HARRISBURG — Attorney General Michelle Henry announced that six new states have joined Pennsylvania in its federal lawsuit against Mariner Finance regarding widespread violations of multiple consumer protection laws that cost consumers hundreds of millions of dollars.
Illinois, Indiana, New York, North Carolina, Tennessee and Wisconsin filed a Motion to Intervene in the lawsuit, which the court granted this week.
“This mega lending company preyed on and deceived consumers by hiding fees and costs for products, while illegally soliciting existing borrowers who already were struggling to afford payments to take on even more debt,” Henry said. “Pennsylvania now has 11 state partners in litigation that seeks restitution for consumers and complete makeovers of all existing loan agreements.”
Mariner Finance is owned by a Wall Street private equity fund managed by Warburg Pincus LLC, operating over 480 branches in 27 states and managing more than $2 billion in loans.
The suit alleges that Mariner Finance charged consumers for hidden add-on products that consumers either didn’t know about or didn’t agree to buy.
The lawsuit also alleges that Mariner Finance engages in illegal, aggressive sales tactics to extend credit to new borrowers.
Pennsylvania borrowers who believe they have been deceived by Mariner’s harmful practices should file a complaint with the Bureau of Consumer Protection either online, by phone at 1-800-441-2555, or by email scams@attorneygeneral.gov.
