The Southwest Public Policy Institute (SPPI) has filed a formal complaint with the Consumer Financial Protection Bureau (CFPB) regarding the loan-sharking lending practices of former State Representative Tara Jaramillo and her company, Positive Outcomes, Inc. The action follows years of inaction by New Mexico Attorney General Raúl Torrez and other state agencies, despite overwhelming evidence of unlicensed, predatory lending.
For more than a decade, employees of Positive Outcomes—many of them low-income and Native American caregivers—were subjected to payday loans carrying effective interest rates of up to 2,737 percent APR. Repayments were deducted directly from their wages, leaving workers trapped in cycles of debt. Evidence also suggests that Medicaid funds may have been misused to finance these loans
Despite complaints filed with the New Mexico Department of Workforce Solutions (DWS), the Human Services Department, and the Attorney General’s Office, no meaningful enforcement was taken. In August 2025, DWS concluded its long-delayed investigation, but limited its review to just one year, issued a single violation, and fined Jaramillo $61.75, effectively excusing more than 15 years of alleged misconduct
“New York’s attorney general has aggressively pursued financial firms over consumer protection violations, while here in New Mexico, our AG has chosen to sit on his hands,” said Patrick M. Brenner, President of SPPI. “When state officials refuse to act, it falls to federal regulators to intervene. That is why SPPI filed this complaint with the CFPB—because someone must stand up for these workers.”
The CFPB confirmed receipt of SPPI’s complaint on September 17, 2025, under Complaint ID 250917-24163492. The Bureau will now review the case and may require Positive Outcomes to respond.
SPPI is calling for:
- An immediate halt to Positive Outcomes’ unlicensed lending practices.
- Restitution for ALL affected employees.
- Stronger federal safe harbors to prevent states from ignoring unlicensed lending by politically connected actors.
“New Mexico policymakers created the black market that allowed this loan-sharking scheme to flourish, and then failed to enforce the law when it was exposed,” Brenner added. “We will not allow the voices of exploited workers to be silenced.”
