New York sues DailyPay and MoneyLion, alleging predatory payday lending
1. New York AG sued DailyPay and MoneyLion for predatory financial practices. 2. Charges include excessive fees and interest rates over 200%, reaching 750%.
FAQ
Why Bearish?
Lawsuits often negatively impact stock prices. Similar lawsuits in the past have led to significant drops in share prices for affected companies.
How important is it?
The lawsuit raises concerns about regulatory scrutiny, potentially impacting ML's market position.
Why Short Term?
The immediate impact of legal action often leads to quick reactions in stock prices, as seen in past cases involving financial misconduct.