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Department of Business Oversight Seeks to Suspend the Licenses of CashCall, Inc.

Jun 13, 2014

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SACRAMENTO (June 13, 2014) – The California Department of Business Oversight announced that it
will seek to suspend the licenses of CashCall, Inc. for violations of the California Finance Lenders Law in
connection with CashCall’s personal loan origination and servicing activity.

This action alleges that CashCall made misleading representations and omitted material information in its
sales pitches in order to lure consumers into taking out loans in amounts greater than what the consumer
needed or was seeking. The California Finance Lenders Law does not limit the amount of interest a
lender can charge for loans of $2,500 or more and CashCall routinely charged annual interest rates of 135
percent or more on personal loans.

“The Department upholds the state’s financial laws to protect consumers from unfair and deceptive lending
tactics,” said Commissioner of Business Oversight Jan Lynn Owen. “CashCall’s predatory marketing and
personal lending practices will not be tolerated in California.”

The Department of Business Oversight is responsible for administering and enforcing the California
Finance Lenders Law. CashCall, Inc. is licensed by the Department under the California Finance Lender
Law and originates both secured and unsecured loans in the State of California pursuant thereto.

A copy of the formal accusation may be viewed at the Department website at
http://www.dbo.ca.gov/ENF/pdf/2014/CFL-CashCall_accusationrev_redacted.pdf.

On July 1, 2013, the Department of Corporations and the Department of Financial Institutions merged to becomethe Department of Business Oversight. California consumers should contact the Department of Business
Oversight to check on the licensing and standing of the companies, investments or other financial services they are
considering at www.dbo.ca.gov or by calling 1-866-275-2677.

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