State regulators announced Friday they are seeking to suspend CashCall Inc.'s business licenses for allegedly violating state lending laws by using deceptive advertising.
Attempts to reach a spokesperson for Anaheim-based CashCall were unsuccessful this afternoon.
CashCall advertised loans "up to $2,600." But when consumers called the company, they were told no loans were made for less than $2,600, a loan amount for which there is no interest cap in state law, according to the state Department of Business Oversight, which alleges CashCall charged interest rates of 135 percent or more.
"CashCall's predatory marketing and personal lending practices will not be tolerated in California," said Jan Lynn Owen, commissioner of Business Oversight.
— City News Service