Hear that sound? That is the clock ticking on Mo' Money's ongoing status as a business in North Carolina.
Mo' Money Taxes of North Carolina has until 5 pm today to decide if it will continue to defend itself from an enforcement action brought against the tax preparation chain by the North Carolina Department of Justice. DOJ is pursuing the case on behalf of the North Carolina Commissioner of Banks.
A hearing has been scheduled for Thursday, May 13th in Raleigh. If it goes forward, Mo' Money will face the possibility of losing its license in North Carolina. The impact of such a ruling would likely have greater consequences. If North Carolina prosecutes Mo' Money, it only stands to reason that attorneys general of Virginia, Tennessee and other states would review their business practices.
The Department of Justice sent testers into Mo' Money shops in North Carolina. The testers all came back with the same story. Mo' Money never displayed the costs of its refund anticipation loans. This is a violation of the North Carolina Refund Anticipation Loan Act. The