Predatory Online Lenders Hide Behind ‘Tribal Sovereignty’ to Evade State Laws and Ensnare Borrowers in 400% Interest Rates

The article says federal complaints against online lenders increasingly include a defense that states’ consumer-protection laws don’t apply to certain loans. Borrowers are allegedly “running out of options” as disputes escalate through the complaint process, suggesting rising legal and regulatory risk for the lending model even without cited settlement amounts or case outcomes.