New York Bank
Date: Wed, 11/14/2007 - 03:20
That was five paydays ago and I called yesterday to inquire about my balance. It was 195 for each company. I have paid them 300 each and happen to not think they deserve more.
My bank account was started in New York, so I was wondering if there was anything that I could do not to pay them anymore. I had heard of New York only allowing 24% and not the triple digit interest rates like some other states.
I was looking to get a bank closer to where I live in Virginia and thought that maybe I could close my BoA account from New York and be done with it. Is that illegal or have I paid them enough. It feels like I have.
rq
stevey, just to let you know & help you make a decision, both ameriloan and 500 Fast Cash are d/b/a's of MTE Finanacial. Of whom is not licensed/legal to lend anywhere in the United States. They are lending illegally. And, were you in New York when you took the pdls out? If so, New York prohibits pdls. So - two things in your favor. New York prohibits pdls and the 2 pdls you are dealing with are unlicensed/illegal. You need to do something with that bank account that the pdls have access to so that they can no longer debit it. I'm going to post some information for you regarding closing your bank account, stevey. Hang on.
r
Quote:
Before you close your bank account due to payday loans eating away at your paycheck, please read this. Some banks have a policy regarding ach transactions that allows them to force open closed accounts if any ach transactions go through within a certain time frame after the account is closed. This can leave you owing a legal bank $1,000's and reported to chexsystems, instead of owing barely legal (or not at all legal) payday loan companies. Not a good thing. Ask your bank what their policy is on ach transactions on closed accounts before you close the account. It's best to go in person and talk to a branch manager. If your bank does have this policy, tell them your situation. Don't be embarrassed. Take letters with you showing that you have revoked authorization for each of your payday loan companies to debit your account. Tell the bank to put your account on deposit only, an ach block, or a hard hold before they close the account. Your bank can do one of those, don't take no for an answer. This will prevent any payday loan ach's from reopening the bank account. It'a always best to close your bank account. Leaving it open gives ways for the payday loan companies to continue to take money out. These companies have many different dba's, so blocking them won't work. They will also produce paper checks and run them through your account. Closing the account is the best way to prevent these companies from taking money out of your account. Some state laws do allow for prosecution if you close your bank account, but that is usually in cases of fraud. But it's always best to check with your state's attorney general or department of financial institution before you close your account. You want to make sure you are not causing more heacaches! |
No, just because you opened your bank account in another state d
No, just because you opened your bank account in another state does not mean that state's laws would apply.
It would be the state you were living in at the time you took out the loans. Virginia would be the state that's laws would apply, not New York.
r
Thank you goudah for correcting that information. I was reading this and saw "recently moved to Virginia", so I assumed he was in New York, moved to Virginia, etc. That's what I get for assuming. I went back and read through again. Thank you for correcting the information for our friend, steve, goudah. :D