Recently, his focus has been on debt collection and high-cost lending. His work in 2013 was honored as a finalist for both a Gerald Loeb Award and a Best in Business award from the Society of American Business Editors and Writers.
The Consumer Financial Protection Bureau’s action addresses one small aspect of the company’s business practices which also includes thousands of lawsuits against service members who fall behind on their payments.
With stores near military bases across the country, the retailer USA Discounters offers easy credit to service members. But when those loans go bad, the company uses the local courts near its Virginia headquarters to file suits by the thousands.
Despite a ban on high-interest car title loans, the nation’s largest title lender has opened 26 Instaloan stores in Florida, offering a refashioned version of the loans that effectively charge the same sky-high rates the law was designed to stop.
Last year, activists in Missouri tried to limit what high-cost lenders can charge. The ensuing fight exposed something that rarely comes into view so vividly: the high-cost lending industry’s ferocious efforts to stay legal and stay in business.
Many people know the dangers of payday loans. But "installment loans" also have sky-high rates and work by getting borrowers — usually poor — to renew over and over. We take you inside one of the biggest installment lenders, billion-dollar World Finance.