ILNews

Settlement reached in online payday loan class action

Back to TopCommentsE-mailPrintBookmark and Share

More than 6,500 Hoosiers will share $1.35 million in a class-action settlement reached in long-running litigation against an online payday lender that in some cases charged finance fees that exceeded 1,000 percent annual percentage rates.

Average class members in the suit against LoanPoint USA should receive checks early next year of about $200, though payments to some class members will exceed $1,000.

The settlement approved by Marion Circuit Judge Louis Rosenberg Thursday entitles to relief anyone who received a payday loan from LoanPoint USA between March 23, 2008, and March 23, 2010. The settlement also voids more than $5 million in outstanding loans the lender made to Hoosiers during that period. Plaintiffs allege those loans violated Indiana’s payday-loan statutes, I.C. 24-4.5-7-101 through -414.

Cohen & Malad LLP if Indianapolis is class counsel and announced the settlement Thursday. LoanPoint USA sought to enforce arbitration with class members in appeals that the Indiana Supreme Court and Supreme Court of the United States declined to hear.

“We are glad that some of Indiana’s most financially distressed citizens will be getting meaningful checks to compensate them for the overcharges,” Cohen & Malad class counsel Vess Miller said in a statement.

“This case is a good example of why class actions are so important,” Miller said. “None of LoanPoint’s victims could reasonably afford to bring a lawsuit over their few hundred dollars, but because we were able to bring a class action we were able to make sure that thousands of people will get back the money they deserve and that LoanPoint is held accountable.”

The LoanPoint USA defendants, who include Mark Curry and affiliated companies Geneva-Roth Ventures Inc., and Geneva-Roth Capital Inc., also are barred from originating loans in Indiana until they register with the Department of Financial Institutions and comply with payday lending laws, according to the settlement.

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Indiana State Bar Association

Indianapolis Bar Association

Evansville Bar Association

Allen County Bar Association

Indiana Lawyer on Facebook

facebook
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Excellent initiative on the part of the AG. Thankfully someone takes action against predators taking advantage of people who have already been through the wringer. Well done!

  2. Conour will never turn these funds over to his defrauded clients. He tearfully told the court, and his daughters dutifully pledged in interviews, that his first priority is to repay every dime of the money he stole from his clients. Judge Young bought it, much to the chagrin of Conour’s victims. Why would Conour need the $2,262 anyway? Taxpayers are now supporting him, paying for his housing, utilities, food, healthcare, and clothing. If Conour puts the money anywhere but in the restitution fund, he’s proved, once again, what a con artist he continues to be and that he has never had any intention of repaying his clients. Judge Young will be proven wrong... again; Conour has no remorse and the Judge is one of the many conned.

  3. Pass Legislation to require guilty defendants to pay for the costs of lab work, etc as part of court costs...

  4. The fee increase would be livable except for the 11% increase in spending at the Disciplinary Commission. The Commission should be focused on true public harm rather than going on witch hunts against lawyers who dare to criticize judges.

  5. Marijuana is safer than alcohol. AT the time the 1937 Marijuana Tax Act was enacted all major pharmaceutical companies in the US sold marijuana products. 11 Presidents of the US have smoked marijuana. Smoking it does not increase the likelihood that you will get lung cancer. There are numerous reports of canabis oil killing many kinds of incurable cancer. (See Rick Simpson's Oil on the internet or facebook).

ADVERTISEMENT