California payday lender refunds $800,000 to stay allegations that are predatory lending

California payday lender refunds $800,000 to stay allegations that are predatory lending

A California payday loan provider is refunding about $800,000 to customers to stay allegations so it steered borrowers into high-interest loans and involved with other unlawful techniques, state officials stated Tuesday.

California Check Cashing Stores additionally consented to spend $105,000 in charges as well as other expenses in a permission purchase because of the state’s Department of company Oversight, which includes been cracking straight down on payday along with other high-cost customer loans that critics allege are predatory. The organization failed to acknowledge shame when you look at the consent purchase.

The division, which oversees monetary providers and services and products, has had comparable actions against four other programs since late 2017 included in an attempt to enforce the state’s restrictions on interest levels for payday along with other small-dollar loans.Continue reading