Two payday lending companies with ties to racecar driver Scott Tucker have agreed to pay $21 million and waive another $285 million in charges to settle federal claims that they misled consumers.
The Federal Trade Commission announced Friday that the proposed settlement with AMG Services Inc. of Overland Park and MNE Services Inc. of Miami, Okla., includes the agency’s largest recovery in a payday lending case. An attorney for the lenders didn’t immediately return a phone call from The Associated Press. The lenders had claimed immunity from legal action because of their affiliation with Native American tribes.
A 2012 FTC complaint filed in Nevada said Tucker used $40 million collected from borrowers to sponsor his racing team. Tucker hasn’t settled the FTC charges against him.