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stressed-d1 · 09-03-2008, 03:55 AM

I have loans through magnum cash advance, 500 fast cash, b&l marketing, one click cash, and zip19. Are any of these companies illegal? I live in ohio

Shazzers · 09-03-2008, 04:51 AM

None of those are licensed to lend in Ohio, CLICK HERE for the Ohio licensee data base.

Quote:

Ohio State Information

Legal Status: Legal (Applies to check cashers only)

Citation:
Ohio Rev. Code Ann. Â§Â§ 1315.35 et seq.

Loan Terms:
Maximum Loan Amount: $800
Loan Term: Max: 6 months
Maximum Finance Rate and Fees: $10/$100 + 5% per month
Finance Charge for 14-day $100 loan: $15
apr for 14-day $100 loan: 390%

Debt Limits:
Maximum Number of Outstanding Loans at One Time: One
Rollovers Permitted: None (cannot refinance)
Cooling-off Period:
Repayment Plan:

Collection Limits:
Collection Fees: Bank charges (if disclosed); $20 collection charge; Court Costs; damages
Criminal Action: Not Specified

Where to Complain, Get Information:
Regulator: Ohio Division of Financial Institutions
Address: 77 South High Street, 21st Floor Columbus OH 43215
Phone: (614) 728-8400
Fax:
Regulatory Contact: Robert M. Grieser,, Deputy Superintendent for Consumer

Shazzers · 09-03-2008, 04:52 AM

I hope the information below will help you.

Quote:

You are only obligated to pay back the principal amount you borrowed from an unlicensed/illegal Internet Payday Lender.

What should you do?
Close your account asap, if you are unable to close your account, go into your bank and ask to speak with the Branch Manager, tell him/her you need a hard debit block placed on your account immediately! Explain that you are revoking ACH authorizations from unlicensed/illegal companies, and have learned these companies are notorious for ignoring revocation, therefore it is important to BLOCK any withdrawal attempts on your account to protect your interest. This is your privilege, do not accept no for an answer. The following link will provide you important information regarding closing accounts. CLICK HERE

What next?
AFTER your account is secure send each pdl (the unlicensed and illegal) an email similar to THIS (please scroll down to locate letter template). Tailor this letter to your needs, and try to write it with the same basic concept in your own words. You will need to research and locate email addresses/physical addresses if you don't already have them, I suggest that you type the name of the pdl (example: "oneclickcash address") in the search box in the upper right hand corner of this forum. You may also search for addresses HERE at the Better Business Bureau.

File complaints: Most of the time, you can file a complaint online with the following, I encourage you to follow through with doing so, you will need to search the Internet for your state Attorney General's website, however, here are links to file complaints for the FTC, Online complaints: Federal Trade Commission., and the BETTER BUSINESS BUREAU.

Keep in mind that you may not receive a response for days, or even weeks, or, you may receive harassing and threatening phone calls. I have found the best way to deal with this is not to respond or reply, simply hang up.

Side note: If you have paid an illegal/unlicensed payday lender above and beyond the principal amount you borrowed, it might be a good idea to demand a refund and a paid in full letter/receipt. You may or may not get one or both. It still doesn't hurt to include that tidbit in your letter.

stressed-d1 · 09-03-2008, 05:05 AM

So since these companies are illegal, how do i get out of them? I have paid 4 rollover fees on 3 of the loans which amounts out to be more than the principal amount borrowed. Are these loans considered to be paid in full then? Zip19 is the only one where I have to pay off the full amount every two weeks

Shazzers · 09-03-2008, 05:09 AM

Read the post above you, follow those steps and you should be alright. Don't pay Zip another dime, you do not owe them any more money, if anything, they owe YOU money.

Shazzers · 09-03-2008, 05:11 AM

Here's a letter but I would encourage you to tailor it to your needs.

This gives you a general idea, however, some parts may not pertain to you. Make sure you read it over carefully.

Quote:

Date:

Name Of PDL

Your Name
City, State
Account #

After doing research regarding Internet payday loan laws in the State of _______, I have found that your Internet payday loans are actually illegal. I have also found the following laws to be true applying to payday loans in the State of _____ in general:

Your State Information

I hereby revoke any and all ACH authorizations with your company from debiting any of my personal accounts, per Federal law, Regulation E Section 205.10 Preauthorized transfers. I have closed my account with the XXXXXX to protect my interest in this matter, per instructions from The _____ Department of Finance. I also revoke any and all wage assignments I may or may not have signed with your company, I no longer authorize you, your company, or your affiliates to attach any part of my wages or contact my employer for your collection purposes. I have notified my employer about this matter so any attempts to do so on your part will be rejected.

I demand that any contact be made through US Postal mail or email only. I will need everything in writing to keep accurate records of all communication as per instruction from my Attorney General's Office.
I prohibit you or your affiliates to contact me via telephone at my place of employment or my home
telephone number. I also prohibit you from calling my references listed on my loan.

Due to the fact that Internet payday loans must be licensed in the state of ____ to be a legal and binding contract, your company should NOT issue loans to ____ residents at all. I am requesting that you send me your license number which enables you to offer loans to ____ residents.

The legal amount that could have been charged to my loan is the principal amount, even IF your Internet pay day loan were legal anywhere in the U.S.. I am willing to pay the principle amount of the loan only, however, this is only if you provide me with a physical address where I can send payments.

I must also inform you that I will be filing complaints with the Better Business Bureau, the Federal Trade Commission, and the ____ Attorney General's Office.

I expect a response from your company no later than 5 days from the above date regarding this matter. This response may only come via US Postal mail or email. No telephone contact is permitted.

Sincerely,

Your Name
CC:
Better Business Bureau
Ohio Attorney General
Federal Trade Commission

Shazzers · 09-03-2008, 05:14 AM

Quote:

So since these companies are illegal, how do i get out of them? I have paid 4 rollover fees on 3 of the loans which amounts out to be more than the principal amount borrowed. Are these loans considered to be paid in full then? Zip19 is the only one where I have to pay off the full amount every two weeks

Yep, paid in full, do not let these people intimidate you or try to make you believe that you are bound by their laws, YOUR state law prevails, period. PLEASE file complaints with the Ohio Attorney General's office and the others, all the links are in the post above and the Ohio Attorney General's link to file complaints are in my signature.

stressed-d1 · 09-03-2008, 05:20 AM

Ok great..Thank you so much!

Shazzers · 09-03-2008, 05:46 AM

You're welcome, please keep us posted!

05-13-2009, 09:49 PM

I'm reading this and i'm starting to panic. I just got approved Wed for a small loan from zip19. They said that they will put the money in my checking account on Friday. They also said that in 2 weeks they will debit my checking in order to pay back the loan. Should i be concerned about this or what? :?:

Cool_Abyss · 05-14-2009, 10:05 AM

Please, Please cancel the loan immediately. It will end up costing you more than you bargained for. If they deposit the money I suggest having your bank reverse the transaction.

06-14-2009, 06:50 AM

i just got approved for a 500 loan with zip19. If the company is ILLEGAL then why they want shut down completely over the US? i know North Carolina do not have them anymore, but still that is like running a SCAM to rip people off. :evil: why the operations have not been shut down!!!! i have loans through USFaSTCASH, and ZIP19 are they illegal in northcarolina?

paulmergel · 06-14-2009, 01:44 PM

all pdl's are illegal in NC.the reason none of the mentioned have been shutdown is because they give money to some tribes to get a tribal exemption.they can't be shutdown.that doesn't mean they are legal.in fact i don't know any AG'S or other government entities that consider them legal.again,no loan is legal as pdl's are prohibited in NC.