Company faces suit over title loans for consumers

LANSING (AP) - A lawsuit filed against an auto title loan company and several associated companies seeks to stop collection activities on illegal title loans provided to Michigan consumers. Michigan Attorney General Bill Schuette filed a complaint and motion requesting a temporary restraining order and preliminary injunction last Thursday in Ingham County Circuit Court. The temporary restraining order was granted by the court and a hearing was set Jan. 27 for the preliminary injunction. The lawsuit alleges that Liquidation, LLC provides illegal vehicle title loans and that the company isn't authorized to do business in Michigan as a pawnbroker or a limited liability company. Schuette says it appears the company's business model is designed to take advantage of financially vulnerable consumers with damaged credit history. Published: Mon, Jan 18, 2016