Response from PDL

Hello,
I found this website a week ago and have been working on getting things resolved with several internet pdl companies that I took loans with.

The one I am writing about today is VIP Loanship. I obtained a loan with them on January 8th, 2009 in the amount of $300. At this point, I have paid them $630.

I live in Iowa and based on what I have found so far, it is illegal to loan in Iowa via the internet PDL's.

Here is a response that I received from VIP after I sent an email regarding my account not being legal in Iowa.

I respect a consumer who researches the services to which he/she uses. With that being said when you applied for and agreed to the terms of the loan it would have behooved you to read the complete contract you were agreeing to. You are a citizen of the state of Iowa, however the contract was not made in the state of Iowa. 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. When you spoke with Jessica on 1/5/09 at 4:50 PM CST, she clearly outlined how the loan works and what the finance charges were, yet you still accepted the loan.

With all the information at hand I am still willing to work out arrangements for the balance that is still owed on your account.. You may contact our offices 8am-5pm CST Monday-Friday. Our toll free phone # is 1-866-598-1100. If no contact is made within a reasonable time the account will be sent to a third party collection agency.

If you have any questions do not hesitate to call or email.

If I understood everyone's comments last week, it is illegal to provide internet PDL's in Iowa, so what recommendation do you have? I have learned so much from this group already and truly appreciate everyone's willingness to assist!
Thanks so much!

that is there typical form letter.they are illegal as all get.what are they gonna do?extradite you to the west indies.puh-lease.send a reply that they are still illegal and if you owe anything you will send it and there is nothing they can do about it.

Tell them that you are a resident of Iowa and unfortunately cannot renounce the laws and regulations of Iowa. Based on this fact, their governing law cannot superceed local laws. Also, advise them to contact the Iowa AG with any questions regarding thier legality in the state of Iowa.

That is untrue and they are incorrect with their claims. Please
reply with the following:

Actually Aristotle, that is basically the letter I used to let them know they were illegal in Iowa. I added information regarding my loan, such as the amount I originally borrowed, the date, and how much I have paid so far.

Thanks everyone for your help. I just wanted to hear that this is what most receive when they contact the PDL's initially.

That is the template for proposal letters used here on the PDL forum. So you should be fine. Fire off the letter every other day untill they retreat. You owe them nothing, they are way overpaid

These stinky crooks use the same letter. They sent the same letter to me. I told her-no go. I don't care about Nevis, this is the United States-Washington, DC and I abide by those laws. Stand your ground with these illegal people.

I have a question, do we contact them if we get a response like this? or do we just resend our original letter stating our laws and that we will only pay the principal?

Jasgal: I personally have already started paperwork with my attorney general and Baking and Securities agency here in DC. I am not going to play with these people. They think you are so scared of them and that everything they tell is the gospel. Well, I am not backing down. They are wrong and I am going to shove the correct information in their face!!

That would be banking agency.

I sure wish I was so strong about it. I am getting better everyday, but in reality I am so scared. I ended up in the hospital last week for stress. I have done so much paperwork, AG, FTC, BBB, Department of Corps.... and I have also been writing letters to the media and Congressman, and anyone else I can think of.. I am hoping that just one person will pick it up and think its worth the fight.

The fact that they won't contact you by mail is a big red flag. The reasons they give (or more likely fail to give) for their lack of paper communication are 99.99% offensive language removed by Shazzers per the TOS. The real reason they won't send you a letter is because they know they are in shady territory and don't want a paper trail. Just block their telephone number and e-mail address and all your worries will go away.

I don't think it's possible to block phone numbers, if I am wrong, please explain how it's done. By the way, ignoring debts won't make them go away.

i know on some phones you can block telephone numbers but i am sure they have plenty of numbers to use (and know millions of ways around that).
jasgal, please do not let this affect your health. they cannot do anything to you at all. they are not legal and can only make phone calls and they will not last forever.

Wish it was that easy with a debt.

Ok here is a e-mail VIP sent me: The part that gets me this is the one PDL I have paid $1202 on a $600 loan and they say I still owe $637.

I am contacting on behalf of your delinquent account with The VIP Loan Shop. I want to inform you that we offer several options concerning your payday loan.

By working with our company directly, you can:

· Avoid further collection activity
· Save up to 35% on balance payoffs
· Make minimum payments as low as $50.00 every two weeks or $100.00 per month
· Avoid your account from being forwarded to a third party collection agency where more fees could be accumulated

I am here to work with you to get your account settled.

Please contact me at your earliest convenience so we can discuss different payment options. Thank you and have a great day!

Angie G.
Collections Department
Phone: 866-598-1100
Fax: 866-287-9563
Email: angie@pdlsupport.com