Help needed in Iowa- What are my options?

Hello,
Unfortunately, after separating from my husband and having some major unexpected medical bills, I am caught in the payday loan cycle and I can not get out!

I was paid today and from a $1500+ paycheck, I am in the hole until my next payday!

I have both store front loans and internet loans. If someone could advise on what my next steps should be, I would greatly appreciate it! If at all possible, I do not want to have to close my account. How do I know if the internet companies are legal or licensed?

State of Residence/Work: Iowa

Store Front loans
Advance America- borrowed $445- owe $500
Check n Go- borrowed $445 - owe $500
Hometown Cash Advance- borrowed $445 owe $500

I have a very good relationship with the people that work in the store fronts, so I will be paying them 100% of what is owed to them. (just not on time this week)

Internet payday loans

GRC-orginal loan date- 2/18/09- original loan amount $400- Payoff $520- Paid so far $480

GECC (answers phone as Cash Direct Express) - Original loan date 12/18/08-original loan amount $400, payoff $354.20, paid so far $936.20 (ouch!)

VIP Loanshop- Obtained 1/8/09- Original loan amount $300, payoff $390, $630 paid so far

Ameriloan- obtained 3/26/09 for $450, payoff amount $585, Paid so far, $270

ACC (American Consumer Credit) (answered phone as Cashspot.com) obtained $500 on 1/15/09- payoff amount is now $437.50, paid so far $825

Payday Yes- obtained $450 on 2/3/09, payoff is $585, paid so far $750

Pack Management/B&L- I am unsure when this was obtained because my online statements do not go back that far and I am not able to get in contact with anyone at the numbers I have for them. One is a fax machine and another one is no longer in service. I know the orginal amount is $300 and the payoff is $390 and I have been paying on this awhile.

United Cash Loan - unable to contact- called a number found online and it has a message on their answering service that says a weasel ate their phone system! I know the orginal amount is $300 and the payoff is $390 and I have been paying on this awhile.

Thanks to anyone who can provide some insight on this matter! It is greatly appreciated!

All of your internet loans are illegal as Iowa does not allow them.

As for your storefronts, you need to work very closely with them to avoid them hitting your account with an ACH. Call them immediately to avoid the possibility of them depositing your check. If they will give you an additional 2 weeks to pay, then it will only cost you the late fee of $15. Communications is the key!!!

Thank you for your quick response. What does it mean to me if they are illegal in Iowa? What actions do I need to take and how much more will I need to pay them if any?

I do work closely with the store fronts when I am unable to meet my due date.

Thank so much for your help!

Thanks for your quick response. I do stay in close contact with the storefronts when unable to meet my due date.

What does it mean to me when you say the internet loans are illegal in Iowa? What should I do to stop the madness? Do I need to contact each one via email or letter to let them know they are illegal and that I have paid X amt. compared to what I actually owe? Thanks for your help!

It means that for the illegal loans all you need pay back is the amount that was borrowed. It looks like several of yours are already paid.GRC, GECC, VIP, ACC, Payday, And United Cash, are all overpaid and you are done with them Fact is they owe you money

Well this is great news! Thanks so much! I would be happy to just be done paying them and not even car about getting the money back that they owe me at this point! Now I will have to figure out how to cease all of the ACH before my next pay day in two weeks!

one more question.....

one more question....
how long does it typically take to get them to stop ach'ing our you my account if I contact them with the facts? Thanks!

The illegal lender will not stop. They will continue to take fees over and over and nothing goes towards the loan. Your best bet is to close your account.

You can go here and read up on the steps to take when dealing with illegal lenders.

You will need to send a letter to each AFTER you close your bank account.

You only owe them the amount you borrowed. All fees or rollover charges you have paid go towards that amount.

is closing my account my only option?

You can try blocking the ACH or placing the account on deposit only.

The only think with blocking the ACH is that they may have other names and sister companies and when they can't get the ACH to go through they just use one of their other names.

Since they are all illegal, closing it mught your best option. I know it is a pain but better then them continuing to take money you don't owe.

Thank you so much! You have made my day, possibly my month! Is that a light I see....at the end of the tunnel? Thanks again!

Happy to help and keep us posted. Don't hesitat to ask more questions or advice.

Hanna, I so appreciate your help on this matter. I am not finding where it tells me that Internet PDL's are illegal in Iowa. I tried to contact the number at the bottom of the Iowa laws to confirm this and was told the person I need to speak with is out of the office until Monday.
Thanks so much!

Not all are illegal, only internet. The PDL must be in the state and licensed in the state.

Regulations $x=Advanced#0-0-0-90623]here

I am actually an owner in Iowa and had an indepth conversation with Stuart at the IDOB and my auditor just before Christmas. I can assure you that if they were legal in Iowa, I would have a site up and running in about 2 days.

The wording in the current regs state (summarized) that you must be in a facility to sign the agreement and provide a check, therefore an online transaction is not available to PDL borrowers in Iowa.