Alert: The Ohio Supreme Court holds that the loan provider may make short-term

Alert: The Ohio Supreme Court holds that the loan provider may make short-term

On June 11, 2014, the Ohio Supreme Court resolved a problem opened by the Ninth District Court of Appeals of Ohio in 2012: can real estate loan Act (“MLA”) registrants make single-installment loans? In Ohio Neighborhood Finance, Inc. V. Scott, the Ohio Supreme Court unanimously held that, yes, MLA registrants can make such single-installment loans regardless of what’s needed and prohibitions associated with the Short Term Loan Act (“STLA”). The important points with this instance are the following.

During 2009, Ohio Neighborhood Finance, Inc., a MLA registrant, sued Rodney Scott for his so-called standard of a single-installment, $500 loan.

The total amount presumably in default included the principal that is original of500, a ten dollars credit research cost, a $30 loan-origination cost, and $5.16 in interest, which lead through the 25% interest that accrued in the principal throughout the two-week term regarding the loan.

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