News & Analysis as of

Interest Rates Consumer Protection Laws

Hudson Cook, LLP

Alaska's Anti-Evasion Bill: A Threat to Small Business Lending and Modern Bank-Fintech Partnerships

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A number of states have considered - and some have enacted - laws to regulate strategic partnerships between banks and technology companies that act as service providers....more

Orrick, Herrington & Sutcliffe LLP

Philadelphia court receives usury claim against payday loan company

On March 11, a class action lawsuit was filed in the Philadelphia County Court of Common Pleas against a financial technology company offering cash advances up to $200 through a lending app. The lawsuit alleged the company...more

Hudson Cook, LLP

Virginia Legislature Contemplates Radically Reshaping Existing Interest Rate Authority for Many Lenders

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Virginia's Interest and Usury Chapter (the "Chapter"), found in the Financial Institutions and Services Title of the Virginia Code, sets out basic rules for what rates of interest various entities may charge in the state. ...more

Hudson Cook, LLP

CFPB Fines National Bank and Bank Holding Company for Alleged Violations of the CFPA, TISA, and Regulation DD in Connection with...

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On January 14, 2025, the CFPB filed a lawsuit against the Bank, alleging violations of the CFPA, TISA, and its implementing Regulation DD. The lawsuit alleges that the Bank deceived customers who were enrolled in the Bank's...more

Bennett Jones LLP

Lower Criminal Interest Rate Now in Effect

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As detailed in our prior blog the Government of Canada proposed amendments to lower the criminal interest rate to an annual percentage rate (APR) of 35 percent (the prior criminal interest rate, being an effective rate of 60...more

Latham & Watkins LLP

FCA Publishes Update on Cash Savings Work

Latham & Watkins LLP on

On 18 September 2024, the FCA provided an update on its work in the cash savings market. Following the FCA’s 2023 cash savings market review in light of concerns that higher interest rates were not being passed on effectively...more

Goodwin

Massachusetts Attorney General Settles Claims Against California-Based Financing Company for $625,000

Goodwin on

​On May 22, 2024,​ the Massachusetts Attorney General (MA AG) announced it entered into an Assurance of Discontinuance (AOD) with a California-based financing company resolving allegations of violations of the Massachusetts...more

Cozen O'Connor

Minnesota to Island Mountain: Scale Down Interest-Rates and Collections

Cozen O'Connor on

Minnesota AG Keith Ellison reached a settlement with three online lenders operating jointly under Island Mountain Development Group to resolve allegations that the companies violated Minnesota and federal consumer-lending...more

Saiber LLC

SCOTUS Agrees to Hear Case Concerning State Regulation of Federal Banks

Saiber LLC on

The Supreme Court of the United States has agreed to hear Cantero v. Bank of America, N.A., a case that concerns the power of states to regulate federally-chartered banks. The Court has granted review of the case despite the...more

BCLP

FCA’s Cash Savings Market Review

BCLP on

On 31 July 2023, following roundtable discussions held with banks earlier that month, the FCA published its Cash Savings Market Review (the “Review”). In this insight we explore the content of the Review, as well as...more

Cozen O'Connor

D.C. AG Schwalb Settles with Fintech Platform over Usurious “Tipping” Model

Cozen O'Connor on

District of Columbia AG Brian Schwalb settled with SoLo Funds, Inc. to resolve allegations that the fintech platform violated the District’s Consumer Protection Procedures Act and usury statute by deceptively charging...more

Foley & Lardner LLP

Farm Equipment Supplier Case Demonstrates Vermont Court’s Willingness to Enforce Plain Meaning of Applicable Statutes

Foley & Lardner LLP on

In Northeast Farm Sales and Service, Inc. v. Krone NA, Inc., a farm equipment dealer, Northeast Farm Sales and Service, Inc. (Northeast Farm), sued Krone NA, Inc. (Krone), a supplier of farm equipment, in the dealer’s home...more

Goodwin

State AGs Announce $4.2 Million Settlement with National Bank for Alleged CARD Act Violations

Goodwin on

On February 8, state ​Attorneys General for North Carolina, Iowa, Massachusetts, New Jersey, and Pennsylvania (State AGs) announced a $4.2 million settlement ​with a national bank to resolve allegations that it overcharged...more

Ballard Spahr LLP

Virginia House of Delegates passes bill to establish 36% rate cap for “short-term” and other loans

Ballard Spahr LLP on

On January 31, 2020, by a vote of 65 to 33, the Virginia House of Delegates passed a bill that would establish a 36% rate cap on certain consumer loans.  Since Democrats also hold a majority in the Virginia Senate, the Senate...more

K&L Gates LLP

European Community Consumer Credit Protection Laws: Similarities and Differences in the United States for Non-Mortgage Credit

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Financial institutions that operate only in the United States (US) or only in the European Union (EU) might be excused for believing that they face unreasonable burdens under local consumer credit protection laws. Broadly...more

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