Two Virginia Beach companies have settled with the state for charging too much interest on title loans, according to Attorney General Bob McDonnell.

Rosemont Auto Title Loans and Oceana Auto Title Loans, which make personal loans secured by a motor vehicle title, will refund a total of $21,459.91 and provide other relief to 99 customers who used their services from December 2004 through May 2007.

McDonnell outlined terms of the settlement in a press release Wednesday and thanked the company for their cooperation.

--A permanent injunction preventing Rosemont and Oceana from violating the Consumer Finance Act in the future by charging and receiving interest in excess of 12% on consumer loans, unless Rosemont and Oceana are otherwise exempt by statute;

-- Rosemont and Oceana will issue Claim and Release forms to all consumers who are eligible for refund checks;  

--Rosemont and Oceana agree not to collect deficiency amounts totaling approximately $18,041.16 owed by 13 borrowers who obtained loans, later defaulted on those loans, and whose vehicles were repossessed;

--Rosemont and Oceana agree not to collect approximately $22,564.28 in interest owed by 21 borrowers who obtained loans, later defaulted on those loans, and whose vehicles were not repossessed;

--Rosemont and Oceana agree to pay $15,000 for reimbursement of the Commonwealth’s attorney’s fees.

Consumers with questions should directly contact Rosemont at (757) 396-4990 and Oceana at (757) 425-1320. 

McDonnell notes that the settlement calls for the two businesses to accept settlement-related collect calls from consumers who live outside of the local calling area.