A class action has been filed by consumers alleging that Check 'N Go of Florida, Inc., a payday loan business, violated Florida's Consumer Finance Act and its Deceptive and Unfair Trade Practices Act by charging excessive interest rates for consumer loans. The class consists of thousands of consumers who received cash in exchange for a personal check payable to Check 'N Go since February 26, 1997. The consumers allege that Check 'N Go violated Florida consumer protection laws by loaning money to consumers and allowing them to use a personal check as collateral, which covered the money received in addition to the fee for cashing the check. Check 'N Go would agree to hold the personal check until the consumer's next payday or their next social security check arrived, usually a two-week period. The consumer would then have to buy back their personal check or roll over the loan and pay additional fees. The consumers claim that Check 'N Go provided consumer loans in the guise of a check cashing service, and in the process charged interest at rates that are illegal under Florida law. The case has not yet been heard or decided
I hope they "get 'em" More of these suits need to be filed and maybe this outfit will be shut down all over the country!!!
These outfits must be very profitable! They are springing up faster than gas stations! (well... almost!) SK
All: For those interested in this subject, CLICK HERE for an interesting piece from the FTC. The prevention section is informative.
