DC's Attorney General today filed a lawsuit against Elevate, an online lender, for deceptively marketing high-cost loans carrying interest rates far above the District’s cap on interest rates. According to the complaint, Elevate is not a licensed moneylender in the District but offered two kinds of short-term loan products with interest rates of between 99 and 251 percent — up to 42 times the legal limit. Over roughly two years, Elevate made 2,551 loans to District consumers and collected millions of dollars in interest. The lawsuit seek to stop Elevate from engaging in misleading business practices, require Elevate to void the loans made to District residents, return interest paid by consumers as restitution, and pay civil penalties.
The complaint is here.
