N.Y. State Legislator: Must “Crack Down on the Lawsuit-Loan Wild West”
A New York State senator said in a New York Post op-ed that it’s time for the state to “crack down on the lawsuit-loan Wild West.”
Rob Ortt, who represents western New York in the state senate, said the “now-lucrative settlement-advance industry” has gone “from practical to predatory.” He said lenders “exploit people when they are distressed and desperate,” and the practice raises “conflict-of-interest questions” when “trial lawyers funnel a steady stream of desperate, cash-strapped consumers to lenders.”
Earlier this year, the New York Post ran an exposé on lawsuit lending in New York. A story from January found some lenders charge interest rates as high as 124 percent.
