NASHVILLE, Tenn., (WKRN) — Imagine being able to take out a loan and then being able to place it into a gambling account within a matter of minutes. That’s what lawmakers say can take place at Advance Financial locations and they want it to end.
Tennessee state law says you can’t buy lottery tickets at places that offer loans.
Rep. Darren Jernigan and other legislators are targeting Advance Financial, a Nashville-based lending service. They say allowing high risk loans and sports gambling should not happen under the same roof.
“Currently, a person would be allowed to walk into an Advance Financial, get a loan for 279 percent interest, go to the next counter put that money into a sports wagering account to start betting,” Jernigan said.
Advance Financial and Action 247, their sports book, operate at the same locations. And, currently there’s nothing preventing someone from depositing loan money into a gambling account.
“If you look at the lottery that we passed, specifically in the lottery bill in the law, it says that you cannot buy lottery ticket at a place of a Liening institution, but somehow we let it slip by whether purposeful or not,” he said.
Tennessee lottery corporation’s sports wagering committee voted 2-0 with one person abstaining saying there’s not a law that prevents this from continuing.
“The Sports Wagering Committee of the Board discussed the vendor application and approved it. The Lottery works with all registrants to comply with the statute and established rules and regulations and to protect the integrity of sports gaming in Tennessee,” said Dave Smith, TEL’s Director of Communications.
“That is the literal definition of loan sharking, except the next day they don’t go and break your legs, you get put into a cycle of debt that will end in bankruptcy,” Jernigan said.
The bill is bipartisan.
Those placing bets are only allowed to wager with cash in Tennessee. Other sports books offer cash deposit sites like CVS, and dollar store locations.
News 2 reached out to Action 247 for a response and have not heard back.