Payday Lenders In Kentucky

Hi Folks!

I currently have five(5) PDLs out with the following companies(loan amount / amount paid thus far):

VIP($400/$2,000+) - Letter sent informing of ACH freeze, refund and PIF request
GFG Serv($700/$1,750) - Letter sent informing of ACH freeze, refund and PIF request
UnitedCashLoans($500/$985) - Letter sent informing of ACH freeze, refund and PIF request
OneClickCash($450/$270) - Willing to pay the balance(and that's it!)
(fka)FBDLoans/(aka)ThinkCash/(now)Plain Green($800/$1,370)

From what I've read from other threads, the FBD/ThinkCash/Plain Green is a legitimate lender??? If so, is the amount paid to date sufficient for repayment(PIF), or, do I need to continue on paying what they say the remaining balance is(around $500...give or take $100)???

I have been trying to research the Kentucky laws, and what I have come across is that ALL lenders that do not operate within the state, are ILLEGAL(true/false???). Also, that I am only responsible for the principle loan amount. For anyone else in KY going through issues with this, I came across the following site http://www.kfi.ky.gov/ that may aid us in remedies.

Anyone else with information to share, I will be looking forward to your responses.

Thanks in advance!!

Payday lending is legal in the State of Kentucky. I will suggest you to contact the Kentucky Office of Financial Institutions in order to find out whether or not your payday lenders are licensed to operate in your state. If you find that they are illegal, then you can check out the given page in order to know how you can deal with them: http://www.debtconsolidationcare.com...-dealings.html .

Payday lending is only LEGAL in Kentucky if you have a storefront operation, as that is the only way the state will issue you a liscence. Technically, you are not responsible for paying ANY of the loan back as it can't be validated as ALL internet payday loan lending is illegal in the state. As a good faith you should pay back the principal.

No matter what any of the lenders tell you, you are bound by YOUR state laws, which as I said above to not allow internet payday loan lending my any means. The only way that any lender or collection agency could attempt to get money from you is sue you in civil court in Kentucky, which is not possible because any debt of internet payday lending can't be validated.

Ok, first off, FBD/ThinkCash/PlainGreen is an INSTALLMENT LOAN!

It's not a payday loan so the payday loan laws don't apply.

However, if your original contract is with FBD and PlainGreen is now simply servicing the loan, then it's legal.

If you obtained the loan via PlainGreen, they are lending without proper licensure and using the "tribal law" exemption BS. Regardless of their excuses, it's not legal.

So, which is it? FBD or PlainGreen?

The loan originated with FBD. As stated, I'm willing to pay that one since it is a legit lender. Well, I've paid ALL of them(still outstanding with 1Click in principal) I guess you could say.

The others, I have yet to receive responses to the emails I have sent out. Did receive an auto-message from United saying they would review during normal business hours(although the letter was sent during business hours).

If it was FBD then your original contract was with a bank so, yes...legit.

They will sometimes work with you on a settlement. Since you've already paid quite a bit on the loan, try calling them up and asking if you can settle for 1/2 of the balance due, payable over 90 days. It's always worth a shot.

UPDATE:

Received this email from VIP today...

I can assure you that our business and the contracts that are signed by you the consumer are legal. You took out this loan knowing it was a payday loan. When you did the loan you also were asked to save a copy or print a copy of the contract for your own records. Now if you fail to do so then that it is not our fault. We advised you to do this before signing the loan documents. Also with the signing of the documents, it comes from an IP address which can be traced back to make the documents legal binding. Along with you signing the documents it also states you waive your rights in section 4, this is located in the contract I have sent to you. You are a citizen of the state of Kentucky. However, the contract was not made in the state of Kentucky. The contract was completed via the World Wide Web. The governing law (clearly outlined in your contract) which you agreed to by your legal e-signature is based in the isle and providence of Nevis West Indies Bahamas. I will be more than happy to help you with the account to make arrangements on it to pay off or pay down on the loan. I will not be stopping the interest for this is what you agreed to when you signed the loan documents and accepted our money.

I plan to forward it on to the KY AG and Dept. of Finance and file complaints as well.

On another note, is there someone @ the bank I can talk with about recouping funds that caused overdrafts before I was able to freeze the ACHs and close the account?

Go into your bank and discuss the situation. Explain that you did have a loan but that you found out after the fact that they are not licensed to lend. Also, explain that you did not authorize debits past whatever dollar amount the principal of the loan was. You need to express that the company continued to take payments after the loan had been paid in full and that you want to dispute these charges as fraudulent and have them reversed.

Thanks for the info. I will see what I can do with that. Hopefully, I can recover SOME of it. If not, lesson learned.

I've been searching the forum for this and so far can't find it. I took out a loan with Plain Green in April, it was through Plain Green. From what I've read on here they are not legal anywhere. If that is correct, do I just owe them the original loan amount? Since they're not a payday lender, how do I handle them? I've paid $300 on a $700 loan, but they say I still owe $1000.

I really appreciate any advice, thanks!

if the loan was originated through plain green then it is illegal.you only owe 400.00 on the loan.

My states regulator told me that One Click Cash claims they are part of an Indian tribe and are not bound by State and Federal laws.They are not licensed anywhere in the US. I have sent them emails and a certified letter in which I have not received any responses, not even a phone call. I will update with any information regarding this company. In my letter I wrote to them, Since I am do not live on their reservation and I am a citizen of the US, and resident of Florida, I am bound to the Federal Laws and my state laws, not theirs. We'll see if I get a response out of this.

They make it sound as if the world wide web a new form of government and has it's own set of laws. HAHA If they are claiming this then who's to say what laws apply. If the company is lending illegally then the contract is Null and Void per my state regulator. They are just trying to get you to pay. Stand your ground, and file complaints with the proper authorities. I guarantee you your state regulator will see it differently if internet lending is illegal.

If I may ask what right as a consumer did you supposedly waive?

Haven't posted an update in awhile since nothing had really been going on...or so I thought.

1st - Found out that my account was NOT closed, nor the ACH stops put into place due to overdraft(due to the illegal transactions in the first place). According to the person I talked to, they would reverse the ACH, which I THOUGHT would put the account back positive. No. Hadn't received ANY calls from the bank informing me of this until I receive 8 letters in the mail telling me my account was overdrawn $700+. Companies were still running transactions through, and I was still incurring overdraft charges. I'm about to contact the bank AGAIN today, to see what can be done I'm taking it that I need to get transferred to the fraud division??

2nd - Received a call from United Cash Loans (does ANYONE have an address for these people???) yesterday informing me I owed $535. They would take $450 for payoff, or 2 payments of $234. Asked if I could MoneyGram it, the don't accept. Asked for my bank card #, I didn't give. Told me to call back today with a way to settle this matter. This AFTER I had sent the letters out(email) to them. Need the address to mail it certified. Funny thing is, my account information is not listed on the website any longer.

3rd - Received an e-mail(7/08/11) from OneClickCash saying the ACH was not honored by my bank(DUH!) and to contact them. Another reason why I thought the account had been closed...at least the ACHs blocked. I am about to send them the e-mail letter AGAIN, and request a physical address and license number.

4th - Received an e-mail(7/08/11) from Global Financial Services Group(GFG) saying payment had been returned and to contact them. I am about to send them the e-mail letter AGAIN and send cert letter since I now have an address for them. Listed below for anyone who needs it.

Global Financial Services Group
Wickhams Cay 1
Road Town, Tortola, British Virgin Islands
Toll Free (866) 352-6997
Toll Fax (800) 648-1282

5th - Received e-mail from VIP Loan Shop(7/5) stating that the payment was revoked by the bank and to contact them for arrangements. Will e-mail them the letter AGAIN and will try to send a cert mail letter. Does anyone have a physical address for them???

6th - Was contacted by PlainGreen, and since this is an 'installment loan', I have made arrangements with them to send money orders or use a prepaid card.

ANY further assistance/response anyone can lend, I'm all eyes & ears!!!