Arizona sues California-based lender for loan program
PHOENIX (AP) — A California-based lender has been hit with a civil lawsuit in Arizona for allegedly swindling consumers out of millions of dollars through a deceptive loan program.
Arizona Attorney General Mark Brnovich announced the filing of the lawsuit Tuesday against CashCall, its owner and a subsidiary, WS Funding.
In the complaint, the state says the defendants led a scheme to market and receive payments on high-interest, illegal loans to Arizona consumers.
The loans were actually void under Arizona law and had interest rates far above what is legally permitted.
The state is asking for restitution for victims as well as a penalty of up to $10,000 for each violation.