GFSIL Help Needed

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

Thank you for this information. Please help me with my understanding of the law that you posted above. Does that mean that they are not legally allowed to rollover the loan at all. I mean by me paying them the $75.00 and the $90.00 every two weeks that's illegal in my state. I want to get this right. Do I need to send them some kind of letter and fax? I've been digging up my other paperwork and here are some of the others that I have.

CMG/OSL Marketing-$250 loan - paying $75 since 9/7/07
Sagamore - $300 loan - paying $90.00 since 12/14/07

you are correct

As far as GFSIL is concerned you have paid them what you legally owe them. Close your account and refuse to pay them another cent. Ignore their threats and just hang up when they call. There is nothing they can do to you!

It seems that all three companies mention are offshore companies.

GFSIL - England
CMG/OSL - Nevis
Sagamore - Nevis

I've been reading about making my accounts deposit only will this work for these companies. I only have phone numbers in order to contact the last two about stopping ACH debits. How would or could I go about getting them to send a PIF letter if possible.

I am in INdiana...and if they are not licensed here they are not legal. Please follow all the advice here and also file with the state attorney's office. They honestly helped me close about 6 of my internet loans.

Honey, please listen to these people. Close your bank account ASAP. You are being d by these illegal people. Here is something to read regarding closing your bank account. If you have any questions at all, please post. We can help you.

Thank you for you advice. I did contact the attorney general through the website yesterday and I'm waiting on a response. I will go and talk with my bank manager on Monday about my accounts with your information in hand. My only concern is that my pay check is deposited into my account and after opening another account I won't have time to contact my employer about switching the money to the new account.

Oh.... I forgot to ask. Reading the quote I need to find the sample letter for the ACH revocation. I have been looking and can't seem to come across one. Can you help?

You can put your bank account on deposit only status as far as your paycheck is concerned until you get a new one up and running. Put it on deposit only/debit block. This way NO debits will be able to go through. Once you get your paycheck issue taken care of with a new account, then you can close this old one. This way the pdls will no longer be able to debit and you will regain control of your money - which is the first step. And, yes, we do have a "sample" letter you can use to send to your pdls. However, do NOT send anything, say anything to any of your pdls regarding this. Make sure your bank account is straight first to where they can not debit. Then you can send them the letters. Also, great job filing with your state AG. Do me a favor and also file with the BBB and the FTC. You can do this right on line. These illegal companies need to be reported. I see that you are a "guest", so I'm going to see if I can find the letter and post it for you since I can't 'pm' it to you. Hang on.

You can use this letter. You will need to change it to fit each specific pdl, amounts, etc. If you need any help, just post.

Now that your current problem is being handled, heres are some books that will help you in the future. Financial Peace and The Total Money Makeover by Dave Ramsey. These books will give you a roadmap for your finances and spending habits. If you read them, you will never get into trouble again.

God, this Dave Ramsey post everywhere is getting on my nerves.......... :shock:

Thank you all so much. I just went into my Office Manager's office and explained the situation to him and told him that he might be getting some harrassing calls about me and that he can just hang up on them. He was most understanding. As soon as the bank opens I will be down there taking care of my accounts and opening new ones and arranging for the transfer of my payroll.

Here's a draft of my first ACH revocation. I have two more to do tell me what you think.

Date

BY FACSIMILIE TRANSMISSION
U.S. POSTAL SERVICE
GFSIL
1005 Terminal Way, Suite 110
Reno, NV 89502

Fax No: 1-877-280-2330

To Whom it May Concern:

After doing research on internet payday loan laws in the state of Indiana, 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 Indiana in general:

Indiana State Information

Legal Status: Legal

Citation:
Ind. Code Ann. ???? 24-4-4.5-7-101 et seq.

Loan Terms:
Maximum Loan Amount: $550 (not to exceed 20% of borrower's monthly gross income)
Loan Term: Min: 14 days
Maximum Finance Rate and Fees: 15%: $0-$250; 13%: $251-$400; 10%: $401-$500
Finance Charge for 14-day $100 loan: $15
apr for 14-day $100 loan: 390%

Debt Limits:
Maximum Number of Outstanding Loans at One Time: One per lender; Two total
Rollovers Permitted: None (cannot renew, repay, refinance or consolidate)
Cooling-off Period: 7 days after 6 consecutive loans
Repayment Plan: After 3 consecutive loans, lender must offer an extended payment plan of at least four equal installments at no additional cost

Collection Limits:
Collection Fees: One $20 NSF fee; additional charges may apply when check or authorization to debit was used to defraud another
Criminal Action: Prohibited

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

I have currently paid over $1,000.00 on my $200.00 loan taken out on 8/16/2006. The legal amount that could have been charged to my loan is the principal amount of $279.00 even if your internet pay day loan was legal in Indiana. I have paid over $1,000.00 on this loan by your debits of my bank account and only owe $0.00 (owe you nothing) to have this paid in full. I am willing to pay the amount of $0.00 (nothing) to pay the principle amount of the loan only, as advised by my Department of Financial Institutions and my state Attorney General's office.

You are no longer authorized to debit my bank account. I will not Money Gram or Western Union any payment as I am paid in full.

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 Indiana.

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 or savings account any longer. You, your company, or your affiliates are not authorized to debit my checking account or savings 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 check or savings 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 10 days, regarding this matter. This response may only come via US Postal mail or email. No telephone contact is permitted.


Name
Account Number

cc: Better Business Bureau
Federal Trade Commission
State Attorney General

Please be sure that your account is closed and can not be forced open before you send anything. If all is in order , then its fine

Thank you. The account is not yet closed. I'm just drafting the letters and getting them ready. I have just opened new accounts today and I am preparing to switch my payroll now.

Like kash said, make sure your bank account is SAFE before sending any letters. However, it may be pointless, but I would demand a refund of my overpayment. It doesn't hurt. These guys will probably not give you a refund because they think you still owe them money (morons). But I would include it in there. That's just me though....

Another question. I can't actually close my bank account until March 7th (when I make sure that my payroll gets into my new account safely) - I have the three payday loans scheduled to come out also on the 7th. Can I contact them by phone and get a 3 day extension until the the following Tuesday but close the account on March 7th after I make sure everything is ok? That would save $200 for the 3 payday loans that I have overpaid.

Do you mean contact the pdls and ask for an extension? I'll be honest. They will probably get the "hint" that you're up to something (like changing banks) and hit your account. Can you put a hard debit block on the account so no debits can hit?

Yes, I could put a hard debit on the account that was one of the options mentioned to me by the bank manager but I decided to go with completely closing the account because I was afraid of them creating a paper check. I have had 3 day extensions with GFSIL before with no problem but never with the other two.

Okay, when choosing to close the account, you need to be assured that no pending debits will force it back open. That's a problem. Pending pdl debits will force a closed account back open, the debits will go through, and the bank will charge you a million NSF fees. Put a hard debit block on the account. Nothing can go through. A hard debit block will prevent ACH debits, paper checks, electronic checks, your ATM card, everything. Nothing will go through.

Ok, I will do that. I will just put that on the account on Wednesday of this week. I have some ATM and debit card actions still pending on that account and they should clear by at least Tuesday. I also need to find out how soon that would take effect - is it immediately? So basically you're saying leave the account open just put a hard debit block on the account. I will talk to them tomorrow and get all the paperwork together and submit it on Wednesday. That will save me $200 from the PDLs.

If you go into the bank and speak to the manager, they can put the hard debit block on it immediately. Your account will still be "open" but blocked. I left mine open for a bit with a hard debit block on it. I opened a new account at a different bank immediately so that I would have a "working" bank account to use.

I have already opened a savings and a checking but with the same credit union as the other account. Because of prior problems I cannot get a checking account anywhere else. I was told that the accounts are separate from the old accounts and that they are in no way connected. Now is a hard debit block the same as a deposit only account?

Not excatly but it will work if it is on deposit only. No achs can get through.

A hard debit block will not only prevent ACH debits, it will prevent paper checks, electronic checks, your ATM card, anything. No debits of any kind will go through. So, if these guys try to get sneaky and send an electronic check through, a hard debit block will stop it.

Can the above letter for Indiana be used in Michigan?

Regina, it can be used for Michigan as well. I see that you have posts on several threads. I would recommend you start your own thread and explain your situation as well as the companies you borrowed from, how much you borrowed from each and the total of how much you have paid back to each. We will help you any way we can. If you start your own thread, then all your information is in one place and it is easier for you to find it again as well as easier for us to find you again. It also helps us know what was already posted to you so we can keep you moving forward to your desired resolution. :D

Well....I received my first e-mail from GFSIL on the 18th saying that they want to make a settlement of $150 and to send it by Western Union or Money Order within 14 days. I'm ignoring them I've paid them enough. And what is so sweet is that the credit union that I deal with....on the day that I closed my account one of the PDLs had deducted $90 from my account before I had a chance to close it. The manager of the branch that I had been working with reversed the payment and sent the debit back to them unpaid and transferred my $90 into the new account and closed the account. Now that's justice. She also assured me that ACH debits will not reactive the account.

That is wonderful. It's always good when the bank is willing to work with you.

fkbsar, LOVE your bank! That is true justice! Gotta love these pdls. :evil: They wanted to "settle" with me, too. They wanted another $100 sent by Money Gram to them on my OVERPAID loan. HELLO!

was wondering if any one has any info for gfsil in ohio and our laws to stop them, i too have paid out $1000.00 of $ to these people for a $200.00 loan taken out in 06 after checking bank statements...