North Carolina Western Sky Settlement

State of North Carolina, ex rel. Roy Cooper, Attorney General and Ray Grace, Commissioner of Banks,
Plaintiffs v. Western Sky Financial, LLC; CashCall, Inc.; WS Funding, LLC; and Delbert Services
Corporation, Defendants.
State of North Carolina, County of Wake, In the General Court of Justice, Superior Court Division, No. 13 CVS 16487

Frequently Asked Questions

Following is a list of frequently asked questions about this matter. To view the answer to a question, please click on the question from the list below. The answers to these questions will be updated periodically to reflect the current status of the settlement.

  1. How do I know if I am entitled to a refund and/or loan cancellation under the settlement?

    If you took out a loan from the online lender Western Sky Financial, LLC (you may also know it as CashCall) and you lived in North Carolina at the time, you are entitled to benefits from this settlement. If you repaid an amount equal or greater than your loan proceeds plus 16% interest per annum, you may be entitled to a pro rata refund. If you are entitled to a pro rata refund, you have been sent a Notice and Participation Form for your eligible loan(s).

    On June 15, 2016, Defendants cancelled all loans originated by Western Sky Financial, LLC to a North Carolina Borrower that Defendants owned as of that date, reducing the amounts due on those loans to $0.00.

    A Notice packet was mailed to all eligible North Carolina borrowers on August 12, 2016. If you had a loan with Western Sky Financial in North Carolina that was entered into and you have not received a Notice or if you are not sure if you had a loan that qualifies, you should contact the Fund Administrator, Dahl Administration, by email at info@NCWesternSkySettlement.com or by calling toll-free to 1-855-253-5197.

  2. I filed a participation form. When will I be paid my refund?

    The Fund Administrator will make pro rata refund payments every month during the participation form filing period. Consumers with valid participation forms for pro rata refunds will be paid within a month of receipt of the participation form by the Fund Administrator.

  3. How are the pro rata refunds calculated? What is my refund amount?

    If you are eligible for a pro rata refund, the pro rata refund amount was printed in the Notice and Participation Form documents mailed to you. If you had more than one loan eligible for a pro rata refund, you were sent a Notice letter for each loan, but you only need to file one Participation Form. The total pro rata refund you are eligible to receive for all loans appears in the “consumer release” section of the Participation Form.

    If you are a Refund Eligible Borrower, your pro rata refund amount was calculated as follows for each loan:

    • First, the Fund Administrator recalculated the total interest owed on your loan using the original loan proceeds at 16% interest per annum, for the final loan term. If your loan was still open at the time of settlement, the end date of your loan term is August 27, 2015, the date on which Defendants discontinued accepting payments on your loan.

    • Second, the Fund Administrator added this new total interest owed to the original loan proceeds to determine the “Total Amount Collectible” under the terms of this Settlement.

    • Third, the Fund Administrator deducted the Borrower’s Total Payments, including any fees paid, from the Total Amount Collectible to determine the “Individual Participation Form Amount” (the refund amount before pro rata reduction).

      • The pro rata refunds were calculated by summing all Individual Participation Form Amounts to determine the Total Participation Form amount.
      • The Fund Administrator then divided the $9,025,000 available in the North Carolina Western Sky Settlement Fund by the Total Participation Form amount to determine the Pro Rata Participation Form Percentage, which is 30.5%.
    • Finally, each Refund Eligible Borrower’s Individual Participation Form Amount was multiplied by 30.5% to determine the final pro rata refund.

    In summary, if you had a loan eligible for a pro rata refund, the final amount you receive will be 30.5% of the Individual Participation Form Amount for that loan. You may read a detailed description of the calculation as it appears in the Agreement to Entry of Final Judgment by Consent in section IV, starting on page 4. The Agreement to Entry of Final Judgment by Consent can be found here.

  4. I did not receive a Notice and Participation Form from the Fund Administrator regarding my refund, but I’m sure I’m eligible for a refund. What should I do?

    If you believe you are eligible for a refund and you did not receive a Notice and Participation Form, the Fund Administrator may not have your current contact information. Contact the Fund Administrator, Dahl Administration, by email at info@NCWesternSkySettlement.com or by calling toll-free to 1-855-253-5197.

  5. The Fund Administrator told me I’m not eligible for a refund, but I am sure I am. What should I do?

    If you are certain you took out a loan with Western Sky Financial, while you lived in North Carolina, and that you have paid more than the principal amount loaned to you plus a 16% interest rate per annum, you should send your name, address, telephone number, and loan number to info@NCWesternSkySettlement.com or call the Fund Administrator with this information at 1-855-253-5197 and your inquiry will be researched.

  6. What happens if I moved or could not be reached by the Fund Administrator to receive my Notice and submit my participation form for payment?

    Your refund will never disappear. The Fund Administrator will work to reach all refund eligible North Carolina borrowers for 10 months. If you realize that you are subject to the settlement and it is before June 15, 2017, you may contact the Fund Administrator by email at info@NCWesternSkySettlement.com or by calling toll-free to 1-855-253-5197 to claim your pro rata refund.

    After June 15, 2017, you will need to contact the North Carolina State Treasurer’s Office, Unclaimed Property Division. You may obtain instructions to identify and claim your refund at https://www.nctreasurer.com/Claim-Your-Cash/Claim-Your-NC_Cash/Pages/default.aspx . You may also contact the Treasurer at: 1-919-814-4200.

    You will need to follow the procedures required by the North Carolina State Treasurer’s Office to claim your refund money.

  7. What happens if I do not return my signed Participation Form to the Administrator by the Participation Form Deadline?

    Your refund is still available to you. The Fund Administrator will distribute refunds for Participation Forms filed with their office by June 15, 2017.

    After June 15, 2017, you will need to contact the North Carolina State Treasurer’s Office, Unclaimed Property Division. You may obtain instructions to identify and claim your refund at https://www.nctreasurer.com/Claim-Your-Cash/Claim-Your-NC_Cash/Pages/default.aspx . You may also contact the Treasurer at: 1-919-814-4200.

    You will need to follow the procedures required by the North Carolina State Treasurer’s Office to claim your refund money.

  8. What does the release language mean on the Participation Form?

    In exchange for your refund, you agree to release the Western Sky Entities from any independent claims for violations of North Carolina laws that you may have arising out of the unlawful loan(s) made to you.

    For more detailed information about the claims you are releasing if you submit a Participation Form, read Exhibit A of the Agreement to Entry of Final Judgment by Consent.

  9. Do I have to sign a consumer release to receive my refund?

    You must sign the consumer release to receive your refund from the Fund Administrator by or before May 31, 2017.

  10. How long is my refund check active?

    Refund checks will be active for 90 days from the date of issue. However, if you contact the Fund Administrator within 30 days after the check void date, a new check will be issued to you which will be valid for 45 days after the date it is re-issued. If you do not deposit your refund check or request a re-issued check within the applicable timelines, your refund will be held by the North Carolina State Treasurer’s Office as unclaimed property in your name. See FAQ 6.

  11. Are the refund and/or loan cancellation benefits I receive taxable?

    The tax consequences of payments and/or loan cancellation received under this, or any, settlement depend on the unique facts and circumstances of each individual borrower. The Attorney General’s Office and the Fund Administrator are not able to provide tax advice. You should consult with a tax professional to determine whether any of the benefits you receive under this settlement are taxable income.

  12. My credit report shows negative reporting by Western Sky/CashCall/Delbert Services. When will my credit history be adjusted?

    Applicable credit bureaus have been notified that all loan information relating to loans originated by Western Sky Financial, LLC should be removed from your credit history.

    The credit reporting bureaus may take some time to update their records to remove the negative reporting associated with these loans. If you are still seeing negative reporting after October 15, 2016, please notify the Fund Administrator by email at info@NCWesternSkySettlement.com or by calling toll-free to 1-855-253-5197.

  13. How can I get additional information?

    Contact the Fund Administrator at:

    BY EMAIL: info@NCWesternSkySettlement.com
    BY MAIL: North Carolina Settlement Fund Administrator
    c/o Dahl Administration
    PO Box 3614
    Minneapolis, MN 55403-0614
    BY PHONE: 1-855-253-5197