web_0380.jpg

Payday Lending

With essential support from SFALP students, the San Francisco City Attorney's Office sued payday lender Check ’n Go in 2007. The lawsuit alleged that Check ’n Go engaged in an illegal "rent-a-bank" scheme designed to evade state regulatory laws. Check 'n Go provided online installment loans to California consumers with interest rates as high as 400 percent — far exceeding the state’s maximum allowable interest rate of 36 percent for such loans. SFALP students worked alongside deputy city attorneys throughout the course of the litigation, which settled in 2012. As part of the settlement, Check ’n Go agreed to commit up to $4.3 million toward restitution for California consumers.

Read More:

Herrera kicks off $4.3 million refund drive for Check ’n Go borrowers over next three months

Herrera kicks off $4.3 million refund drive for Check ‘n Go borrowers over next three months