Pretty comprehensive article in Bloomberg titled: “Payday Lenders And Indians Evading Laws Draw Scrutiny“. It’s about the Internet payday lending industry and Native American tribes.
State governments have either banned or have put a regulatory choke hold on cash advances, which has led to the Sovereign Nation model. So far, the Sovereign model has been successful at the state level. The star in all of this is Scott Tucker. Scott is a race car driver / entrepreneur with a checkered past. He’s making a lot money working with Native American Tribes that use their sovereign immunity to offer payday loans to US citizens. There is a huge legal battle going on and no one knows when it will end. What is inflaming these battles is the CFPB, which is led by Richard Cordray and detests the payday loan industry. This is starting to read like a Michael Crichton novel.
