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I received a message that if I didn't come pay my payday loan by 2 pm that since it is over $300 it is a felony. If I understand the laws in my state (KY.) this is not legal for them to do. Am I right?

Posted: Sat Mar 31, 2007 7:12 am Subject:

Here is Kentucky state law, they can't prosecute you.
Send them a copy of this.

Posted: Sat Mar 31, 2007 7:27 am Subject:

Criminal Action on a PDL in KY is ILLEGAL in fact that is why they all have sign that no one who enters into a transaction with this company will be prosecuted for theft by deception....These storefront PDL's take a risk by loaning you money on a check that is to be held therefore they cannot prosecute you for theft by deception...

Posted: Sat Mar 31, 2007 7:57 am Subject:

Now was this PDL internet or storefront? If it's internet, chances are that it's not licensed to do business in Ky, but check your state's laws to be totally sure of that.
If it's not licensed, all you are obligated to pay back is the principal (what you originally borrowed), at an interest rate that's legal in Kentucky.
And this is one of the oldest lines in the book for IPDL collectors, btw. So relax, all you have to do is work out a payment plan that is affordable to you and acceptable to the creditor.

Posted: Sat Mar 31, 2007 8:12 am Subject:

You know,I am wondering why a consumer attorney hasn't jumped in with both feet behind these terrible business practices! It would make for one heck of a class action.

Posted: Sat Mar 31, 2007 2:07 pm Subject:

How much have you paid on the account? Pull the bank statements and calculate the total amount. Review the fees as mentioned in the laws minus the principal balance. Then work out your payment proposals with the company. If you don't want them to use your bank account for the payments, ask for the receiver code for sending the money order.

Posted: Sat Mar 31, 2007 2:42 pm Subject:

Thanks for the quick replies. It is a store front PDl and they left a voice mail on my cell phone that if I do not pay them by 2pm that they would issue a summons, that this was a felony. They stated twice that it was a felony.

Posted: Sat Mar 31, 2007 2:51 pm Subject:

Please save that message. It may be useful one day.

It is NOT a felony to default on a payday loan.

Posted: Sat Mar 31, 2007 3:18 pm Subject:

Do as Sue said,keep a log and find out what your state statutes are for harassment by telephone.

Posted: Sat Mar 31, 2007 3:45 pm Subject:

I went back and checked the laws for Kentucky quoted earlier in this thread and they were totally lying to you!! They can NOT criminally prosecute you--the most they can do is take you to civil court to get a judgement.
I would try and work out a reasonable payment plan with them and if they don't cooperate and insist on taking you to court, tell them that you'll be glad to tell the judge how you have tried to work this out and THEY were the ones who refused to cooperate.

Posted: Sat Mar 31, 2007 5:01 pm Subject:

Cajun, how so true. I wonder why an attorney hasn't jumped on this bandwagon to file a class action suit against these companies and their practices.

I am sorry for your troubles Indigo. I am so sorry that someone would tell you such false and misleading information. You cannot be criminally charged for failing to pay a payday loan. If that was the case, then the majority of us on this message board would have been in jail a long time ago. Laughing

It is good that you are researching the laws in your state to determine what rights you have. Depending on what kind of loan it is (storefront or payday), I would recommend that you contact your attorney general in your state and let them know of these practices. You might also want to contact the District Attorney's office and let them know how this loan company is trying to treat you.

Have you closed your checking account yet? If not, I would recommend that you do.

I hope that this helps you and good luck.

Posted: Sun Apr 01, 2007 5:59 am Subject:

I've never heard of a storefront lender making these kind of false threads. One never knows when dealing with payday lenders though. There have been some great suggestions given to you in this thread. Please save that message as you may need it down the road. I would contact your Attorney General's Office as soon as possible as well as your division/department of financial institutions. The contact info for KY's DIF is included in the laws that fedup posted for you. Please keep us updated on your progress.

Posted: Sun Apr 01, 2007 6:27 am Subject:

Mishele, you will be surprised. MOst of the time it is not the company themselves. It is actually one of their employees making the threat themselves. They are always doing that to scare you into paying them so that they collect and feel big about themselves.

You never know what kind of tactics many of these companies will use to get you to pay the debt.

Guest · Posted: Sun Apr 01, 2007 1:46 pm Subject:

I know this doesn't belong here. BUT. I can not log in or go to other threads. When I hit the log in button it says page is unavailable and I can not access site from e-mail notifications on topics. Is there technical issues going on and are others having this same problem? Steelers1

Guest · Posted: Sun Apr 01, 2007 2:25 pm Subject:

I am having the same trouble. I keep getting error messages and can only access certain threads. missyk33

Guest · Posted: Sun Apr 01, 2007 4:39 pm Subject:

Are others having this same problem with logging in? I've tried on two different computers and still can not access the site from e-mail notifications and I can not log in, says page is unavailable. Steelers1

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