PDL Nightmare

Here is Michigans information on PDL's (just select your state),

http://www.debtconsolidationcare.com/paydayloan/explain-pdls-laws.html

Thanks so much for somebody to finally listen and not tell me what can't be done. I really need to know what can be done. Please bear with me because I don't even know how to reply or keep on the same thread.

Thanks for providing all the info. You are at the right place. You are going to have to either close or freeze your account and default on these loans if you ever want your control back. Check wtih your bank to be sure they do not have a policy of forcing open your account for ACH withdrawals. Cash Transfer Centers is an illegal operation and they will contact you immediately and then try to envoke the wage assignement that you agreed to. You must send them a letter revoking that immediately after closing you account. Contact your payroll and show them a copy of the letter.
As far as I can tell none of those companies will be licensed in your state. That means little to them but it is to your advantage. You do however have a moral obligation to repay what you borrowed under your states guidelines.

I don't have a problem paying back what I received from them and doing it in a timely manner. It is just to pay $180 a month on each loan and not touch the principle is to me knowing that I will exist in this state of being forever.

We have all be there...that is how we ended up here on this site. You do need to follow Frogs instructions and do the wage assignment letter and close or freeze your account. If you can, try to open a new account at a different bank. Also, you may want to read this link about closing your account. There is some good information on there.

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

I plan on closing my account on Tuesday 2-19 and I have stopped using my atm and haven't written any checks and taking my new direct deposit information to my payroll and opening my new account tomorrow. My question would be is from 2-19 to 2-29 enough time to stop all of the bank fees?

When are the pdl's scheduled to debit next?

I am going to let the PDL's go through on
the 15th as normal and shut everything down the next business day 2-19 so that they can't go in on the 29th.
Is that the right thing to do?

If there is nothing you can do to stop them tomorrow....I was faced with the same situation.

Heres what I did...I get paid on 15th and 30th. I too was too close to payday to redirect my DD until the next check.

I logged onto my account early AM..checked my balance. Didnt see that the PDL's were pending yet, called the bank and closed the account that minute! Went down to the branch, signed the papers when they opened and had them transfer all of the cash over to the new account.

Nice job Volley and great advice!!

Thanks frog!

I tell you...it took some craftiness to work that out, but it is possible! It was my first "whole" check in months and I was ecstatic!

That was so smart! The only reason I hadn't considered that is because of all of the nightmare stories I read on the site about them reopening your closed account and never being able to close it completely. Tomorrow won't leave me a negative balance, but it will take all of my money, but my original plan was to go down and talk to the branch manager Tuesday. I am even scared to get another account at the same bank even though my job and my bank has a partnership. The problem is that I work in a very corporate place and if these PDL's start calling all around my job will be in jeopardy.

I work at a bank (not in a branch)and it was pretty embarassing to tell them why I needed to close it. Even if it isnt fully closed (sometimes there is a 10 day temp closure)..tell them to put a hard debit block and ensure the accounts are NOT linked.

Another problem is that the PDL's go through in the early morning hours and my check goes through in the early morning hours so I can never catch them before it gets posted to my account. Also, I have to figure out what tactic I am going to use when they start calling my job incessantly.

Usually deposits are posted before debits....check it out in the AM. Log on to your account. I know for mine, sometimes I wouldnt see the PDL debit until the next day.

You will need to send them a letter telling them to;
stop calling
revoking their ACH rights
revoking any voluntary wage assignment clauses in the contract

I can post a copy of a letter and you can draft it to your needs.

I was sort-of in the same situation; I get paid by direct deposit every 2 weeks and was told if I'd close my account there was no guarantee my next direct deposit could be changed to the new account, as it can take several days to change over. So, I opened a new bank account and put my old bank account on "deposit only." (per advice on this site, be sure to check w/ your bank if you'll be charged any return fees if the payday ACH's don't go through)

If you can send me the forms it would be awesome. You have been a tremendous help. I will keep posting until I have a rags to riches story. I am looking forward to having a WHOLE check and not working two jobs to make up for PDL expenditures.

Hi Djones...

Here is a letter for you. Just need to customize it to your needs.

We are here for you through the rags to riches journey! :D

[quote]Date

Name and address of the PDL

After doing research on internet payday loan laws in the state of YOUR STATE' S NAME, I have found that your internet payday loans are actually illegal. I have also found the following laws to be true applying to payday loans in the state of YOUR STATE'S NAME in general:

INSERT YOUR STATE LAWS


After finding out that your internet payday loans are illegal, your company should actually not issue loans to YOUR STATE residents at all.

I have contacted the YOUR STATE Office of Financial Institutions and the YOUR STATE State Attorney General????????s Office regarding your internet payday loans and was informed they are indeed illegal in YOUR STATE and was advised to pay what is due according to principle amount only of the loan.

I have currently paid XXXX DOLLARS on my XXXX DOLLARS loan. The legal amount that could have been charged to my loan is the principal amount of XXX DOLLARS even if your internet pay day loan was legal in YOUR STATES NAME. I have paid XXXX DOLLARS on this loan by your debits of my bank account and only owe XXXX DOLLARS to have this paid in full. I am willing to pay the amount of XXX DOLLARS to pay the principle amount of the loan only, as advised by my Department of Financial Institutions and my state Attorney General's office. I demand that you mark my account Paid in Full as I have fulfilled in remittance of the principal amount of the loan. I demand that you mark my account Paid in Full as I have fulfilled in remittance of the principal amount of the loan and send me a refund of $XXXX.




I demand that any contact be made through US Postal mail or email only. I will need everything in writing to keep accurate records of all communication as per instruction from my state Attorney General's Office.



I prohibit you or your affiliates to contact me via telephone at my place of employment or my home telephone number. I also prohibit you from calling my references listed on my loan. Once I inform you of this, you must stop the telephone contact immediately or you will be once again breaking the laws of the state of YOUR STATE.

You are also hereby notified that I am revoking any voluntary wage assignment I may or may not have signed. I no longer authorize you, your company, or your affiliates to attach any part of my wages or contact my employer for your collection purposes.

I am revoking your right to debit my checking account any longer. You, your company, or your affiliates are not authorized to debit my checking account at all. Please be aware that I have informed my financial institution of this situation and they will also be receiving a copy of this correspondence. Any further attempts at debiting my account will be rejected by my financial institution.

I must also inform you that I have filed complaints with the Better Business Bureau, the Federal Trade Commission, and my state Attorney General's Office.

I expect a response from your company no later than XX DATE, regarding this matter. This response may only come via US Postal mail or email. No telephone contact is permitted.

Please respond by XX DATE, regarding this matter by US Postal mail or by email only.





Your name
CC:
Better Business Bureau
Attorney General
Federal Trade Commission[/quote]