The parties jointly filed a stipulated final judgment and proposed order, which the court entered the same day, according to the CFPB. The bureau said FirstCash owns and operates over 1,000 retail pawnshops in the United States and offers pawn loans through its wholly owned corporate subsidiaries.
The CFPB alleged that since October 3, 2016, the defendants made pawn loans to MLA-covered borrowers at rates exceeding the statute's "maximum allowable annual percentage rate of 36%." The agency also alleged that the loan agreements required arbitration in the case of a dispute and failed to make all required loan disclosures.
Under the order, FirstCash must set aside $5 million to provide redress to servicemembers and their families "in connection with thousands of unlawful pawn loans," the bureau said. The company must also pay a $4 million fine to the CFPB's victims relief fund.
The order further requires the defendants to comply with the MLA going forward and to either offer an MLA-compliant loan product to servicemembers and their families or comply with "a regulatory safe harbor meant to screen for MLA-protected borrowers."
The CFPB also alleged that the conduct at issue violated a 2013 bureau order against Cash America International, Inc., a predecessor entity. On July 22, 2025, the bureau terminated that 2013 consent order, stating that the predecessor had fulfilled its obligations, including paying a $5 million civil money penalty and providing consumer redress.
According to the CFPB, the predecessor entity no longer exists and "the products addressed in the 2013 order are unconnected to the products of FirstCash."
The MLA caps the annual percentage rate on covered consumer credit at 36%, prohibits required arbitration, and imposes certain mandatory loan disclosures for active-duty servicemembers and certain dependents.