Bureau Alleges All American Check Cashing Hid Charges and Pressured Borrowers into Several Loans
WASHINGTON, D.C. — The Consumer Financial Protection Bureau (CFPB) today took action against All Check that is american Cashing Inc., that provides check cashing and pay day loans, as well as its owner, for presumably tricking and trapping customers. In a issue filed in federal court, the CFPB alleged that All American attempted to keep customers from learning simply how much they’d be charged to cash a check and utilized misleading techniques to avoid consumers from supporting away from deals. The CFPB additionally alleged that every American made statements that are deceptive the many benefits of its high-cost payday advances and in addition did not offer refunds after customers made overpayments on the loans. The CFPB’s lawsuit seeks to finish All American’s illegal techniques, get redress for customers, and impose charges.
”Today our company is using action against All Check that is american cashing tricking and trapping consumers, ” said CFPB Director Richard Cordray. “Consumers deserve accurate and information that is honest the finance institutions they rely on, but All United states instead devised elaborate schemes to cover expenses and benefit from susceptible borrowers. ”
All American Check Cashing, Inc. Is situated in Madison, skip. And will be offering check cashing services and pay day loans at roughly 50 shops in Mississippi, Alabama, and Louisiana. The CFPB’s issue also names Mid-State Finance, Inc. (conducting business as Thrifty Check Advance), that offers check cashing and payday advances in a minumum of one shop in Pearl, skip. The CFPB’s problem also names Michael Gray, president and single owner of both businesses, and alleges he directed and profited from their unlawful methods. Read more »