Payday Lender Settles for $28 Million with Bondi
BRADENTON — Roughly 14,000 borrowers in Florida are now expected to be able to receive part of a collective cash payment of $11 million, following the state A.G.'s $28 million settlement with CashCall, a payday lending companies who are now prohibited from collecting on more than $15 million in loan balances from clients.
On January 12, A.G. Pam Bondi's office announced it had "coordinated settlements with the operators of an online lending scheme." According to the Florida A.G.’s press release, the companies involved in the alleged scheme include Western Sky Financial, LLC, CashCall, Inc., WS Funding, LLC, Delbert Services Corporation and CashCall President and CEO John Paul Reddam, who, along with his company, is now prohibited from conducting lending activities in the Sunshine State.
CashCall allegedly "offered, serviced and collected on Western Sky loans to Florida borrowers with illegal interest rates of more than 18 percent," said Bondi's office.
Payday lending companies have contributed large amounts of money to Florida politicians, including Congresswoman and former DNC Chair Debbie Wasserman-Schultz.
Reader CommentsNancy R Dean • [email protected]
JAN 26 • I would like to know whether or not victims will be "made whole." If not, what percentage of losses will be restored?