Pay day loan business allowed to re-open - WALB.com, Albany News, Weather, Sports

Pay day loan business allowed to re-open

Albany- Investigators raided First American Cash Advance in Albany in December. They say records showed the company charged some customers between 400 and nearly 1,000 percent interest.

But because the loans are financed through a South Dakota bank the company was allowed to re-open. The president of First American, Thomas Lowe, declined an interview, but released this written statement.

"First American is gratified the Superior Court for Dougherty County in its April 14th order found our operations to be legal in the state of Georgia. First American looks forward to providing to the citizens of this community access to a financial product that we are confident our customers appreciate and consider fairly priced when compared to the cost of the other options available to them. First American would also like to commend District Attorney Hodges on the professional manner in which his office conducted its extensive investigation."

Interest was not being accrued while First American was shut down, but it's customers will have to begin re-paying their loans.

Posted at 8:25 PM by elaine.armstrong@walb.com