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Earl · Posted: Thu Jun 26, 2008 8:27 am Subject: Payday avenue help needed

Hi everybody, I am in a mess with payday avenue.com. If anybody has dealt with them I could use some guidance. They won't take any payment arrangements except payment in full or they say they will contact my payroll dept. I have sent my payroll dept. a rejection of the wage assignment and I haven't heard anything back from them. Basically I guess I'm asking 1) does my payroll dept. HAVE to reject the wage assignment if I send them a revocation and 2) what is payday avenue's next step if the wage assignment is revoked. I really appreciate your help and I will be very grateful for your responses.

-Earl

Posted: Thu Jun 26, 2008 8:33 am Subject:

Can you tell us what state you are in. Also how much you have borrowed and how much you have paid so far! If you put Payday Avenue in the search box you will find several threads about them!

Earl · Posted: Thu Jun 26, 2008 8:48 am Subject:

I am in Kentucky. I originally borrowed $200 and paid around $60-$70 in fees. They make you pay the loan in full every payday and then reloan the same day. After doing this a couple of times I borrowed $500 and have been paying $167 in fees every payday (twice per month)since the beginning of March, so probably around 6 times. I don't care to pay back what I owe but I need to do it in installments and they want $767 in one lump sum. They are threatening a wage assignment. I work for the state and I did contact my payroll, which is in another city, to revoke the wage assignment but I haven't heard back from them. Do they have to reject the wage assignment since I revoked it? Also what will this company do if the wage assignment is rejected?

Posted: Thu Jun 26, 2008 9:57 am Subject:

Kentucky State Information

Legal Status: Legal (Applies to check cashers only)

Citation:
Kentucky Rev. Stat. Ann. § 286.9.010 et seq.

Loan Terms:
Maximum Loan Amount: $500
Loan Term: 14-60 days
Maximum Finance Rate and Fees: $15 per $100
Finance Charge for 14-day $100 loan: $17.65
apr for 14-day $100 loan: 459%

Debt Limits:
Maximum Number of Outstanding Loans at One Time: Two ($500 aggregate loans outstanding to all licensees)
Rollovers Permitted: None (cannot renew, rollover, or consolidate)
Cooling-off Period: None
Repayment Plan:

Collection Limits:
Collection Fees: One NSF fee (if disclosed)
Criminal Action: Prohibited

Where to Complain, Get Information:
Regulator: Kentucky Office of Financial Institutions
Address: 1025 Capital Center Drive, Suite 200 Frankfort KY 40601
Phone: (800) 223-2579
Fax: (502) 573-8787
Regulatory Contact: Gary Davis,, Branch Manager
Regulator Website

Licensee Database

Complaint Instructions

Complaint Form Link

Posted: Thu Jun 26, 2008 10:08 am Subject:

I did a search of other threads and these people are relentless. It seems the only way to deal with them is to say you only communicate by mail and hang up. They will contact your employer even if you revoked the wage assignment. There are several members who have dealt with them that are active.I am sure you will get help on this!

Posted: Thu Jun 26, 2008 2:23 pm Subject:

What about the wage assignment? Does his payroll have to reject it because it has been revoked or can they proceed in processing it?

Posted: Thu Jun 26, 2008 2:44 pm Subject:

If it was a voluntary wage assignment, and you have now revoked it, the payroll department should not process it. If it was an involuntary assignment, like child support or a court order, then the payroll department would have to process it, even without your consent. However, if I understand the PDLs correctly (I've never personally had a PDL), then those wage assignments are not legally mandated; therefore, you have the legal right to revoke it, and your payroll department no longer has the legal right to process a wage assignment.

I worked as a payroll manager many years ago, and I'm speaking from that perspective. However, I am in a different state, and, as I said, it was many years ago. To be on the safe side, you might want to contact your payroll department and confirm that they received your revocation and that they will not process any wage assignments for that company.