My mother took out a bunch of payday loans (i wish she had called me i would have lent her money) and i informed her that they are illegal in our state (NJ) and that she only owes the principal balance on moral grounds (i am a federal LEO). I called the loans for her and worked out arrangements but one loan was sold to a collections agency called "NCA". They agreed to settle the 300 dollar loan for 300 in 3 payments of 100 dollars each wednesday (when she is paid) but they took out 300 on TUESDAY and threw her bank account into the negative and now she is hit with 6 O/D fees. I'm considering telling her to dispute it with the bank and have them do an ACH stop and then collect the O/D fees back, then send a cease and desist to the collector as, in my legal opinion, she owes absolutely nothing under these contracts. is this the right thing to do or should i be having them set up a repayment plan alternatively? i don't think she should trust them and in my view she should forget about it and send them a cease and desist to get them to shut up. but again, i don't know if that would be the right hing to do. please advise. thanks! charlie
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