Arkansas Hammers Lender With $1.2M Fine

Historical archive, first published 2006 — payday-lending laws and rates have changed since. Preserved for the record.

On Wednesday, the Arkansas State Board of Collection Agencies imposed a whopping $1.2 million fine against Dennis Bailey and several payday loan businesses he is accused of running — illegally — in the Natural State.

The board claims Bailey is operating stores that, without a license, have been cashing checks for fees and issuing cheap payday loans. Executive Director Peggy Matson argued in favor of the fines, praising what she called the most aggressive action taken by the board in her six years with the panel.