A 700% APR Lending Business Tied to Dr. Phils Son Is Dividing an Alaska Tribe
3 minute readPublished: Wednesday, May 21, 2025 at 12:00 pm
Dr. Phil's Son Linked to High-Interest Lending, Sparking Controversy
**Anchorage, AK** - A recent investigation by ProPublica and the Anchorage Daily News has revealed that Jay McGraw, son of television personality Dr. Phil, is linked to the high-interest payday lending industry, raising ethical questions and drawing scrutiny. McGraw's involvement includes a financial technology consulting firm, CreditServe Inc., which facilitates online loans with interest rates that can exceed 700%, often targeting borrowers with poor credit.
The investigation focuses on Minto Money, a tribal lending operation based in Minto, Alaska, that partners with CreditServe. While the operation has brought revenue to the small Native American community, it has also sparked controversy. Critics, including former tribal leaders, express concern over the financial burdens placed on borrowers and the potential for exploitation. The Federal Trade Commission has received over 280 complaints about Minto Money.
A federal lawsuit filed in Illinois alleged that McGraw provided significant capital for the loans, with CreditServe providing the infrastructure. The suit claimed McGraw and CreditServe's CEO collected hundreds of millions of dollars from consumers. While a settlement was reached, the allegations remain.
Dr. Phil, known for his financial advice, has publicly supported his son, stating he is a "smart, strong, caring human being." However, the investigation highlights a stark contrast between Dr. Phil's advice to avoid debt and his son's involvement in a business that profits from high-interest loans.
The Minto community faces economic challenges, with lower household incomes and high living costs. While the lending operation has provided funds for community projects, including a school gymnasium, it has also created internal divisions and concerns about transparency.
BNN's Perspective: This situation presents a complex ethical dilemma. While Dr. Phil's son is entitled to his own business ventures, the contrast between his father's financial advice and the nature of his business raises questions about potential conflicts of interest and the impact on vulnerable populations. The situation underscores the importance of transparency and responsible lending practices, particularly within communities facing economic hardship.
Keywords: Dr. Phil, Jay McGraw, Minto Money, CreditServe, payday lending, high-interest loans, tribal lending, consumer complaints, financial exploitation, Alaska, debt, ethical concerns, controversy, lending practices, financial advice.