Topic
Interest Rate Caps
49 published works
Inside Class Actions
California Court Applies “Substance Over Form,” Allows True Lender Claim to Proceed
By Andrew Soukup, Ashley Simonsen, Matthew Verdin
May courts look beyond the face of a loan transaction to identify the “true lender”? In a lawsuit filed by California’s financial regulator, a California state court recently answered yes,…
Consumer Finance Monitor
California lawmakers urge FDIC to rein in bank partnerships
By Doris Yuen, Ballard CFS Group
Four Democratic members of the California state legislature recently sent a letter to the Federal Deposit Insurance Corporation (FDIC) urging the agency to take action against FDIC-supervised banks that partner…
Consumer FinSights
Opportunity Financial’s Lawsuit Against California’s Financial-Services Regulator Signals Continued Fight Over “True Lender” Principles
By Salwa S. Kamal, Jeffrey P. Ehrlich
Fintech lender Opportunity Financial (“OppFi”) and the Department of Financial Protection and Innovation (“DFPI”), California’s financial-services regulator, filed dueling claims as they battle over state efforts to enjoin the company’s…
Inside Class Actions
Fintech Lawsuit Highlights True Lender Risk for Bank Partnership Lending Model
By Ashley Simonsen, Andrew Soukup, Matthew Verdin
In the wake of rulings upholding federal regulators’ “valid when made” rules, a new lawsuit serves as a reminder that state regulators and class-action plaintiffs’ lawyers may continue to challenge…
Consumer Finance and Fintech Blog
Fintech Flips Script, Sues California Regulator Over 36% Rate Cap Law
By Moorari Shah, A.J. Dhaliwal
On March 7, a Chicago-based FinTech company filed a Complaint for Declaratory and Injunctive Relief in Los Angeles County Superior Court against the Commissioner of the California Department of Financial…
Consumer Finance Monitor
Bill to impose 36% rate cap passes New Mexico House and Senate
By Ronald K. Vaske, Mindy Harris
The New Mexico House and Senate have both passed House Bill 132 which would create a 36% annual percentage rate (APR) cap on loans up to $10,000 made under the…
Consumer Finance and Fintech Blog
DC OAG Reaches $4 Million Settlement with FinTech Over Claims of Predatory Lending
By Moorari Shah, A.J. Dhaliwal
On February 8, the District of Columbia attorney general announced a settlement with a FinTech company for alleged violations of the District of Columbia Consumer Protection Procedures Act (CPPA) by…
Consumer Finance Monitor
California DFPI announces consent order with auto title loan servicer that was subject of “true Lender” investigation
Last week, the California Department of Financial Protection and Innovation (DFPI) announced that it had entered into a consent order with Wheels Financial Group, LLC d/b/a LoanMart, a California-based company…
Consumer Finance Monitor
Bill reintroduced in House to impose 36% “all-in” rate cap
A group of Democratic House members, joined by a Republican House member, has reintroduced a bill (H.R. 5974) that would make consumer credit extended to any consumer subject to the…
Consumer Finance Monitor
Senate Banking Committee to hold July 29 hearing on 36% national rate cap
On Thursday, July 29, the Senate Banking Committee will hold a hearing entitled, “Protecting Americans from Debt Traps by Extending the Military's 36% Interest Rate Cap to Everyone.” The scheduled…