Category Archives: Attorney General

Citing Madden v. Midland Funding, Colorado Regulator Challenges Bank Partnership Model

The Colorado Administrator of the Uniform Consumer Credit Code (UCCC”) has filed complaints against two UCCC licensees alleging violations of Colorado’s usury cap. Both licensees utilize bank partnerships to originate their loans. Citing Madden v. Midland Funding, the Administrator, represented … Continue reading

Posted in Assignor-Assignee, Attorney General, Colorado, Federal Court, National Bank Act, Preemption, Usury Cap, Usury Exceptions | Comments Off on Citing Madden v. Midland Funding, Colorado Regulator Challenges Bank Partnership Model

Court Refuses to Apply Federal Preemption to Loan Servicer Despite Bank’s Continued Interest in Loan

In November 2014, the Pennsylvania Office of Attorney General (“OAG”) filed a complaint against a number of companies that did business with a group of payday lenders. The payday lenders were a Delaware bank and three tribal entities. The defendants provided marketing services … Continue reading

Posted in Attorney General, Civil Usury, Depository Institution Deregulation and Monetary Control Act, Federal Court, Pennsylvania | Comments Off on Court Refuses to Apply Federal Preemption to Loan Servicer Despite Bank’s Continued Interest in Loan

Multiple State Regulators Challenging Lender’s Use of Choice of Law Clause in Usury Enforcement Actions

A growing number of state regulators are challenging the use of choice of law provisions as a method of usury law compliance. On August 27, 2015, the Attorney General of North Carolina was granted an injunction against Western Sky Financial … Continue reading

Posted in Attorney General, Choice-of-Law, Civil Usury, Criminal Usury, D.C., Massachusetts, North Carolina, Tribal Immunity | Comments Off on Multiple State Regulators Challenging Lender’s Use of Choice of Law Clause in Usury Enforcement Actions

Regulator Disregards Choice of Law Provision in Usury Enforcement Action

Last Thursday, the Attorney General of North Carolina was granted an injunction against Western Sky Financial and CashCall prohibiting them from offering any loans to North Carolina consumers or collecting on any outstanding accounts in that state. The Attorney General argued … Continue reading

Posted in Attorney General, Choice-of-Law, North Carolina, State Court, Tribal Immunity | Comments Off on Regulator Disregards Choice of Law Provision in Usury Enforcement Action

Ignoring Cease and Desist Letters – Just Don’t Do It

Usury law is complex. It is an area of law heavily burdened with obscure exceptions and antiquated nuances. Yet, one point is clear. Do Not Ignore Cease and Desist Letters No matter how clear the case law, sophisticated the compliance … Continue reading

Posted in Attorney General, CFPB, States | Comments Off on Ignoring Cease and Desist Letters – Just Don’t Do It

Florida Court of Appeals Finds Usury Does Not Violate Public Policy, Denies Temporary Injunction

The Florida Office of the Attorney General was granted a temporary injunction against CashCall, Inc. The Attorney General’s action was based on alleged violations by CashCall of Florida’s Deceptive and Unfair Trade Practices Act. The complaint alleged that CashCall charged … Continue reading

Posted in Attorney General, Civil Usury, Florida, State Court, Tribal Immunity | Comments Off on Florida Court of Appeals Finds Usury Does Not Violate Public Policy, Denies Temporary Injunction