This Lender Said Its Loans Would Help Tennesseans. It Has Sued More Than 110,000 of Them.
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The Flex Loan, a type of payday loan pioneered by Advance Financial, has burdened low-income borrowers while generating huge profits for lenders. Tennessee lawmakers declined to rein in the lending business, even as other states did.

Reporting Highlights

  • Wave of Lawsuits: Since introducing the Flex Loan in 2015, Tennessee-based lender Advance Financial has filed over 110,000 lawsuits against its borrowers.
  • High Interest and Fees: Flex Loans offer borrowers up to $4,000 at 279.5% interest, trapping thousands of people in debt that can land them in court.
  • Sidestepped Federal Regulators: Advance Financial lobbied lawmakers to create the new Flex Loan to avoid federal consumer protection regulations.