FirstCash Holdings is an American company focused on operating of pawn stores in the U.S. and Latin America and offering credit services such as secured and unsecured loans,

payday loan A payday loan (also called a payday advance, salary loan, payroll loan, small dollar loan, short term, or cash advance loan) is a short-term unsecured loan, often characterized by high interest rates. The term "payday" in payday loan refers to ...

rent-to-own Rent-to-own, also known as rental purchase or rent-to-buy, is a type of legally documented transaction under which tangible property, such as furniture, consumer electronics, motor vehicles, home appliances, real property, and engagement rin ...

, among other services. Incorporated in

Delaware Delaware ( ) is a state in the Mid-Atlantic region of the United States, bordering Maryland to its south and west; Pennsylvania to its north; and New Jersey and the Atlantic Ocean to its east. The state takes its name from the adjacent Del ...

but headquartered in

Fort Worth, Texas Fort Worth is the fifth-largest city in the U.S. state of Texas and the 13th-largest city in the United States. It is the county seat of Tarrant County, covering nearly into four other counties: Denton, Johnson, Parker, and Wise. According ...

, the company's stock is traded on

Nasdaq The Nasdaq Stock Market () (National Association of Securities Dealers Automated Quotations Stock Market) is an American stock exchange based in New York City. It is the most active stock trading venue in the US by volume, and ranked second ...

. In September 2016, Nasdaq-listed Cash America merged with

NYSE The New York Stock Exchange (NYSE, nicknamed "The Big Board") is an American stock exchange in the Financial District, Manhattan, Financial District of Lower Manhattan in New York City. It is by far the List of stock exchanges, world's largest s ...

-listed FirstCash and in 2018 FirstCash moved its stock to Nasdaq. In December 2021, the company acquired American First Finance.

History

Jack Daugherty founded Cash America in 1983 (possibly 1984), after prior experience running a pawn shop and a failed venture hunting for oil. He reinvested his earnings into acquiring more pawn shops, growing his business to 36 locations by 1987 and 101 at the end of 1988. Daugherty resigned as CEO in 1999 in favor of company president Daniel R. Feehan, though he remained involved with the company as chairman of the board. Feehan similarly retired in 2015 and assumed the chairmanship; Daugherty stepped down but continued to serve on the board.

Acquisitions

In 2010, it acquired Maxit Financial. In 2021, FirstCash entered the "

buy now, pay later Buy now, pay later (BNPL) is a type of short-term financing that allows consumers to make purchases and pay for them at a future date. BNPL is generally structured like an installment plan money lending process that involves consumers, financiers, ...

" payments industry with the acquisition of American First Finance. The deal was announced on October 28 with a value of $1.17 billion, and closed on December 16 with a final value of $916 million.

Controversies and Lawsuits

In November 2021, the

Consumer Financial Protection Bureau The Consumer Financial Protection Bureau (CFPB) is an agency of the United States government responsible for consumer protection in the financial sector. CFPB's jurisdiction includes banks, credit unions, securities firms, payday lenders, mortg ...

filed a lawsuit against FirstCash and its subsidiary, Cash America West, for alleged violations of the Military Lending Act and a 2013 CFPB order against the same. While the Military Lending Act prohibits loans to servicemembers and their families with annual interest above 36%, the CFPB accused the company of making thousands of loans with interest rates as high as 200%. In September 2022, the company paid $379,125.73 to 253 workers in Seattle, Washington, in order to settle claims that it violated the city's minimum wage, break time, and leave laws. As part of the settlement, it also paid $4,746.96 to the city of Seattle.

References

{{Authority control American companies established in 1984 Financial services companies established in 1984 Retail companies established in 1984 Companies formerly listed on the New York Stock Exchange Companies listed on the Nasdaq Pawn shops Companies based in Fort Worth, Texas Retail companies of the United States