Illegal internet PDL loans on my credit report using a CA
Date: Tue, 12/25/2007 - 17:29
Submitted by AZ Payday Loan Avenger
on
Tue, 12/25/2007 - 17:29
Total Replies: 9
Experian refuses to remove them thru my disputes on Experian's website. It keeps saying that the they meet FCRA.
I also sent out validation requests to FMS. FMS validated United Cash Loans account by sending me a copy of the electronic loan agreement with the electronic signature. FMS, however, failed to validate AllStar's loan.
What should I do from this point on? How should I approach both Experian and FMS?
Did the terms of the United Cash loans electronic agreement conf
Did the terms of the United Cash loans electronic agreement conform to the PDL regs in AZ? Are they even licensed in your state? If no to either of those, that it where I would start.
The answer to both questions is no. Actually in AZ not being lic
The answer to both questions is no. Actually in AZ not being licensed for payday lending is a crime (misdemeanor).
But how do I go about this with the CA and Experian? I don't think Experian cares about the lender not being licensed or committing usury! My goal is to get rid of these collection items in my report ASAP.
Going to AZ Attorney General is not an immediate option for me. It takes too long.
Why don't you send Experian another dispute letter pointing out
Why don't you send Experian another dispute letter pointing out that this company violated many laws and are not licensed in your state. I don't think an electronic signature is appropriate validation is it (not sure)? Also, is this the same company you are disputing Experian about?
Allow me to rephrase the questions. These are what we need to fi
Allow me to rephrase the questions. These are what we need to find out:
1. Is the violation of state laws also the violation of FCRA? Experian and other CRAs only care about FCRA. Does anyone know if usury or not being a licensed pdl lender also violate FCRA?
2. Does an electronic signature make a loan contract vaid? I remember a year ago there was a thread about electronic signatures on these internet pdl loan agreements. Electronic signature seems to be a grey area.
May this be a lesson for other people not to take pdl loans. Two years after getting out of the pdl hell, they still come back to haunt me.
Since these are third party collector's collecting the accounts,
Since these are third party collector's collecting the accounts,they will report. The credit bureaus are mainly regulated by federal law,but state law can effect them.I would suggest sending a well documented letter to the registered agent for this credit bureau with instructions to forward to their general counsel. I would also contact your attorney general and have their office in all disputes from now on. It has been established by case law that electronic signatures are valid. The creditor can use logs verifying the signature with the time date stamp of your computer logging in.Very similar to our system logs here.
Electronic Signatures are valid per the Electronic Signatire Act
Electronic Signatures are valid per the Electronic Signatire Act.
The Electronic Signatures Act (Public Law No: 106-229) went into effect on October 1, 2000 and gives electronic contracts the same weight as those executed on paper.
Cajunbulldog, Can you please elaborate a bit more on how to d
Cajunbulldog,
Can you please elaborate a bit more on how to deal with the CRA? What do you mean by general counsel and the registered agent?
The following is what I usually send to the CA or the PDL lender. What I had in mind was to send something similar to Experian telling them the original contract is void:
[quote]To Whom It May Concern,
It has come to my attention that the original creditor, your client, X, has violated Arizona statutes on several counts by lending me a payday loan without being licensed to do so in the state of Arizona. According to Chapter 12.1, 6-1262 of statutes of Arizona:
???????A.A person that provides deferred presentment services without a license is guilty of a class 1 misdemeanor.
D. Except as the result of an accidental or bona fide error, if the licensee charges, contracts for or receives any amount in excess of the fees expressly permitted by this chapter, the deferred presentment is voidable and the licensee has no right to collect or receive any fees in connection with the deferred presentment transaction. Any deferred presentment transaction that is made by a person who is required to be licensed pursuant to this chapter but who is not licensed is void, and the person has no right to collect, receive or retain any principal or other fees in connection with that deferred presentment transaction???????
It is quite obvious that your client is a criminal and the contract signed between me and your client is void and uncollectible. Your client has also violated Chapter 12.1, 6-1260.F by charging more than 15% of the amount of the payday loan in fees and interest.
[/quote]
You need to contact your state attorney general office and the
You need to contact your state attorney general office and the payday lenders state attorney general office asap. You have the right also to attach a letter to your credit file stating that you disagree with this company and they are illegal in your home state.
pdl
OIC!! That's good advice! I have the same issues...CA's are reporting for PDL's. I know the PDL's, THEMSELVES can't do it, so..I guess they bring CA's into the picture. If this is illegal, with some PDL's, why wouldn't CB's remove the debts? Aren't the CB's legally bound to?
