Bureau Fines Big Payday Lender $10 Million for ‘Abusive’ Practices
July 21, 2014
The CFPB recently ordered ACE Cash Express of Irving, TX, one of the largest payday lenders in the United States, to pay a $10 million fine for allegedly using illegal debt-collection tactics – including harassment and false threats of lawsuits or criminal prosecution – to pressure consumers into debt traps they couldn’t afford and couldn’t get out of. The bureau said it found that ACE used these illegal debt-collection tactics to create a false sense of urgency to lure overdue borrowers into payday debt traps. “ACE would encourage overdue borrowers to temporarily pay off their loans and then quickly re- borrow from ACE,” the CFPB said. Even after consumers explained to ACE that they could not afford to repay the loan, the ...
Some SWFs in other countries have extensive ownership interests in major corporations and sweep much of their profits into state coffers.
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