Lease Finance Group (leasefinance.com) is an equipment lease provider that goes by several alternate business names, including Northern Leasing Systems, MBF Leasing, Golden Eagle Leasing, and Lease Source-LSI, LLC. Lease Finance Group is not a merchant account provider; rather, it leases credit card processing equipment like terminals, printers, barcode scanners, and other point-of-sale technology. Lease Finance Group’s equipment leases are often packaged with the merchant accounts of payment processors, meaning that business owners are often unaware that they are signing up for service through multiple companies. Although the company’s website states that it is headquartered in Eden Prairie, Minnesota, the Better Business Bureau lists Lease Finance Group as a Chicago, Illinois-based company.
In March of 2013, Lease Finance Group and its associated companies paid out a multimillion-dollar settlement to hundreds of small business owners as part of an agreement reached with the New York Attorney General. Lease Finance Group and its DBA, Northern Leasing, stood accused of creating a shell company called SKS Associates LLC, which it used to deceive merchants and withdraw money from their checking accounts after their contracts had expired. Although the Attorney General’s lawsuit ended the existence of SKS Associates LLC, the Lease Finance Group/Northern Leasing Systems family of companies continues to operate and has in fact grown into a very large network of equipment providers.
The New York Attorney General has filed a lawsuit against Northern Leasing Systems, Lease Finance Group, and MBF Leasing “for their fraudulent and deceptive practices that trap small business owners across the country.” The lawsuit alleges that Northern Leasing Systems and its subsidiaries knowingly deceived thousands of business owners into buying overpriced equipment and then abused the judicial system by filing suit in New York to collect on overdue lease payments. The lawsuit seeks to vacate default judgments obtained by Northern Leasing against business owners, enjoin the company and its owners from further deceptive practices, obtain restitution for merchants, dissolve Northern Leasing, and force the company to notify all three major credit reporting agencies that the default judgments have been vacated. This marks the second action that the New York Attorney General has taken against Northern Leasing Systems. Merchants who have been harmed by Northern Leasing Systems are instructed to file complaints here or call 1-800-771-7755.
For a full analysis of the primary company in this network, please see our Northern Leasing Systems review.
- Sales & Marketing: Lease Finance Group allows independent sales agents to package its equipment leases with other merchant accounts and has received an extremely high number of merchant complaints about its sales practices.
- Costs & Contract: Lease Finance Group offers 48-month, non-cancellable equipment leases that often cost many times the purchase price of the equipment.
- Complaints & Service: Lease Finance Group has received more than 700 public complaints.
- BBB Rating: Lease Finance Group has an “F” rating with the Better Business Bureau and has received 225 complaints in the last three years.
- Rates & Fees: How Merchants Got The Best Rates With Lease Finance Group