Line of Credit from Advance America

PDL Owner...I would like to tell you that I am a very private person. I would of never disclosed to one of the employees the financial problems I was facing. Now had there been a sign up in one of the storefronts announcing my alternative options instead of a flat screen tv advertising the PDL, then that would of been the route I would of taken instead of closing my account. I think if the PDL's care more about the crisis that SOME of their responsible consumers are in than their Bottom Line, there would most likely be alot less loans. Am I saying that everyone would pay their loans off, no because some people knowingly deceive PDL's on purpose and make the good people look bad.

I'm not sure if I totally followed you comment, but I will try.

Of all of my customers, I would estimate that 80%+ have a very good relationship with myself and my staff. In this business, the key to success is to not alienate the customer. Based on that, you would be surprised what people tell us! I understand what you are saying about the sign in the window, but that would be akin to Taco Bell putting a sign up that say you can get a great deal at Burger King down the street. As cold as that may sound, I run a business that was founded on providing a service in demand and profitability. You may not like the choice and hopefully will never need the service again, but this is how I pay my taxes, purchase items in the community and provide for my family. So the bottom line is that I do care about the bottom line!

We live in a society that thrives on credit. Whether it is credit cards, mortgages, student loans, car notes, payday loans, ect. It is the fabric of the country and will not go away until there is a major collapse in our financial sector. Even with the collapse that they are going thru now, the economists are stating that the key to success is to get lending going again. The only financial sector that is not having issues? That's right, short-term high risk lending, aka payday loans. In fact, it is becoming more vital now due to credit being cut off to high risk customers.

Sorry, got off topic...

Again, I don't follow your last 2 sentences.

Tryingtogetitright - I want to make sure I understand what you are saying about the line of credit from Advance America. You said you pay $50/month to renew this. The way I understood the employee at the store, $50 would be the first payment, but the next payment would be $50 plus the interest that had accummulated (around $200 total). Do you only pay the $50 per month? I'm trying to get all the info that I can in case I need to use this in the future - I'm hoping not to - but want to be informed.

PDL owner, silly question, but when you do use the collection agency do you actually make sure that they're licensed in your state to collect? Just curious... as the one Check N-go seems to be using isn't licensed in mine.

People please understand
PDL 's are designed for short term borrowing. Alot of people including myself has had to use the service to replace money used for other bad habits, mishaps, etc. Alot of people can no longer borrow money from family or friends. I met a woman the other day who owes three payday lenders in VA and Cash Point 2000.00 just so she can keep her house for going into foreclosure. There are some real horrow stories out there. For someone like her I can understand. For someone like me it is pure foolishness. We all need to learn to survive with little and make the best out of what we have. I have learned from my mistakes and when I escape the drama I am staying away from PDL's. PDL's and bad habits help to destroy my family. And if people are not disciplined it can happen to anyone including you.

I took out a line of credit and now I am trying to figure out how to pay it off in a hurry. The first month was 50 payment, but the next month and the month after that was still 232. a month and no matter what 150 dollars always go toward the interest and the rest goes to your principle. If you borrow more than 500-750 you are really up the creek unless you have the cas to pay them off fast, please think about it before you borrow, line of credit is not your usual line of credit deal like most banks or credit cards. In my state the line of credit loans are not regulated and the lenders can put whatever interest they want to impose upon you. Just be careful.
Bee

Bee, what state are you in?

I would like to add my thoughts on this matter...I fell into the trap too. Here is what I think would help a lot...ok..some states have a rule that you can have no more than 2 or 3 out at a time...Why don't they create some database that pdl lenders are required to report to that would tell the pdl lender that you have another loan out there to prevent you from actually getting so deep in the hole that you can't dig out...? I think that would help. Put everyone on the same page so to speak, which would also help the consumer. Lets all face it..why did we get 6 and 8 PDL's??? We had to rob Peter to pay Paul back, then when it came time to pay Peter back, we had to go back to Paul and get another loan...lol....people get desparate, and if the PDL lender does not regulate it somehow, then it will always be that way. You can say whatever you want--PDL companies make money off the poor. I was a very faithful customer..never missed a payment, always came when I said I was coming, and always called if anything changed. I had 6 loans. I kept them all good for 2 years. I had a good business relationship with all of them, and referred a ton of people to them. Eventually, I just became weary of never having groceries on my table, gas to put in my car to go to work, and putting off my utilities to the next check. I turned to PDL Assistance, Inc. for help. After 5 months, they have not done ANYTHING for me. Now all of them are in collections....all I am saying is there needs to be stricter regulations. There is a payday loan shop on every corner. Do you think they communicate with each other?? NO THEY DON'T....if they did, then their customers would not get in such bad shape financially....
I will climb off my soap box now....ha ha ha...just friendly discussion....I fully intend to make good on all my debts, but they will work with me on MY terms instead of theirs. I have to have groceries, and gas to get to work...LOL

I applied and was approved for $750. The catch about interest charges is you have to pay about $250 some odd dollars every 25 days. If you do not you are charged a interest fee of $200 more dollars and the way it looks i have gon from $750.00 to $1063.00. I will never do this again.

I agree with trying to get it right. I set myself up. But oh well if it was not for that line of credit. Some very important things would not have been done. Also the representative at the store has advised me the same way. To pay as much as possible and as frequently has possible.

so if you have one line of credit at advance america can you go to a different company not advance amercia and get another line of credit

I am not too sure. But I think they run your information in their database for outstanding loans.So it may conflict affect you applying at other loan shops.

Also it depends on the company, AA does not grant you a LOC based on your credit. So if the other companies you are seeking are unsecured LOC then I do not think it will affect you at all. For example HSBC or Bank of America.

Hope that helped.

I have gotten sucked into this "Line of Credit" thing with Advance America. I chose this option after paying off a $500 payday loan with them, with their encouragement, which was back in early March 2009.

I noticed on the application they asked for the year, make & model of my vehicle, which I thought was kind of odd at the time. But I did the loan anyway.

Then suddenly, last week (early April 2009) I get this interesting notification from Advance American in the mail.

"Due to a recent lay change, we are required to make some modifications to your Line of Credit ... These changes are necessary to allow you continued access to your credit line. The next time you want to access your credit line, please bring your motor vehicle title or registration to your Advance America center. We will make a copy of it and return the original to you. You will also be asked to sign an additional agreement giving Advance America a security interest in the motor vehicle .... If you are unable to provide Advance America a security interest in a motor vehicle, we will be unable to extend any additional credit to you under this new state law."

ARE YOU KIDDING ME? There is noooooo freakin way I'd give them my motor vehicle as "security interest" ... can you say TITLE LOAN???? This shocked me & all I did was laugh and say Nooooooo Way, will I do that! Glad I didn't get forced into doing that when I first started this so-called "Line of Credit" with a 300%+ interest rate on it. Its already gotten beyond what I can afford monthly.

It amazes the Commonwealth of Virginia is even allowing them to do this to customers. I never intended to get anymore from the Line of Credit I already took out, thank goodness. Gonna be hard enough to get that paid down someday, without risking my car being reposssed by them.

Think TWICE before doing this "Line of Credit" thing, I wish I never had. At least with the Payday Loan, the amount I owed was always kept under control.

Whoaaaaa...Imagine the people who get sucked into that and wind up losing their car to boot! Thanks for the warning on this practice. How scary!! The moral of this story is: If it sounds too good to be true, it probably is!!

OMG that is CRAZY!

I can't believe it. That is just wrong on so many levels.

I would contact the VA Attorney general on that. I wonder if they are aware of them doing that.

Yes this is very true. My mother received the same notification letter. She borrowed $300 from them in February and was in the process of paying it off when she received this half a$$ letter

I immediatetly called the store and spoke with the manager on this. She stated that this was new change to the requirements for the line of credit. I laughed and asked for my mom's payoff balance on the loan. She was hesitant to give me the info at first, but she folded once I began to give her hell. I stated my mom will not be providing any car title/registration information and I went in and paid the loan in full.

Unreal to think they can change an unsecured line of credit to an secured line of credit. Apparently someone allowed this and the terms were switched Legaly. I am not to sure if they are using your car as collateral, or want the info to place a lein on your vehicle if you default on the LOC. Whatever it is I am not buying it and I warned my mom to stay away from these places in the future.