NC Panel To Investigate High-Interest Tax Refund Loans

The North Carolina Banking Commission says it is investigating companies that issue high-interest loans in anticipation of federal tax refunds.

The commission will draft a report by April that details how many companies offer the loans, how the loans are issued and marketed in North Carolina, and what regulatory options are available.

State treasurer Richard Moore chairs the commission.

Moore and other state financial officers have been critical of the loans. The loans typically last from seven to 14 days before the refund arrives and can carry fees and annualized interest rates of more than 100 percent.

Moore says he'd like to see the loans eliminated.