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internet payday loans in Philadelphia

Date: Mon, 07/23/2007 - 09:12

Submitted by anonymous
on Mon, 07/23/2007 - 09:12

Posts: 202330 Credits: [Donate]

Total Replies: 60


HI
New to this site. I have 7 internet payday loans. I see alot of people saying they should be paid off because in certain state's how would I know where to find that out and also what is a cease and asst letter?


If you want to post the names of the companies you are dealing with, we may be able to help you find them. Otherwise, I'd look in the state that they are located in first, or call them up and ask them where they are licensed. Sometimes they will tell you, other times they will lie, so it's hit or miss.


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 10:25

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You can start weeding down by asking them
for their State ID # or EIN # to prove
that they are a legimate company and
contact the FDIC to validate them.
Especially if they won't let your Bank
do a wire transfer to their Bank.


lrhall41

Submitted by on Mon, 07/23/2007 - 11:31

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Huh? The FDIC has nothing to do with state licensing of payday loan companies . . . . And you wouldn't want them to do a wire transfer. I don't know if the above response was to another post, but i'm confused . . . .

I know that cash2day4u is not licensed anywhere, and tendollar is MTE (right?) so they aren't going to be licensed anywhere either. I'm checking on the rest, but odds are pretty good most if not all aren't licensed anywhere, although i think payday select is licensed in DE.


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 11:37

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Wow 7 of them?
Start weeding them down by asking them for their State ID or EI Number that proves they are registered
as a Payday Lender, your bank should be able
to wire transfer payments to their bank.
They will ask you why you need that information
but there are a lot of "payday" websites
that are not legit. GET EVERYTHING IN WRITING
including why they won't give their State ID
or EI #.

Check your state usury laws and pay day lending
laws. Review the Rico Act. For around 75.00
look in your local phone for a Consultation
with a Consumer Law Lawyer.


lrhall41

Submitted by on Mon, 07/23/2007 - 11:40

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Um, DO NOT do a wire transfer from your bank to theirs! You should only pay them with money orders or some other way that will NOT give them any account information.

Also, their EIN number will only show you that they have a license to do business. That is different then a license to do payday lending. That is a completly different situation. The state ID number or EIN will not help you.

Also, again, in PA they have a "loophole" that allows companies not physically located in PA to lend to PA consumers over the internet without a PA license, as long as they are following the laws of the state in which they are licensed. This information can be found on the PA dept of banking website, under laws and regulations, interpretive letters, commerical code.


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 11:45

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If they are not licensed then you only would owe them the principle amount borrowed. So if you've paid them more then you borrowed in fees then you need to request a paid in full letter (more on that later).

Please read this thread about closing your account:

http://www.debtconsolidationcare.com/paydayloan/close-account.html

See what your bank can do to stop these debits.

You need to also write them letters revoking any authorization to debit your accounts and any wage assignments.

This loophole isn't the greatest thing, but it isn't really that bad because most of the companies you are dealing with aren't going to be licensed anywhere. The ones that are licensed you will need to make some sort of payment arrangements with.


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 11:55

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In the letter you pretty much need to have the following points:

1. You revoke any and all authorization you gave to debit in any way any account you may have.

2. You revoke any and all wage assignments you may have signed.

3. Since this company isnt' licensed, and you have paid more then the principle, you request that your account be marked paid in full, that no further collection activities are initiated against you, and that your account status is updated as paid as agreed with any reporting agency.

4. If you haven't paid back the principle, or the company is operating legally, offer up payment arrangements you can afford. Send only money orders or other source of payment that doesn't have any account info on it.

5. Send this letter certified mail. Keep a copy.

This is just an outline of the things you need to include, and i'm typing fast so I may have left something out - If you browse the forum here you will read other's experiences and such and will be able to glean from the posts what sort of information you need to include.


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 11:59

( Posts: 7935 | Credits: )


goudah,

You are correct, there is no way that a PDL company should ever get bank information once the initial account is closed / frozen / blocked et al. However, with respect, I don't know if you are entirely correct regarding the "loophole" in PA law if the letter I am reading is the one you referenced. You responded to a thread that I had started a while ago with the same information, and while you may be correct on one level, I think it isn't set in stone. Is this the letter that you are referring to?

banking.state.pa.us/banking/lib/banking/laws_and_regulations/062405.pdf

If I am reading that correctly, in this letter it is explicitly stated that interest shall be no more than 7% apr and the minimum loan term shall be 1 year. If I am interpreting this letter in the correct way, that would immediately dispense of iPDL companies as far as being protected with this law.

Maybe I'm wrong, I'm just presenting what I have come up with.

Either way, to the original poster, goudah is right for sure about the bank account. NEVER, EVER, give any new account information to PDL companies. They will debit debit debit until the cows come home.


lrhall41

Submitted by tukkitrocks79 on Mon, 07/23/2007 - 12:05

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That is what the company that the letter was addressed to was planning on doing - Lend for a term of 12 months at 5 - 7% interest. That isn't the law, just what this companies "plan" was.

Quote:

You indicate in your letter that, within 12 months, the Company intends to make consumer loans via the internet to Pennsylvania residents that will have a minimum amount of $10,000 at initial interest rates of 5 to 7%, based upon current interest rates.


I emailed back and forth with James Keizer, the guy in charge of regulating pdl's in PA. This was the emails:

[quote]Emails to and from PA Banking Dept

Hello,

I have a question about payday loans in Pennsylvania. Does the small loan rate cap of $9.50 per $100 per year discount or 24% per year apply to these loans? I took out a few on the internet and am trying to figure out how much I legally need to pay. For instance on a $200 loan would I be legally responsible for paying back only $248?

Thanks!


Reply

Dear Ms.:

The 9.5 discount and the 24 % simple interest refer to calculations that can be used by companies that are operating in Pennsylvania and are licensed under Pennsylvania????????s Consumer Discount Company Act. With a number of exceptions, a lender that is located inside of Pennsylvania and who does not have any special lending authority (i.e., a special license or charter) who is making smaller loans not secured by real estate can only charge interest at a rate of 6% simple.

A lender that does not have a physical presence in Pennsylvania but who has lending authority from some other state can generally charge the interest rate and finance charges allowed by that other state.

The Department may or may not be reviewing this policy and I would not count on this e-mail as an interpretive opinion before starting any lending or business operations.

James Keiser | Administrator Non-Depository Institutions

17 North Second Street, 13th Floor | Hbg PA 17101
Phone: 717.783.8242 | Fax: 717.787.8773
jkeiser(at)state.pa.us | www.banking.state.pa.us [/quote]


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 12:13

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I do agree that it isn't "set in stone" though. It is just the PA Banking Depts interpretation of the law. But it is what they tell any company lending over the internet. So I would think that if something ever went to court the ipdl would have a good defense, seeing how the state itself told them it was okay. Most payday loan laws are very gray . . . . That's why I always prefer to speak with the people that regulate and interprete the laws. That way I can back up what I'm saying. :D


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 12:16

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Tukk - I'm looking at one of your older posts, and out of the companies you are dealing with I can tell you that Cash Net USA is loaning under it's Nevada license, First Bank of Deleware is a bank, so they don't need a license, Urgent Cash Advance does have a license, I'm just not sure yet under which one they are operating in PA under, and Advance America - which is currently being sued in PA for disguising it's loans as "lines of credit", is blatantly trying to get around the laws. But - Once you default on your Advance America loan, you will stop paying the "partipation fee" each month. So you will be able to set up payment arrangements after that.


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 12:26

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That is true, goudah, although some of these predators are licensed, sadly. Nevada and Utah seem to be popular states for them to reside.

I'm still in the midst of my PDL fight, so hopefully I will keep learning as I read these threads. And to cynthiaw4, keep your head up, there are others (like myself) fighting this fight right now.


lrhall41

Submitted by tukkitrocks79 on Mon, 07/23/2007 - 12:28

( Posts: 55 | Credits: )


Yeah, and Deleware - Those states that have the laxest laws. :twisted:

But keep fighting, file those complaints, and keep your head up. You can win. :D

Those companies that aren't licensed are only due principle. Don't pay them a penny more. And deal with the licensed companies first - they are the ones that could actually do something to collect. Those unlicensed, illegal companies can wait, if they are due anything at all.


lrhall41

Submitted by goudah2424 on Mon, 07/23/2007 - 12:32

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goudah,

thanks for the information. I actually have already started a repayment plan with Advance America, they were very courteous and understanding and we were able to come up with something I can live with.

The iPDL companies are the ones that worry me, as I am still waiting for the phone call bombardment to start (I just defaulted on my loans on Friday). I tried to get arrangements made beforehand but nobody wanted to work with me.

From what I hear also, that iPDL I have with Big Ltd or whoever they are is actually an overseas operation and completely illegal (from information gathered from other posters).


lrhall41

Submitted by tukkitrocks79 on Mon, 07/23/2007 - 12:33

( Posts: 55 | Credits: )


This post is for cynthia. We got kind of off track here on this thread! She posted her pdl's and here's what I have for her, if no one else has already told her.
One Click Cash is MTE Financial - not licensed
Zip Cash - don't know - someone else may have info.
United Cash Loans is MTE Financial - not licensed
Discount Advances - don't know - someone else may have info.
Cash2Day4U - not licensed/overseas/totally illegal
Ten Dollar Pay Day is MTE Financial - not licensed
PayDay Select - don't know - someone else may have info.
So, if that helps, good! If anyone knows about Zip Cash, Discount Advances, and PayDay Select, please post so cynthia will know.


lrhall41

Submitted by cannr on Mon, 07/23/2007 - 17:22

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Yep - Exactly. The ones that aren't licensed if you've paid more then you borrowed you need to demand that they mark your account paid in full.

If you haven't paid the principle back, I would send them money AFTER all the legally licensed companies are paid off. The legal ones are the priority, the other ones can sit and wait.


lrhall41

Submitted by goudah2424 on Tue, 07/24/2007 - 07:18

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tukki, I have to say THANK YOU! :D That was very kind of you & it is well appreciated!


lrhall41

Submitted by cannr on Tue, 07/24/2007 - 09:59

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cynthia - Yes, send the letter even to the licensed ones IF you've overpaid. Only IF. But, follow goudahs great advice. Deal with the licensed ones first. The other ones can wait. And they will wait. I don't remember, you did do something about your bank account, right? So the pdl's don't hit again? Refresh my fried brain!


lrhall41

Submitted by cannr on Tue, 07/24/2007 - 10:02

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E-mail them and they will e-mail you back. You have way overpaid that one, and I would be surprised if they didn't mark it as PIF. You can send them a letter as well, if it makes you feel better. I did. But, a day or two after I sen tthe e-mail...I got this.

Quote:

*THIS IS NOT AN ATTEMPT TO COLLECT A DEBT*

PayDay Select is sorry you are unsatisfied with its service. We will consider your loan paid in full.



Thank You,


PayDay Select Special Handling Team
shteam(at)paydayselect.com
paydayselect.com

866.554.5762
866.554.5764 Fax


lrhall41

Submitted by Godzuki01 on Tue, 07/24/2007 - 10:23

( Posts: 94 | Credits: )


cindy, you can use any letter you want. I personally used ONE letter and covered everything under the sun in it. Just tailored it to fit each individual pdl. I stated my state laws, the amount of the loan, the amount I paid, what they were owed legally by my state, I revoked their privilidge of debiting my bank account any further, I revoked any wage assignment I may have signed with them, I revoked their privilidge to contact me via telephone at all - only corresponde through email or USPS. If I overpaid, I demanded a refund. If I paid my state legal amount, I demanded a paid in full marked. If I stil owed towards the principle, I stated I would send that & that amount only & only if they gave me a physical address. So you can just use one BIG letter and cover all the bases. It's easier! I emailed/faxed/and mailed the letters to them all. Sometimes you'll get a respone through email pretty quick. But I like to cover my butt. I emailed/faxed/mailed everything.


lrhall41

Submitted by cannr on Tue, 07/24/2007 - 10:34

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cynthia - big hug from the forum! Good going! I'm glad you're getting results! :wink:


lrhall41

Submitted by cannr on Thu, 07/26/2007 - 09:28

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cindy, if your bank account is CLOSED and cash2day can't get their money, you're okay. Since they keep calling you at work, just tell them "I am not allowed personal calls at work" and hang up. They will call and call and call. If they get desperate, they will send an email. Do not give them any more money. Don't even give them a chance to SPEAK to you. Tell them you can't take calls at work and hang up the phone. Eventually, they will stop. But be sure they get no more money. You're fine. They're just hounds....


lrhall41

Submitted by cannr on Thu, 07/26/2007 - 10:49

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Did they mark you PIF before 07/27/2007???


lrhall41

Submitted by cannr on Mon, 07/30/2007 - 11:34

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