Licensed under another state

As I read that particular page, it appears as though it is to refer you to the appropriate state agency to point you to a debt counselor.

At any rate, I asked the NV website if they know why they are the contact info for RI and PA. Hopefully I'll get a response in a day or two.

Edit: I tried to request that info, but I'm not sure that it went through.

Oddly enough, when you go to the NV site and look at the companies licensed there, cashnetusa isn't listed as either a store name or a corporate name . . . . I've got some calls into the PA banking dept to see if I can get some solid info on this . . . .

So I just received a call back from the PA Banking Dept. They said that since there are currently no loans specifically prohibiting these companies from loaning money from out of state that you would be legally responsible for the loan.

Check cashiers are specifically prohibited from giving loans, but out of state pdl places are not specifically prohibited, which is how they get around it. According to the guy I talked to, as long as they are legally licensed in a state that allows such things, PA has no authority to intervene.

He did say to please go to banking.state.pa.us and file a complaint. He thinks that the more compalints they get the more likely the legislature is to do something about it.

He wanted to mail me something, but since i was pretending to be a PA resident I declined. I told him I was currently in Oregon, and he got kinda exciting, asking if I was by chance in Oregon when I took out the loan. I said no, I was in PA.

So what I got from this conversation is that yes, cashnetusa is legal to loan money in PA, even though pdl's are prohibited. But if you were in another state at the time you took out the loan and the state you were in didn't allow pdl's specifically, or had other laws regarding pdl's, then even though you are a resident of PA, you could claim the laws of that state you were in at the time the loan was taken.

I would call the banking dept and see what sort of info they had to mail out. Also, I'd file a complaint with them.

Sorry this didn't pan out the way I'd thought. In my state, Oregon, there aren't any laws except that the pdl must be licensed. The banking dept here really helped me, but I was told by PA that was because of the licensing issue. Since OR does require licensing, the banking dept has authority over these places. Since PA doesn't require licenses, there isn't a specific gov agency that has authority over these places, since in their view they are illegal and do not exist.

I was kinda offended when the guy said "I wish people would stop going on the internet and getting these loans". Kinda rude . . . . .

PDL laws in PA are different. Here, a loan company must be first licensed in their state before they can lend in PA. PA prohibits pdls but a lender licensed in their state is allowed to do business in PA.

mcranberra
I know what law you are referring to, however, click the link listed in my question and look at pa. cashnetusa.com is saying that PA forced them to go under nevada law. Just don't see how that is possible. So is that an umbrella coverage for them? One state prohibits so they just go to one that will let them. Doesn't make sense to me.

goudah2424
Thanks for the attempt. Just don't see how they can say that Pa forced them to go under nevada law. I did a live chat and played stupid with their live help last night and that is what the guy told me.

To put it another way...

Laws state what one is prohibited from doing, and laws state what on must do. Thusly, it is legal because there is no law specifically to ban this PDL tactic.

PA forced them to go under NV law because there isn't a law in PA stopping them from lending in this manner. Perhaps you could look at it like this (even though I myself, strongly disagree with this possible rationale): They aren't lending IN PA, therefore they are lending in NV. As such, they must follow NV laws and regulations. Again, I do not agree that this is logical thinking, but if it is the case, then it means that the legislative process still hasn't come anywhere close to dealing with the internet. But that's my .02

Exactly, that's why the guy I talked to said we need to complain! Then PA will make a law making that illegal.

They are starting to call me and send emails, does anyone know how long they will tolerate non payment. I will have it all in a few weeks, they are not very cooperative on the phone, so I have been avoiding calling them back. At first they were ok, now they are getting pushy.

CashnetUSA is one of the pdl's that is usually careful about following the laws . . . . I doubt they will sue you or do anything but call you for a while . . . . It's annoying and frustrating that they keep calling, but I'd bet it's the worst they will do for a couple months.