Payday Loan Nightmare Worsens

Do NOT be afraid of these companies. They can't garnish your wages without a court order. Which company sent you this nastygram? I think you have them shaking in their boots and they are trying to scare you into paying them. Stick to your guns. :-)

A wage assignment is completly revocable. And in order for this company to get a judgement, they would have to sue you, and go before a judge. They aren't going to do that if they are not loaning legally in your state.

What company is this and what state are you in?

I'm in Louisiana. I'm dealing with United Cash Loans, USA Payday, Cash Supply, Pay Day Yes, ameriloan, E Payday and Payday Advance. All are internet based. Here is an excerpt of what I sent them...
As of today (August 8, 2007) I do not authorize Payday Loan Yes, nor any representative, parent company, affiliate, or subsidiary Payday Loan Yes, to withdraw any funds from the checking/savings account under the name of XXXX. I also revoke authorization to contact my employer/place of employment, or pursue wage garnishment.

Your company is in violation of Louisiana laws ???????? specifically La. Stat. Ann. ???? 3578.1 et seq which specifically states ???????In conjunction with a deferred presentment transaction or small loan, a licensee may charge a fee not to exceed sixteen and seventy-five one hundredths percent of the face amount of the check issued or in the case of a small loan, the equivalent rate of interest, provided however that such fee or interest does not exceed forty-five dollars, regardless of the name or type of charge. However, if the loan remains unpaid at contractual maturity, the licensee may charge an amount equal to the rate of thirty-six percent per annum for a period not to exceed one year and beginning one year after contractual maturity, the rate shall not exceed eighteen percent per annum.??????? and ???????A licensee shall not: Renew or roll over a deferred presentment transaction or small loan.???????

All correspondence as of today, August 8, 2007, shall be in written form either through the email address, (xxxx@yahoo.com) or via The United States Postal Service (Post Office Box XXXX, XXXX, LA XXXXX). Please acknowledge receipt of this letter, and acknowledge acceptance of, and willingness to adhere to the settlement described above, in writing, within 24 hours of receipt.

I got the nasty response from USA Payday Loan.com

Should I even reply?

Here's what went wrong - You said you revoke their authorization to pursue wage garnishment. You can't do that. You need to revoke any wage assignments. They are two very different things.

I would do a correction. Also do not be afraid of them. They are all snakes! They will try to scare you into giving them more money and watch out for UCLs. They will send a paper check through, so if you haven't already, close your account and keep an eye on things. Make sure you take copies of these letters to your bank so there is proof that you revoked your authorizationt to debit your account!

Send out a letter right away, correcting that wording. Just send the same letter over again, but change the wording to revoke wage assignment, not garnishment. And they can't get a judgement without taking you to court. Give a copy of the wage assignment letter to your employer too, so they know you've revoked it.

I have resent the letters with corrections suggested. Success on 1 loan - the company has agreed to settle with zero balance. Yet another has turned me over to BASS Associates who have called my work, home & cell threatening to have me arrested. One step forward and 1,000 steps back. I'd rather pay them for the rest of my life than go to jail. I have a 3 year old to take care of and I'm a single mother.

You will not go to jail. Bass is currently being sued by the Florida AG for threatening consumers and a whole bunch of other violations.

Next time they call tell them where they can stick your loan.

Seriously, this company are liars. They are the worst of the worst. Ask them if you will be going to the same jail their founder is in? Their founder is in jail right now. Do not pay them another dime.

Do a search on this board for them. You will find a ton of info.

These companies (with the exception of one) are not backing off. They are calling my job and my cell constantly leaving messages from their "legal" departments. I've been ignoring them but I'm beginning to think that I should talk with them. They apparently don't agree with the zero balance settlement offers (even though I've paid thousands in fees and interest) so what should I offer as fair settlement on $200 - $300 loans?

That's really up to you. But you are in the right here, not these companies. Some of them can be very hard to work with. You have to keep at them.

Did you file complaints against them all with your state's AG and the BBB?

Listen to goudah! These guys have already taken too much money if they've taken over the principle amount. Yes, they are going to hound the hell out of you. Did you send them anything telling them not to contact you via telephone? Only to contact you via email or USPS? The majority won't abide by your request, but send it anyway. Whenever they call you, don't take the calls. Instead, when they call, send them ANOTHER email and inform them to only contact you via email or USPS. Just keep doing that. Their "legal department" is just an "in house" department. They try to sound official.

I mailed, faxed & e-mailed them letters asking them not to telephone me. I asked them to correspond via e-mail and USPS only. They don't listen. I have not reported them to the BBB or the AG's office but I will do that this evening if that is another step in the right direction.

Please report them to the BBB and your AG's office immediately...they will step in to help you. My AG office is mediating on my behalf and I have gotten 3 out of 5 PIF's already. Many people have had success in this way. The BBB is a good one too...please don't delay...do it tonight.

Oh Lordy, Lordy! Please file your complaints! Oh my goodness! File with the www.bbb.org . File with the www.ftc.gov And file with your state AG. You can google your state attorney general and the site will come up. It's usually under consumer protection and it will have a complaint form. I'm sorry they're still calling. But I'm not surprised. Each time they called me (after sending them letters telling them not to), I sent another email telling them not to. I had to do this a million times. But I'll be darned. Every call I got, they got an email.

What did you borrow and what have you paid (including fees)? I was able to get a PIF with United Cash loans through my complaint with BBB. Make sure you file each lender with the BBB and file complaints with your AG office. Refuse any communication that isn't via email or US mail - You can do this - don't give up yet!

Wow! Good job Merez. United cash loans was the worst one that I had to deal with. I think they have robots working for them who are programmed to say..."no, no, no, no..." No matter how reasonable the offer the answer was "no." I did finally settle with them (glad to have them off my back, but I did owe them a little bit of money). Troubleinparadise, if you have paid them what you owe (and it sounds like you probably have) then I would definitely file complaints with the agencies. Plus, I think that the calls come in cycles. It's like one minute they call all day and then they're quiet for a bit. It's like they lay in wait and then attack.

I tried to file complaints with my AG's office. My AG's office contacted me and said that they can not accept the complaints based on internet companies because they have no physical address listed on the contracts - only URL's. The lady told me that I should learn not to do internet business. She also told me that I should consult an attorney.

The calls have not stopped. One of the companies is now faxing me letters at work for the entire office to see. I called them and asked them not to contact me based on the letters that they received. She told me that the letters were worth nothing and that the laws that I cited in my letters did not apply to them because they are not located in Lousiana. She said that I signed a contract and that what I am now doing is breech of contract. She told me if I do not pay they will garnish my wages.

Now I don't know what to do. Do I need to pay an attorney to tell me that I have to pay these companies? Do I continue to ignore them and risk garnishment? Do I just pay them these astronomical settlement amounts?

I have gotten to the point that I am losing sleep over this. It is causing problems on my job. Talk about learning a valuable lesson.

trouble, is their main concern that you do not have an address for these pdl's? If that is their main concern we can find addresses for you. The lady you spoke with does not sound very helpful. You don't need a speech regarding internet loans. You need assistance. I am posting your state law so you can see who to contact. However, if her big grip is that you don't have addresses, we can find you addresses. Did you also file with the BBB and the FTC?

You will find the Payday loan laws for Louisiana here (just select your state),
http://www.debtconsolidationcare.com/paydayloan/explain-pdls-laws.html