Anticipating problems this Friday.....
Date: Wed, 08/09/2006 - 02:07
Christine+7, welcome to the family. :D You have nothing to
Christine+7,
welcome to the family. :D You have nothing to worry about with the online lenders. I have never heard of an online pdl garnishing wages. They have sent wage assignments and some employers have honored them. You need to send a wage revocation letter to them stating that you are revoking the wage assignment. Before anything can be done to your wages, there has to be a court order. I read in your other thread that you live in NC. Payday loans are illegal in North Carolina.
We will help you through this. Stay strong!
Christine--as Tammy said, send a wage assignment revocation lett
Christine--as Tammy said, send a wage assignment revocation letter to them, certified mail (and a fax as backup if you like) to them, and give a copy to your employer.
You've paid back your principal, so figure up what the LEGAL interest according to your state is, and offer that as a settlement in full. Quote your state's law on this letter and let them know you are not authorizing any more debits. Tell them how it is--That you're willing to pay the interest owed according to your state (which I believe you said in the other thread was 8%...Offer them $60...That's 8% of $750) If they don't want to accept the settlement, you're going to report them to your State's Atty. Generals office. This has a way of lighting a fire under their butts...Because they know now that you KNOW the law and their threats have no effect on you since THEY are the ones breaking the law.
Thanks for all you help so far - the help here is truly wonderfu
Thanks for all you help so far - the help here is truly wonderful. Having never dealt with this before I am not sure how to word the wage revocation letter. Simply state "I am revoking the wage assignment" ? I will copy and paste the state's law as well. I am going through CCCA for my credit repair - will they help me on the settlement issue? I know - so many questions...sorry! I am new to this debt consolidation!
http://www.debtconsolidationcare.com/forums/wageassign-legal.htm
http://www.debtconsolidationcare.com/forums/wageassign-legal.html
Check this thread for an example of a wage assignement revoke letter. :)
Don't be sorry, Christine, we've all been there. :)
be sure to send the PDL a copy, and also your employer.
Christine, check out these points. Quote:I see on a page stat
Christine, check out these points.
Quote:
I see on a page stating that they can get into my credit report, discuss things with my employer, and that I have "electronically agreed" to wage garnishment. (Which I would NEVER do!) |
1) Digital signatures are not valid when contracts are done.
2) The term wage assignment should be clearly mentioned in the contract. (You need to thank Jessi for the link she gave you above.)
3) Are you mixing wage assignment with wage garnishment? Check what is mentioned in the contract. Both of them have different procedures. I am assuming it as wage assignment.
Do not worry about wage garnishing. That is illegal for your emp
Do not worry about wage garnishing. That is illegal for your employer to garnish your wages without your permission first in writing.
Also, no employer would actually be that stupid to allow such a thing to happen. They would more than likely talk to you about fixing your finances, but not garnish.
Once a company agrees to garnish, they just made themselves a co-signer. If you ever decide to quit your job, the employer is responsible for the bill.
I agree with the other posters that wage garnishment is unlikely
I agree with the other posters that wage garnishment is unlikely. Obtaining a judgment and then executing on a wage garnishment, assuming they're even permitted in the borrower's state require an investment of time and resources that make little sense on a loan of just a few hundred dollars. Wage assignments are much cheaper, but even when 100% valid employers tend to ignore them. (The employer is not a party to the contract and therefore cannot be bound by its terms.) Too much hassle to set it up with the payroll company - especially for small businesses - and too much legal risk to the employer if he goes along with it.
But there is one statement on this topic that I have to weigh in on. Incrediblehelp . . . how can you possibly say digital signatures are not valid when contracts are done? Digital signatures, are a type of electronic authentication (or e-signature) that has been authorized by federal law (and the laws of 22 states) for use in contracts for more than six years.
The Electronic Signatures in Global and National Commerce Act (E-SIGN Act), 15 USC 7001 et seq. Section 7001(h), reads "A contract or other record relating to a transaction in or affecting interstate or foreign commerce may not be denied legal effect, validity, or enforceability solely because its formation, creation, or delivery involved the action of one or more electronic agents so long as the action of any such electronic agent is legally attributable to the person to be bound."
Section 7003 lists the exceptions, i.e., documents that cannot be "signed" electronically. But these mainly cover wills, court documents and other specialized documents such utility shut off notices and terminations of residential leases. Payday loan agreements - like most credit agreements - don't fall within these exceptions. In fact both the OCC and FDIC have put out advisories to the institutions they regulate authorizing the use of e-signatures for TILA disclosures, etc.
Let's assume some sort of lawsuit or arbitration comes out of this. If Christine+7 claims the alleged e-signature is invalid, she cannot argue that whether she "signed" the agreements or not electronic/digital signatures don't count. The law clearly says otherwise. In fact, the lender's burden of proof is merely to demonstrate that that e-signature is attributable to her and was captured, encrypted and logged in compliance with the Act. The burden of proof would then shift to Christine+7 to prove that
either a) the agreement was "signed" by someone else using her identity without her permission, or b) that her lender altered or manipulated the system. Both are easy things to say and to speculate on. But proving them by a preponderance of the evidence might be difficult. Of course she might have other arguments available to her regarding the contract itself, but I don't know enough about her situation to comment on those. For purposes of this discussion I'm assuming the issue begins and ends with the validity of the signature.
MB's Lovechile--The document that a digital signature is not acc
MB's Lovechile--The document that a digital signature is not acceptable on is the wage assignement authorization. The loan document itself can have a digital signature, but not the wage assignment.
Marcia, I am not clear with your post. If the process involv
Marcia, I am not clear with your post.
If the process involved in the wage assignment gets started with digital signatures only and not signed in person, there are many loan companies pressing on this especially Sonic Payday. They are sending these types of digitally signed papers to everyone having loans with them. If this is accepted, the judge will put a verdict very easily giving space to these scam companies for their illegal actions. It won't be hard for the loan company to prepare such documents with digital signatures.
Actually guys... A digital signature CAN be honored. At my j
Actually guys...
A digital signature CAN be honored. At my job, I would be required to honor one. The whole thing about wage assignments is that they are "voluntary deductions". And you can revoke it at will, unless it's court ordered, and yes...There are indeed court ordered wage assignments..Different animals from garnishments.
Point blank...There is NOTHING illegal about wage assignments. And...A lot of paperwork I receive at work is digitally signed..Marcia is on the money. I recently had 11 hrs of training, and this crap was covered..
Well, thanks to everyone's help! ESPECIALLY the thread to the re
Well, thanks to everyone's help! ESPECIALLY the thread to the revocation of wage assignment. Yes, in my debt stress I did indeed mix the two (wage garnishment and assignment)up. I did fax over the revocation AS WELL AS sending out a certified letter, return receipt. So I should hope this covers me in the event something should try to happen. I will also be giving a copy to my employer. One question, does the employer have to discuss this with the employee should it come up (say they didn't have the wage assignment revocation)? Is that according to company policy or is that something they must do? Thanks again to all who are helping me crawl out from under this mess I am in.
An employer is not REQUIRED to discuss the wage assignment with
An employer is not REQUIRED to discuss the wage assignment with you, but professional courtesy pretty much demands it.
It sounds like you have everything taken care of..Things will be just fine for you.