Out-of-state payday lenders will need to follow MinnesotaвЂ™s lender that is strict for online loans, their state Supreme Court ruled Wednesday.
The ruling sides with Attorney General Lori Swanson, who filed suit against Integrity Advance, LLC in Delaware last year. The organization made 1,269 pay day loans to Minnesota borrowers at annual interest levels as much as 1,369 per cent.
In 2013, an area court determined that the business violated MinnesotaвЂ™s lending that is payday вЂњmany thousands of that time periodвЂќ and awarded $7 million in statutory damages and civil charges towards the state. The business appealed towards the Supreme Court, arguing that their state lending that is payday ended up being unconstitutional when applied to online loan providers located in other states.
The court rejected that argument, holding that MinnesotaвЂ™s payday lending law is constitutional in WednesdayвЂ™s opinion by Justice David Stras.
вЂњUnlicensed online payday lenders charge astronomical interest levels to cash-strapped Minnesota borrowers in contravention of y our state payday financing legislation.继续阅读