Cash and documents were also seized.
The operation involved the England Illegal Money Lending Team, Durham Trading Standards and Durham Police.
The man was questioned and released on bail pending further enquiries.
Owen Cleugh, the consumer protection manager at Durham County Council, said: “We fully support the work of the National Illegal Money Lending Team and its partners in combating the threat and risks of loan sharks.
“We would urge everyone to remember that no matter how much you are struggling financially, loan sharks are not the answer and could result in years of harassment, possible threats of violence and paying back your loan several times over.”
To report a loan shark, call 0300-555-2222 or visit facebook.com/stoploansharksproject