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 Posted: Thu Mar 08, 2007 11:49 pm |
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| Quote: | IC 24-4.5-7-401
Term; consecutive small loans
Sec. 401. (1) A small loan may not be made for a term of less than fourteen (14) days.
(2) After the borrower's fifth consecutive small loan, another small loan may not be made to that borrower within seven (7) days after the fifth consecutive small loan is paid in full. After the borrower's fifth consecutive small loan, the balance must be paid in full. However, the borrower and lender may agree to enter into a simple interest loan, payable in installments, under IC 24-4.5-3 within seven (7) days after the due date of the fifth consecutive small loan. |
| Quote: | IC 24-4.5-7-410
Prohibited acts by lender
Sec. 410. (l) Entering into a renewal with a borrower. |
| Quote: | IC 24-4.5-7-402
Requirements and conditions
Sec. 402. (6) A lender shall not enter into a renewal with a borrower. If a loan is paid in full, a subsequent loan is not a renewal. |
I found them really confusing. The second one and the last one say 'renewals' are not allowed, then what does it mean by '5 consecutive loans'; aren't they rollovers/renewals? Can anyone please explain it?
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stanley
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| Posted: Fri Mar 09, 2007 8:03 am |
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please let me know whats up? i was aproved for a loan and i didnt understand every thing she said im a little slow ,please excuse my abilities. and re cap for me please.Thank yoy and god bless
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Kristy Trower
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Debtcc Points: 100
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| Posted: Fri Mar 09, 2007 8:04 am |
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What that means is that you have to pay off the loan each time. You can then right away reborrow. After the fifth time you've done this you have to wait 7 days to reborrow the money.
A rollover/renewal is when you pay only the finance fee, and extend the loan until your next payday.
They are hardly different in my mind. It's a way pdl's get around the no rollover rule in some states.
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goudah2424
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| Posted: Fri Mar 09, 2007 8:07 am |
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One thing I've began to notice - The info on paydayloaninfo.org isn't always correct! For instance they say that you can reloan 6 times before you have to wait the 7 days. I'm looking into which is the correct law.
I've noticed that with some other states incorrect info is also posted.
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goudah2424
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| Posted: Fri Mar 09, 2007 8:10 am |
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Kristy, this site doesn't give loans. This is a message board for debt related issues.
If you know the name of the company we may be able to find the contact info for them and you can call them back.
If it's a pdl you are getting, please read through some of the threads here. They can turn into real nightmares.
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goudah2424
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