Minnesota Supreme Court upholds constitutionality of Minnesota’s payday financing legislation

Minnesota Supreme Court upholds constitutionality of Minnesota’s payday financing legislation

Out-of-state payday lenders will need to follow Minnesota’s lender that is strict for online loans, their state Supreme Court ruled Wednesday.

The sides that are ruling Attorney General Lori Swanson, whom filed suit against Integrity Advance, LLC in Delaware last year. The business made 1,269 payday advances to Minnesota borrowers at yearly rates of interest as much as 1,369 %.

In 2013, an area court determined that the organization violated Minnesota’s payday lending statutes “many thousands of that time period” and awarded $7 million in statutory damages and civil charges to your state. The organization appealed to your Supreme Court, arguing that hawaii lending that is payday ended up being unconstitutional whenever applied to online loan providers located in other states.

In Wednesday’s viewpoint by Justice David Stras, the court rejected that argument, keeping that Minnesota’s payday lending legislation is constitutional.

“Unlicensed online payday loan providers charge astronomical interest levels to cash-strapped Minnesota borrowers in contravention of y our state lending that is payday. Continue reading Minnesota Supreme Court upholds constitutionality of Minnesota’s payday financing legislation