Drowing in Payday Loans....need help!

Like many of you, I am drowning in payday loan debt. I filed Chpt 13 Bankruptcy about 3 yrs ago mainly because of the same thing. Unforseen issues have caused me to get back into the payday loan trap. I live in Alabama and between my husband and myself we have 7 pd loans totaling about $3000. . All of our loans are through internet based companies. The list of companies is below along with the amount borrowed.

Integrity Advance - $500
Titan Group - $300 - been paying finance charges of $90 every pay period since Dec.
Jupiter Funding - $250
Cash Central - $400
Speedy Cash - $500
Sonic Payday - $750
One Click Cash - $400

What is the best way to get out of these loans? Should I try a payday loan consolidation company or is there another way? Are all of these loans legal in my state (I think they are, but not sure). I have tried paying one off and not reloaning, but that hasn't helped because I something always happens and I have to reloan. Because of these loans, I go overdrawn in my checking account pretty much the same day I get paid. I am so tired of this roller coaster and the stress.

Read the article in my signature link. It will help you a lot. You really should start by closing your account and getting a live check. Then you will have your life back.

Cash Central and Speedy Cash are your only licensed lenders.

You need to close your account. Then call the 2 licensed lenders and set up alternate payment arrangements. Do NOT give them (or anyone) your new account info. Use a prepaid debit card or mail money orders to pay them off. See if they will set you up on an affordable extended payment plan.

After you have a new account, send the unlicensed lender letter (email is fine) to the others. File complaints with the Attorney General of AL, the FTC, the state of AL Banking Dept and the BBB if you like.

We suggest repaying the principal of the loan only. If you've already paid that in fees/rollovers/interest, then you're done. You can also request a refund of any overpayment if you like. If you still owe something, request a mailing address and be clear that you will only pay via money order.

You can find a sample letter and read about many others' experiences here.

I am the op of this thread. I finally registered.

According to AL state laws, it's illegal to close an account on which the payday loan was written on. With that being said, what can I do? I'm so tired of these illegal companies taking my hard earned money. Today is payday and I am already overdrawn due to these vultures. I am desperate!

First check and see if these lenders are legal to lend in your state. If they are not then I would think you could close your account based on fraudulent activity. You need to call your state regulator and get this information. If they say you cannot close the account based on this, I would find some other reason to do it. They cannot prove you closed it due to payday loans. You could just say you want to change banks.

That law applies to licensed (legal) lenders. Which is why I suggested you contact them first to set up alternate payment arrangements. Those laws do not apply to illegal lenders.

After sending out letters to my illegal lenders, I finally received one positive response from Jupiter Funding. See Below: Even though this is just one, I I realize that there is a light at the end of this long tunnel.

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While we appreciate your response in regards to your outstanding loan, we would also like to make you aware of the fact that you voluntarily entered into this loan agreement, and it is in no way misleading. We strongly believe in complete honesty and transparency in our business; we believe this is necessary to help build strong relationships with our clients.

Jupiter Funding Group LLC provided full disclosure at the time of loan, outlining the terms of the loan as well as applicable fees and the fee schedule for the loan. We also informed you that if after 24 hours of signing the agreement that you are not in agreement and do not wish to keep the loan, we will gladly reverse the transaction without any fees within 24 hours after the loan has been funded. In addition, we encourage all of our clients to call us and ask questions if they do not understand any of the terms on our website.

Our goal is to provide the best customer service to each and every one of our clients that comes to us with a short term cash emergency quickly and efficiently to help them get thru their financial crises.

Jupiter Funding Group is eager to resolve your loan dispute in a fair and equitable manner. We accept your offer to pay back the loan as you have mentioned in your email, as quoted for your reference- “I am willing to pay the principle amount of the loan only which is $250.00 in 2 bi-weekly payments of $125.00 each. I will mail the first payment via money order to the mailing address on your website by the 22nd of July. “ We ask that you honor your loan agreement and submit the balance of $250.00 of your principle payment to close out the loan.

Please remit payments to:

Jupiter Funding Group, LLC
11654 Plaza America Drive , #284
Reston, VA 20190-4700

Please include your name and the last 4 digits of your social security number to match your loan records.

Sincerely,

Jupiter Funding Group, LLC

Hi,

Since you say that you've already filed bankruptcy due to being overburdened with payday loan debt, I feel this time you must go for payday loan settlement. You have too many payday loans and thus you must be going through financial hardship while paying the balance and the interest rate on all of them. If you find out that the payday loans are legal in your state, you have to repay both the principal and the interest rate.

Go to a payday loan settlement company and they will negotiate with your lenders in order to reduce the amount that you owe. With effective negotiation, you can certainly reduce the amount that you actually need to repay your lender. This will facilitate the repayment procedure thereby making you debt free sooner.

I'm sorry but did you read this thread? This person only has 2 loans that are legal. The others are not. They're already having success at setting up payment plans to pay off the principal of the illegal loans?

Why one Earth would the OP now turn around and pay a consolidations company? For 2 loans? Especially when they're 1) already doing it for free on their own, and 2) most payday loan consolidation companies are just illegal PDL lenders hiding behind a different company name so they can rip you off more.

I'm really getting annoyed with this nonsense.