West Virginia Attorney General Darrell McGraw Is suing seven Internet payday lenders and five bad debt collectors
AG McGraw wants to bar them from continuing to offer payday loan products and collect bad debt from residents of Virginia. Because the usury rates for payday loan operators are so low, payday loan Internet operators em[ploy the choice-of-law model.
McGraw said Tuesday his office filed two lawsuits in Kanawha County Circuit Court, one against the lenders and one against the collectors.
Additionally, McGraw wants the companies to comply with his subpoena demands. Because the Internet companies are not located physically in West Virginia, they are resisting his efforts. Too bad they are not using the offshore or sovereign nation models!