Washington Post: A major Trump donor’s company got a 3 percent government-backed pandemic loan. It sells title loans at a 350 percent annual rate.
A company owned by a major donor to President Trump that operates auto-title loan stores with names such as LoanStar and Moneymax secured a $25 million low-interest loan from a government pandemic aid program, using what consumer advocates describe as a loophole to a rule designed to prevent most lenders from getting this federal help.
Kyle Herrig, president of Accountable, a government watchdog group tracking pandemic spending, said the government should not be helping companies such as Wellshire.
“If the Trump administration thinks the high-cost lending industry deserves a taxpayer-backed loan,” Herrig said, “it should come with the same 300 percent interest rate they charge consumers.”