Can online payday loan companies garnish your paycheck?

jazzy - you've come to the right place for help! Many of us have been in your shoes, you are not alone.

If you can provide us a list of the PDL companies you are dealing with, what state you live in, how much you borrowed from each, and how much you have repaid to each one, we can help you work out a repayment plan to get out of this situation.

To answer your question, internet payday lenders most generally cannot pursue you legally for defaulting unless they are licensed to do business in YOUR state. There are a couple of states (PA is one of them) where the law has a loophole in it that allows out of state lenders to lend into the state, but that's not the case everywhere.

The only way they can garnish your wages is if you signed a wage assignment agreement. However, to be safe, you are best to send them a letter, via certified mail, return receipt requested, stating that you are revoking their ACH authorization to debit your bank account, and that you are also revoking any and all wage assignment agreements they may have with you. Also state in your letter that you will not communicate in any manner other than in writing, and that they are to cease calling your home and your work.

Closing your bank account may be the only way to stop them from debiting your account. Talk to your bank first, however, and find out what their policy is on ACH debits - see if there is any other way to block these companies PERMANENTLY from debiting your account, so you can work out payment arrangements with them and regain control of your money.

The good news about Pa, though, is that they are a non-garn state for consumer debts!! :D

Sue's advice is golden..One thing a lot of people don't know, however..It is more important to have your HR dept have a copy of the letter than the PDL..In fact, you don't even REALLY have to send the PDL company a copy at all! (Do it anyway!) Even though wage assignments are indeed legal, it is always your right to revoke them.

Yeah even if you revoke it with the company, they will try to use it anyway so make sure you send a copy and revoke it with your payroll department FIRST!!! :)

How do you know if they have a wage assignment? I live in NC and I was wondering if your check can be garnished in NC for an unsecured loan from these online payday companies. I know when NC had store fronts they couldn't.

Tell us what companies you are dealing with, and more than likely we can tell you if they use wage assignments. If you are dealing with Sonic Cash or Payday Avenue, they use them religiously.

I the names and need desperately to know if they have wage assignments.
United Cashloans
Web payday
quickest cash advance loan-MTE
One click cash
ameriloan
Magnum Cash advance
Nationwide cash

Please let me know

In NC they cannot do anything without a court order. Do send these companies a letter stating that you REVOKE your authorization to debit your account, contact your employer, place of employment, your references and any wage assignment. Take a copy of these letters to your bank for proof that these companies were notifed and to your payroll department. Might be a little embarrassing, but a little embarrassment now compared to a lot later on. Even though they cannot do this, better to show that you have revoked your voluntary wage assignment than chance it and someone screw up your check. Also payday loans are prohibited in the state of NC! These people cannot do anything to you, other than harrass you, but that is the most they can do.

Forgot to add, I live in NC and went through all this at the first of the year. Hang in there!!!

Thank-you that was great advice. I don't remember signing any wage assignments. So, they will contact my references? I have closed the bank account already and rec'd a call from Webpayday today but I didn't answer. Could you tell me what a wage assignment looks like? Also, can I email them to set up some type of payment arrangements? This wage assignment thing is really scaring me. Did you have to turn in a wage assignment for the company you worked for?

In NC payday loans are prohibited. How much have you borrowed from these companies and how much have you paid back to them?

If I were you, I would tell them that the only way you will communicate with them is via email or USPS. This way you have everything in writing. Also file complaints with the AG and the BBB.

Do not be afraid of a wage assignment. Just send the revocation and make sure your HR/Payroll department has a copy of your letters showing that you are not allowing them to do a wage assignment.

I was not really worried about anything happening as far as my loans went. I had found this site and had done a lot of reading and question asking and learned what they could and couldn't do and they can't do anything!!!! None of these companies are licensed in the state of NC. They are not following NC laws, which they have to regardless of what they say to you. Do not let them bully you or threaten you and they will try, but do some reading and see what kinds of things they will try. Knowledge is a powerful weapon and the more you know the more you are able to stand up to these people.

As far as trying to contact your references, yes they might and they might try to contact your work. Although it might be a little embarrassing, talk to these people and explain what happened and you might be surprised as to how much support you have and how much these people are willing to help you out.

Get your letters done, get copies to your bank, file your complaints and relax a little. It is time to take control of things instead of letting these people control you! It will all work out, trust me. I had like 6 pdls and even though I lost a lot of money, but did get one refund, I learned a lesson and will never use a payday loan again, but I am now in control of my finances and you can do it too. :wink:

Thank-you so much!! I am going to wait until they contact me. Do you think I should ask them if I signed a voluntary wage assignment or should I tell them that I didn't? You are a great help and I hope that I am not asking too many questions.

No, you don't need to ask them that....go ahead and write those letters and put in there that you are revoking any wage assignment that you may have signed. Also get the complaints filed with the NCAG and the BBB. Get all the letters going and emails, get to the bank, get the complaints filed and do not back down from these people. Let them know that you are willing to pay the balance of the principal and nothing else. With the complaints and such, you might be able to get them to go ahead and mark your account PIF, but don't bank on it too much. Tell them you want a mailing address to send a MO (do not send them a check!). If they insist on like a credit card or something, it was suggested on this site to get a prepaid debit card and then give them that number. Then you know that they are only going to be able to get the amount they are suppose to and nothing more and then they do not have your account number. Get a jump on this before they start on you. YOU be the aggresser!!!! (gosh hope I spelled that right)

You are not asking too many questions. You need answers, so ask away! LOL That is why we are here, to help as we have been helped.

Does anyone have these addresses to these companies?
United Cashloans
Web payday
quickest cash advance loan-MTE
One click cash
ameriloan
Magnum Cash advance
Nationwide cash

Web Pay Day
320 W 200 St
Ste 350-B
Salt Lake City, Utah 84101
1-800-814-5451
Ken Collom email: kcollom(at)webpayday.com
He got my account WAY straightend out. Very easy to work with.
ameriloan, One Click Cash, Quickest Cash Advance
They have a million addresses. They are all:
MTE Financial
515 G S.E.
Miami, Oklahoma 74355
1-866-213-0268
They are VERY ugly to deal with. Just a warning!

Cannr do you know if any of these have wage assignments when you apply for the loan?

sfate, no, they did not. However, I sent a revoke letter stating that I revoke any wage assignment that I MAY have signed. I knew I didn't sign anything, but just to cover myself, I sent it anyway. I didn't want anyone coming up to me later saying that I had. So.......just to be on the safe side, they got the letter revoking it. Even though it didn't exist. LOL! I'd do it just to cover myself. Documentation, my friend! Whatever you have in print works in your favor.

You can NEVER be too careful when dealing with these places!! Just when you think you are in the clear and have things worked out, like a snake they will slither out of a hole and bite you!! Please revoke wage assignments from all of them, just to be safe!!!

Can anyone provide an example of a letter revoking wage assignments?? I'm not good at that kind of stuff and I need to get one to my hr department asap.

thatkind, it's really not complicated! All you have to do is be short and sweet. Put the pdl name and address at the top. To Whom It May Concern. Then type that you revoke any wage assignment that you may have signed with their company (state name of pdl). Type your name and address. Don't sign it. Just type it. There are links on here for examples of letters to go by. Feel free to take a look. But, honesty, I just typed up the letters myself - short to the point - and away they went!

cannr is right. All you really have to say is, "I hereby revoke any voluntary wage assignment I may have signed." That's really it-nothing fancy! :)

Thanks. I wasn't sure if there was anything specific that I had to put. Funnily enough, that's the only sentence I could come up with.

Then you are on the right track!!!! :):):)

Definately you are on the right track with this advice that everyone has given. I will also add that when you send this letter to Payroll (and even if you don't think you signed a wage assignment always good to do this anyway) be sure to call and confirm that they got it and get the name and extension of the person you spoke with.
Also, these companies wouldn't dare taking you to court, because then they would have to tell a judge why they are breaking the law themselves!

My employer received a letter from Tremont Financial and they are taking 25% of my check each pay period. Is there any way I can resolve this without them taking this much money out? HELP!!!!

Did you send letters revoking any and all wage assignments?
I believe that for any one to garnish your wages it must be court ordere. I am surprised that you company is allowing this. Definately speak to them about stopping this. 25% of your salary is even more than the IRS can legally take

gemini, is this just a letter from Tremont? Has your employer received anything regarding this? In order to do a wage garnishment, they would have to get a court order. Is this a "wage assignment"? I'm so confused. And it the only documentation from Tremont? And they said they're going to take 25% of your paycheck? Hello!

That is the way I understood it too Kash that they need a court order in order to garnish. I used to work for an attorney and that's what we had to do in order to garnish. I am not sure about these wage assignments though. I don't know the difference...can someone explain it to me.

ladybug

A wage assignment is voluntary. Your employer does not have to honor it. But, if anyone has signed anything stating they give permission for a wage assignment, they must revoke it immediately. Even if you're unsure of if you signed one, just revoke it anyway saying "I revoke any wage assignment I may have signed with (name of pdl) and any of your partners or affiliates". Done. If the pdl attempts to send a wage assignment to your employer, they do not have to honor it. However, you must first revoke it before they get the chance to send it to your employer. They then can basically throw the stupid pdl's wage assignment request in the garbage. A wage garnishment is just what we stated. You are correct. They would have to get a court order to get a wage garnishment of your pay. And, I really do not see any illegal pdl getting a court order to garnish wages. A legal/licensed lender? Yes. An illegal pdl? No. Does this make sense now? There is a big difference. Wage assigment - voluntary. Wage garnishment - court order.

Can they send the police to lock you up if you haven't paid back a loan. Am getting harrasing phone calls telling me they are going to send the police to my job or they are a private invest. They need to know my place of business. They are really getting on my nerves,and I was willing to stel.with them,but they said I own 1500 on a 150.00 loan.

Deejay, no one can send the police for you. You can not get arrested for not paying a payday loan.Please tell us the pay day lender, and what state you are in. Is this an internet loan or a store front?
Again, not to worry, they are just trying to scare you into paying them. get us the info, and we can help you.

no,they can't send the pollice.it is a scare tactic pdl's use because they have no legal grounds.most debts are civil matters not criminal.

I live in NC and according to my payroll rep. The only thing you can get wages garnish for is State and Federal Taxes, Student Loans and Child Support. I agree with the other posting that NC does not accept wage assignment at all. You might want to contact the NC attorney general office and the payday loan company's attorney general office as well.

No they can not. In NC the only thing that can be taken out of your check is Child Support, State and Federal Taxes and Student Loans. Also NC does not accept wage assignments or garnishments. So you can tell the payday company nice try but sorry no can do. 8)

I live in Arizona and I just got a call from HZB Financial Service in Riverdale, Ga , telling my about a pdl from about two years ago. The pay day lender is Ace Cash Express and it is a store front lender. My question is can they send the police to arrest me for this. I told them that I can pay them, with small payments but they wanted the money right away. I told I'm not working at the moment. So, he said a Sheriff will come to the door to serve me. Please Help!!

I know that you are scare and fustrated but do not worry. They are using that as a scare tactic to pay more money or on their terms. What reason would the Sheriff have to come arrest and how is this under their jurisdiction. I am surprise at the tactics of some of these people.

I live in Mississippi . I wanted to know the laws with payday loan companies on the internet. I have three which are thinkcash, us fast cash, and unitedcashloans. I am trying to work a payment plan with them. do you think that they will set up a payment plan. i am not having any money really left over out of my paycheck. i am trying to get out of this mess and i will not get in it again.

tiffany can you please set up an account so i can send you quick messages?

I have just defaulted with three payday store front lenders, Fastbucks, EZ payday, and Checkmate in Colorado. I also have loans with Unitedcashloans, 500fastcash, and cashnetusa. do I send all these people leters revoking my wage assignments? :oops:

greetings shuggs.first the storefronts and CASHNET USA are legal and can take legal action i would try to work out a payment plan with them.CASHNET is known for working out payment plans.as for 500fastcash and unitedcashloans.both are part of MTE and most illegal.how much have you borrowed and how much debited from each total.if the amount debited is equal to or greater than what you borrowed you owe those two nothing more.as far as those two go i would revoke any wage assignments asap.

I have payday loans with Webpayday, Cash Advance Networks, B.I.G., and Paycheck Today. I live in Virginia and they keep calling me a threating me to garnish my check. I need to know what a revocation assignment looks like. Can they do anything to me in VA?

I have taken out payday loans this year(2008) due to medical reasons. I have some companies refusing to take a money order and wanting a bank account or credit card number or a money gram. Money grams cost sooo much money to send. I have a company from London that is telling me they will garnish my wages for $115.00. Is that possible?? I am making arrangements with these companies and trying to pay them off, but can that really take money from my checks? Anyone?

I have B.I.G, cashspot,worldwide cash, hushawk and nevis. ANd maybe one or 2 more. I live in Florida can they garnish my wages?

Use a prepaid Visa or Mastercard for the exact amount you owe then reload it for the next one you pay.

I also got a payday loan from midland back in November then lost my job and was unable to repay it. since then ccr has gotten my loan from midland and are calling me threatening me all the time with legal action. I saw online and here that is isnt even legal for them to of given me the loan in the first place so I reported midland to the BBB and am filing a complaint with the NC attorney general about ccr. I called ccr and told them this and told them I did not want them to call me anymore that I wanted all contact to be thru the mail so I can have them for the AG, they immediately call me back and tell me that the loan was legal since it was done online and that they will not make it paid in full like I requested. I know that the loan was not legal so I guess I make the complaint to the AG and let them handle this right?

yes.that is a line illegals like to use.storefront or internet the pdl's must follow your state laws.therefore this place is illegal.

does someone know the name of the pdl company with this number. some guy named cris called me today and was a complete azz i tried to make a arragement with them and he refused. i am trying to find out the name so i can take care of this problem. please email me and let me know if you can help.

Geneva Roth / Loanpoint USA

"yes.that is a line illegals like to use.storefront or internet the pdl's must follow your state laws.therefore this place is illegal.
"


This is true. If you live in NC and get a PDL over the internet then the comapny is doing business in NC.

I just found this site and need to know where to start. Do I need to join or can I just start sending messages and get advice?


Desparate!