ATLANTA -- The Money Tree Inc. filed for Chapter 11, citing difficulties branching from customers that didn't repay loans.
The Bainbridge, Ga.-based consumer lender said Dec. 19 it filed for bankruptcy at the U.S. Bankruptcy Court for the Middle District of Alabama, where its accountants are located.
The Money Tree makes small consumer loans as well as loans for cars under the brand name Best Buy Autos. That arm is not part of the bankruptcy filing and will continue operating as normal.
The company intends to stay in business while it goes through reorganization, it said. Among its reorganization plans: it will cut the number of branches to 46 from 92.
"We have done everything possible to try and protect the integrity of our investors and the Company," president Bradley Bellville said in a filing to the Securities and Exchange Commission .
Money Tree operates a network of lending branches across the Southeast, concentrated in Georgia, Florida and Alabama.
(Atlanta Business Chronicle)