Advance America agrees to settlement over charging 450% interest

Payday lender Advance America agreed to a proposed settlement that will pay $18.75 million to more than 140,000 North Carolina consumers charged triple-digit interest rates and unlawful fees, the law firm Public Justice announced.

The settlement resolves a 2004 class-action lawsuit against Advance America, the country's largest payday lender. Although it has agreed to compensate its customers, Advance America admitted no wrongdoing under North Carolina law.