NonilexAug 13, 2024

A #Wisconsin #NativeAmerican Tribe Built a #Lending Empire Charging 600% Annual Rates

The #LacDuFlambeau [#LDF] tribe is at the center of a $1B #ClassAction settlement that comes after yrs of fending off claims of #PredatoryLending practices.

In #bankruptcy filings & #consumer complaints, thousands of people across the country make pleas for relief from high-interest #loans w/punishing annual rates that often exceed 600%

#Regulation #SovereignImmunity #opportunism #law
https://www.propublica.org/article/wisconsin-lac-du-flambeau-tribe-predatory-lending-lawsuit-sovereign-immunity

A Wisconsin Tribe Built a Lending Empire Charging 600% Annual Rates to Borrowers

The Lac du Flambeau tribe is at the center of a $1 billion class-action settlement that comes after years of fending off claims of predatory lending practices.

ProPublica
Show threadNonilex

Although they borrowed small sums online from a slew of businesses w/catchy names — such as Loan at Last or Sky Trail Cash — their #loans stemmed from the same massive operation owned by a small #NativeAmerican #tribe in a remote part of #Wisconsin.

Over the past decade, the #LacDuFlambeau Band of #LakeSuperior #Chippewa …have…become a prominent player in the tribal #lending industry, generating far-reaching impact & leaving a legacy of #economic #despair.

#Regulation #SovereignImmunity #law

Aug 13, 2024 at 7:26pmWeb
Show threadNonilexAug 13, 2024

That’s the highest frequency associated w/any of the tribes doing business in this sector of the payday #loan industry. And it translates to an estimated 4,800 #bankruptcy cases, on avg, per year.

@ProPublica also found that #LDF’s various companies have racked up >2,200 #consumer complaints that were routed to the #FTC since 2019 — more than any other tribe in recent years.

#Regulation #SovereignImmunity #opportunism #law