HARRISBURG — Attorney General Josh Shapiro today announced money with Think Finance, a national online payday loan provider, plus an associated personal equity company for presumably engineering a $133 million unlawful pay day loan scheme that targeted up to 80,000 Pennsylvania customers.
The settlement will void all staying balances on the illegal loans, Shapiro’s statement stated. Pennsylvania is amongst the leading creditors that negotiated this comprehensive settlement with Think Finance as an element of its bankruptcy plan, that is pending approval ahead of the Bankruptcy Court and subsequent approval because of the U.S. Eastern District Court of Pennsylvania.
In belated 2014, the Pennsylvania workplace of Attorney General sued Think Finance, Inc. And Chicago-based personal equity company Victory Park Capital Advisors, LLC, as well as other affiliated entities. The suit alleged that between 2011-2014, three internet sites operated by Think Finance — Plain Green Loans, Great Plains Lending and Mobiloans —allowed borrowers to join up for loans and personal lines of credit while recharging effective rates of interest up to 448 %.
Payday advances, which typically charge rates of interest more than 200 or 300 %, are unlawful in Pennsylvania.
The suit also alleged that the web sites attempted to shield on their own from state and federal laws and regulations by running beneath the guise of Native American tribes and also the very First Bank of Delaware, a bank that is federally chartered with that loan product called “ThinkCash. Continue reading State attorney general announces relief for 80,000 Pennsylvanians targeted by pay day loan scheme