What "Rent-a-Tribe" Lending Allegedly Involved
Plain Green, LLC marketed itself as a lending business owned and operated by the Chippewa Cree Tribe of the Rocky Boy Reservation in Montana. Lawsuits alleged that Plain Green, along with related lenders Great Plains Lending and MobiLoans, was actually operated behind the scenes by a company called Think Finance, which allegedly used the tribal affiliation, sometimes called a rent-a-tribe scheme, to claim sovereign immunity and avoid state usury laws that cap interest rates.
According to court findings in related litigation, the tribes involved reportedly received only a small percentage of the loan revenue, in some cases around 4.5 percent, while having little to no actual control over the loans day-to-day operations, marketing, or underwriting. Interest rates on these loans reportedly reached as high as 400 percent annually or more, far exceeding limits under state usury laws like Virginia 12 percent cap.
Years of Litigation and a Landmark Ruling
A key legal turning point came when the Second Circuit Court of Appeals rejected the argument that Plain Green tribal affiliation shielded it and its officers from suit, ruling that the lending structure was designed to help defendants evade federal and state consumer protection laws under the cloak of tribal sovereign immunity, and that the loan agreements arbitration and choice-of-law provisions were unenforceable and unconscionable.
This ruling helped pave the way for settlements across multiple jurisdictions. A Virginia class action alone resulted in a 44 million dollar settlement, and separate nationwide litigation, including the case Gibbs v. Plain Green, resulted in more than 57 million dollars in relief, including cancellation of debts, removal of those debts from credit reports, and cash payments to borrowers who had paid interest above their state legal limit, with a groundbreaking nationwide settlement receiving final approval in December 2019.
A Follow-On Case Over Old Debts, and Ongoing Concerns
The story did not end with debt cancellation. In 2024, a separate class action alleged that Equifax continued improperly reporting Plain Green, Great Plains, and MobiLoans debts that had already been legally cancelled under the earlier settlements, based on information from debt collectors Midwest Recovery and Consumer Adjustment Company. Equifax denied wrongdoing but agreed to a settlement providing 500 dollars to affected consumers, deletion of the improperly reported accounts, and changes to prevent similar reporting errors going forward, receiving final approval in May 2024.
Despite this extensive litigation history, tribal lending has not disappeared. Reporting as recently as 2025 has described ongoing cases of consumers, including elderly borrowers, taking out loans from tribal lenders with interest rates exceeding 600 percent, illustrating that while Plain Green specific historical scheme was resolved, the broader tribal lending business model continues to draw legal scrutiny from state attorneys general and consumer advocates in various states today.
How to Get Legal Help
If you have an old Plain Green, Great Plains Lending, or MobiLoans debt that is being reported on your credit file or pursued by a debt collector, request written verification of the debt and check whether it falls within the periods covered by the underlying settlements, since many of these loans were legally cancelled. If tribal lenders are currently contacting you about a new loan with a very high interest rate, document everything and consult a consumer protection attorney, since this type of lending remains an active area of legal scrutiny.
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Plain Green Loans Lawsuit: The "Rent-a-Tribe" Case Explained: Frequently Asked Questions
Answers to the most common questions about this case and your legal options.
What did the Plain Green Loans lawsuit allege?
That Plain Green, along with related tribal lenders Great Plains Lending and MobiLoans, used an affiliation with Native American tribes to falsely claim sovereign immunity and evade state usury laws, charging interest rates reportedly as high as 400 percent or more.
What did the settlements provide?
Combined nationwide settlements exceeding 57 million dollars, including cancellation of affected debts, removal of those debts from credit reports, and cash payments to borrowers who paid interest above their state legal limit, with final approval in December 2019.
What was the 2024 Equifax lawsuit about?
A separate class action alleging Equifax continued reporting Plain Green, Great Plains, and MobiLoans debts that had already been legally cancelled under the earlier settlement, resulting in a 2024 settlement providing 500 dollars per affected consumer and correcting the credit reporting errors.
Is tribal payday lending still a legal risk today?
Yes, in a broader sense. While the specific Plain Green scheme was resolved through litigation, reporting indicates other tribal lenders continue operating with extremely high interest rates, and this business model remains an active area of legal scrutiny by state attorneys general and consumer advocates.
What should I do about an old Plain Green debt on my credit report?
Request written verification of the debt and check whether it falls within the periods covered by the settlements, since many of these debts were legally cancelled and should not still be reported.