State AGs

Virginia AG Reaches $243,000 Settlement with Online Payday Lenders and Servicers

On February 23, 2018, the Office of the Attorney General of Virginia (“Virginia AG”) announced that it had entered into a settlement agreement with several affiliated online payday lenders and debt collection companies (the “Defendants”).  According to the Virginia AG, the Defendants, all out-of-state organizations, provided short-term, small-dollar loans to borrowers in Virginia…

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Virginia Attorney General Announces Settlement with Online Lender, Resulting in $2.7 Million in Relief to Virginia Consumers

​On February 7, 2018, Virginia Attorney General Mark R. Herring (Virginia AG) announced a settlement with a Virginia based online lender for alleged violations of the Virginia Consumer Protection Act. The lender allegedly offered closed-end, installment loans online and falsely claimed it was licensed in Virginia to do so.  According to the…

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Colorado AG Announces $2 Million Settlement with Two Lenders

On January 22, 2018, Colorado Attorney General Cynthia H. Coffman (“Colorado AG”) announced that her office has settled a lawsuit against two lenders.  The Colorado AG alleged that the lenders charged predatory interest rates to Colorado consumers by lending money to consumers who had pending personal injury claims and then requiring those consumers to pay…

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New Mexico AG Announces Investigation Into National Bank for Opening Fake Consumer Accounts

​On November 29, the New Mexico Attorney General (AG) announced that, after a year-long investigation of a national bank, the AG will seek damages on behalf of thousands of New Mexico consumers for whom the bank had created unauthorized banking and credit card accounts.  The AG announced that if he cannot reach a resolution with the bank,…

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FTC and Illinois AG Settle With "Phantom" Debt Collectors For $47 Million

​On November 1, the Federal Trade Commission (FTC) and Illinois Attorney General’s Office (Illinois AG) announced (here and here) that they had reached a settlement to resolve a joint action brought against affiliated Chicago-based debt collectors that allegedly used false and misleading tactics in attempting to collect on payday or other small-dollar loans. The…

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Pennsylvania AG Files Suit Against Nationwide Student Loan Provider and Servicer

​On October 5, 2017, the Pennsylvania Attorney General’s Office (AG) announced that it had filed suit against a federal student loan provider and servicer (and its subsidiary) in the U.S. District Court for the Middle District of Pennsylvania, alleging violations of the Consumer Financial Protection Act (CFPA) and Pennsylvania Unfair Trade Practices and Consumer…

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MA AG Enters Settlement for Refunds to Thousands of Consumers for Company’s Abusive Debt Collection Practices

On September 22, 2017, Massachusetts Attorney General Maura Healey (AG) announced a settlement with a company to resolve claims that the company used abusive and illegal debt collection practices.  The AG’s complaint alleges that the company added hidden, illegal, and unauthorized late fees and charges to consumers’ accounts—including a $25 late…

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