But it stopped originating loans in June and said it would only service loans originated before that time. NextPoint will concentrate of its Liberty tax preparation and Community Tax operations, the latter providing tax resolution services.

That June action coincided with a suit LoanMe filed in Delaware Superior Court against AmeriFirst Home Improvement Finance, which was acquired by FNBO, also in June. NextPoint sought millions of dollars in damage for the alleged failure of AmeriFirst to live up to  the terms of a loan servicing contract.

According to LoanMe’s filing, during an audit AmeriFirst managers allegedly admitted the company "did not have the expertise, operational leadership, experienced personnel or general know-how to service the LoanMe portfolio."

NextPoint said this month with without any LoanMe operations, the company could not sustain the debt involving that unit and restructured the company and financing with one secured lender.

Bob Scott

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Bob Scott has provided information to the tax and accounting community since 1991, first as technology editor of Accounting Today, and from 1997 through 2009 as editor of its sister publication, Accounting Technology. He is known throughout the industry for his depth of knowledge and for his high journalistic standards.  Scott has made frequent appearances as a speaker, moderator and panelist and events serving tax and accounting professionals. He  has a strong background in computer journalism as an editor with two former trade publications, Computer+Software News and MIS Week and spent several years with weekly and daily newspapers in Morris County New Jersey prior to that.  A graduate of Indiana University with a degree in journalism, Bob is a native of Madison, Ind