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Colorado Uniform Consumer Credit Code: News

Colorado Attorney General Cynthia H. Coffman Announces over $3.9 Million in Settlements against Companies that Exploited Military Consumers

The Colorado Attorney General's Office has settled two lawsuits against consumer lenders who targeted the military.  The lenders are Freedom Stores Inc., dba Freedom Furniture & Electronics and affiliated companies Military Credit Services, LLC, and Freedom Acceptance Corporation ("Freedom Furniture") and USA Discounters, Ltd., dba USA Living, and dba Fletcher's Jewelers ("USA Discounters").  

The lawsuits alleged that Freedom Furniture and USA Discounters charged Colorado consumers interest rates that exceeded the maximum rates permitted by Colorado law.  The lawsuits also focused on the lenders' collection practices, which included suing military members in Virginia instead of Colorado and using abusive collection techniques like contacting the commanding officers of military members who were alleged to owe debts.

The settlements require the lenders to pay over $3.9 million in redress for harmed consumers and contain injunctive relief designed to ensure future compliance with the law.  The consent judgments for each case are available below:

Click here to read the full press release issued by Colorado Attorney General Cynthia H. Coffman.


Attorney General Cynthia H. Coffman Returns Nearly $8 Million to Victims of Unlawful Lending

The Colorado Attorney General's Office has reached a settlement agreement with CashCall, Inc., WS Funding, LLC, Delbert Services Corporation, and J. Paul Reddam, in addition to a previous settlement with Western Sky Financial, LLC. These settlements resolve allegations that the entities made, serviced, and collected high-cost loans in violation of Colorado's consumer credit protection laws. Collectively, the Defendants were required to pay $7,384,005.12 in disgorgement and restitution. The Defendants are also permanently prohibited from directly or indirectly servicing, collecting, or attempting to service or collect consumer loans in Colorado.

As a result, around 5,000 consumers have been mailed restitution payments. Consumers who have any questions related to their restitution payments should call the 1-800 number listed on the check letter.

Click here to read the full press release issued by Colorado Attorney General Cynthia H. Coffman.