Prominent loan provider Moola is being tackled by our consumer watchdog.
The Commerce Commission has started court action, claiming Moola failed to make sure its loans weren't a burden, with some interest rates of almost 550 per cent.
Among other claims, the commission also says it didn't treat borrowers ethically and reasonably.
The company says it'll defend itself and that is has a strong focus on compliance.
"Moola has a strong focus on compliance and strives to be industry leading in this area. We don’t always get it 100 per cent right. When we do make a mistake, we fix it," Moola Chief Executive Guy Randall said.
"It is unfortunate the Commerce Commission has decided to seek guidance from the court, however we will defend the claim and welcome any clarity about responsible lending practices that can ultimately be provided."