Need some guidance, please...
Date: Thu, 11/15/2007 - 14:08
Submitted by stephanie_akerman
on
Thu, 11/15/2007 - 14:08
Total Replies: 7
I'm so happy to have stumbled upon such an informative site. And it's also so reassuring to see how kind and helpful everyone is. So I guess it's time to stop "researching" and just put it all out there!
Here is the situation.
My husband and I have 3 PayDay / Installment Loans. I'm not sure what they're considered at this point. We pay them off completely on payday and then reborrow a week or so later. We're so tired of this viscious cycle and need it to end. The interest is killing us. We will not be approved for a conventional loan and no family member or friend can help us. So I'm asking for advice. Here's the lowdown:
Advance America - Borrowed $750
Missouri Title Loan - Borrowed $1000
First Payday Loan - $1000
Depending on the amount of days that pass between taking out the loans and repayment, the totals vary. But this is a average repayment:
Advance America - Will repay approximately $950
Missouri Title Loan - Will repay approximately $1400
First Payday Loan - Will repay approximately $1400
Like I said, these totals may vary slightly. All we want is to be able to make repayment arrangements that are reasonable. We have been in the cycle for almost a year, it's time to end it.
So what do we do? I'm assuming send the Wage Assignment Revocation certified with return receipt. Also, all of these loans are storefronts, so they have paper checks. Do we need to send them something denying our approval for electronic withdrawl as well?
We plan on talking to our bank's branch manager tomorrow. Do you think it would be best to do stop payments on each check (there's 9 - that means $270 in fees for that!) or should we close the account and use our other checking account? It's our secondary account that we never use, although it's the same bank.
Sorry for the deluge of questions, I just really need some advice and have no one else to turn too. Every post I've seen on this forum is answered quickly, accurately (I assume) and politely. So I hope ya'll can help me. Thanks! Oh and I almost forgot, we're in Illinois.
Thanks again,
Stephanie
Okay, I know the first 2 are storefront, is the last one a store
Okay, I know the first 2 are storefront, is the last one a storefront too?
Okay, it looks like they are following the laws of IL. They are
Okay, it looks like they are following the laws of IL. They aren't letting you rollover, and they are making you wait 7 days before reloaning.
Since these are storefronts, none of them will do a wage assignment. Those are more for the shady internet based companies. These companies are legal, and can take you to court, so they have no need to go the wage assignment route.
Also, Advance America is a CFSA member. They must offer you an extended payment plan. But you have to ask them for it at least 1 day before you loan is due.
Stopping payments will work in this situation. You can also clo
Stopping payments will work in this situation. You can also close your account, and that would be cheaper as you wouldn't have to pay for the 3 stop payments. In IL you cannot be held criminally liable for bouncing a check to a payday lender, so there is no worry there.
The main thing you must do is keep up communication with each lender. Since they are all legal, they can take steps to collect. You will have to pay them off. The good thing is that once you "default" on these, the fees stop, and you can make arrangements to pay down the balance. But just make sure to keep communicating with them on what your plans are. They will sue you if they feel that you aren't going to pay them.
Sorry, I read through your first post too fast. :D Yes, clo
Sorry, I read through your first post too fast. :D
Yes, close the account. Don't do the stop payments. These lenders don't usually use ach, so that is not a worry.
Whew! Thank you so much for your quick reply. You are the Angel
Whew! Thank you so much for your quick reply. You are the Angel of DCC, that's for sure. I can't wait for my husband to get home this evening to look over your advice. Thank you once again! (Oh and thanks for taking the time to read my extensive post and helping me, I really appreciate it!)
No problem, that's what we are here for! :D Any other quest
No problem, that's what we are here for! :D
Any other questions, or anything you need clarification on, just ask away!