Payday loan, title loan, personal loan, or advance loan -- Struggling to pay your loan -- Complaint #13476563
Complaint Overview
Complaint ID: 13476563
Company: Enova International, INC.
Product: Payday loan, title loan, personal loan, or advance loan
Sub-Product: Personal line of credit
Issue: Struggling to pay your loan
State: Virginia
ZIP Code: 220XX
Date Received: 2025-05-12T12:00:00-05:00
Date Sent to Company: 2025-05-12T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Consumer Narrative
I am filing a complaint against NetCredit and its banking partner XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX Bank regarding their Open-End Line of Credit, which I believe is structured in a predatory and deceptive manner, resulting in excessive and unaffordable interest payments. Since the beginning of this year alone, I have paid approximately {$1600.00} in fees and interest, and I have paid even more in prior years. This credit product was marketed as a flexible line of credit, but in reality, it traps borrowers into a cycle of debt through a fee structure that functions as an outrageously high and unregulated APR. This is not a traditional interest-bearing loan. Instead, NetCredit charges a Statement Balance Fee every biweekly period based on the size of the outstanding balance. Here is how it works, according to their contract : For example, if your balance is {$2500.00} to {$2600.00}, they charge a {$130.00} fee every XXXX weeks. That means in a year ( XXXX biweekly periods ), a borrower at that level would pay {$3300.00} in fees alonewhich exceeds the original loan amount. This fee structure mimics a triple-digit APR in practice but skirts interest rate limits by categorizing the cost as fees instead of interest. The contract even includes a HIGH COST CREDIT DISCLOSURE admitting that this is an expensive form of credit not suited for long-term use. Despite this, there are no meaningful safeguards in place to stop borrowers from accumulating year after year of fees without materially reducing the principal. I believe this structure is intentionally deceptive, excessively burdensome, and in violation of consumer protection principles. While they claim compliance by using a XXXX bank ( XXXX Bank ), I live in XXXX, where excessive interest and disguised interest charges are prohibited. This appears to be another example of a rent-a-bank scheme, where lenders use a bank charter in another state to bypass local consumer protections.
Frequently Asked Questions
What is Complaint #13476563 about?
Complaint #13476563 was filed against Enova International, INC. regarding Payday loan, title loan, personal loan, or advance loan specifically about Struggling to pay your loan. It was received by the CFPB on 2025-05-12T12:00:00-05:00.
How did Enova International, INC. respond to this complaint?
The company responded with: "Closed with explanation". The response was timely.
What is the risk level of this complaint?
See the risk assessment section for details on this complaint's risk profile.
How do I file a similar complaint?
You can file a complaint with the CFPB at consumerfinance.gov/complaint. Select the appropriate product category (Payday loan, title loan, personal loan, or advance loan) and describe your issue in detail.
Can I see other complaints against Enova International, INC.?
Yes, visit the Enova International, INC. company profile at readthecomplaint.com/company/enova-international-inc to see all complaints, risk scores, and analysis.
Disclaimer
This analysis is AI-generated based on publicly available CFPB complaint data. It does not constitute financial or legal advice.