- Associated Press - Thursday, March 17, 2016

ALBANY, N.Y. (AP) - New York regulators have reached agreement with a company that generates online customer leads for payday lenders, requiring Blue Global LLC to pay $1 million as a penalty and stop marketing loans that violate New York’s interest rate cap.

The Department of Financial Services says Thursday the company and Chief Executive Chris Kay have also agreed to provide new consumer warnings and disclosures.

Investigators say the company misrepresented that it secured personal information.

They say it marketed short-term loans that exceeded New York’s limit on annual interest rates of 16 percent.

The settlement says Blue Global collected 350,000 loan applications from New Yorkers from 2009 through 2013, sharing them with lenders, lead aggregators and others. It also sold more than 177,000 New York contacts to its network of lead buyers.

LOAD COMMENTS ()

 

Click to Read More

Click to Hide