. Dist. LEXIS 28254 (S.D. Ind. Mar. 6, 2015) Defendant ITT’s motion to dismiss the CFPB’s four count claim for, among other things, failure to state a claim upon which relief may … Continue reading

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Missouri Second Mortgage Loan Act Claim Not Preempted by National Bank Act

Davis v. Citibank, N.A., 2015 U.S. Dist. LEXIS 26172 (E.D. Mo. Mar. 4, 2015) A homeowner with a mortgage  with one lender and a home equity line of credit with another, wanted to refinance the mortgage.  To do so, she … Continue reading

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Usury Defense Adequate Grounds to Enjoin Residential Foreclosure

Davis v. Blackstone Corp., 2015 Wash. App. LEXIS 466 (Wash. Ct. App. Mar. 2, 2015) The plaintiff in this case filed an action to enjoin the nonjudicial foreclosure of residential real estate that she owned.   She requested a temporary restraining … Continue reading

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Usury Provides No Help to Inmate’s Free Exercise Claim

Adams v. Woodall, 2015 U.S. Dist. LEXIS 24046 (M.D. Tenn. Feb. 26, 2015) This case illustrates the historic connection between usury and religion.  A Tennessee  inmate filed a Pro Se motion requesting a temporary restraining order and preliminary injunction. The motion alleged violations of the … Continue reading

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Oregon Usury Statute Used as Sword Against Buddhist Loan Shark

Htaike v. Sein, 269 Ore. App. 284 (Or. Ct. App. 2015) This appeal to the Oregon Court of Appeals involved a number of high interest loans made by the defendant to the plaintiffs.  The plaintiffs argued that the loans made … Continue reading

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