massachusetts pdl - what is my best first step?

Guest, could you please tell us how much you borrowed from each and the total of how much you have paid back to each....and I will post something for you to use with your credit union.

Use this when dealing with your bank..you need to get them to close or hard debit block your account but here is the law regarding Electronic Transfers (ACH)

Before you call USAA, please read this about closing your bank account...there is really good information in it. You can not ach block each pdl becuse they can debit under a different name or send through paper checks. The only thing that will work is to close the account or have a hard debit block placed on the account....this thread should explain it a little better.

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


Also, Guest, I know USAA is associated with the military, if you are military, there are laws regarding giving pdls to military personnel and dependents. You may want to check and see what avenues are available under that particular Act.

Thanks for the quick answers. They are all internet and are all between 250 and 500 each. Most of them have already been paid by the fees. My bak is ot allowig me to close the account. Should I mention Federal Regulation E? The bank is not at all being helpful, even after explaining the Massachusetts laws. I should fax them maybe what you sent me at first Roxy? I already opened up a new bank account and switched my direct deposit. I have read the links you provided. Thanks

I can get the exact total amounts later this evenig. I will have to get all of my past account statements.

They are not allowing you to close the account because it is 700.00 over drawn. I dont think any bank will allow you to close your account when it is o/d

You are correct- the bank is not allowing because of the negative balance- which cosists of ALL BANK FEES- after I was told that they would be able to block the debits.

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

Basically, the pdls must be licensed under the samall loan act which most will not do becuase the fees are so low. I can tell by looking at the companies you listed that most of them are unlicensed. What is DFG?

Kash is right. They will not allow you to close your account if it is overdrawn however they have to close it after 120 days if it remains overdrawn. You need to get you payroll to cut you live checks until you can get a new account opened in another bank. That will at least be a start to getting control of your life!

Thanks tinkerbell. I already have this and I just do not know now what I can do? Fax this to my bank as well? Contact the attorney general and then fax my bank a copy of the letter? Also- I need to stop the payday companies- I know this is not easy. Should I just mail/fax them a revocation?

GEt the total as you can, I had to go back through months and months of statements. And work with the bank to get the situation cleared up. Mention anything you have to that will make them work with you and feel free to fax whatever we post for you. You can also mention that you will file a complaint with the Office of Thrift Supervision...that is the agency that regulates credit unions. There was another member who posted not too long ago with this same issue and she had to go that route. Here is the link so you can check them out ...

http://www.ncua.gov/ConsumerInformation/Consumer%20Complaints/complaintmain.htm

I have a new bank account (thank God) The bank says it automatically will close when it is 30 days in delinquency (April 10th ish)
Guess what else- my stimulus check from The IRS will be sent to that account (USAA) and they will take it because my account is in the negative. The IRS will not stop the check from going to that account. I have called them 5 times... My bank says that if deposits come through they are taking it because it is negative. That is not even my main concern right now. I am going to have to send a copy of the laws to my payroll office- I am afraid they are going to get into my check.

Guest, the problem is as soon as you tell the pdl you are done paying them, they will debit your account for everything you owe them and that will put you further into the hole. You already opened your accoutn and changed your direct deposit so they have no access to your money correct? You need to get the bank on board with you to keep them from racking up fees and to keep them from paying these companies. When are they scheduled to debit next? I know it is frustrating becuase the bank told you it was taken care of and they let the debits go through...it is also frustrating becuase there is no branch for you to walk into and sit down and talk to someone. Can you call the branch in Texas where you opened the account? Did you take the name and extension of the person you talked to initially? YOu do want to file complaints with your AG and if you need to do that in order to get the bank to stand up and take notice do so...

Thanks tinker, I also have that and their phone number- I have been very focused today. I have to tell you- the pdls have owned mw for 2 and a half year solid. I never had the srength to fight- I do now- I have no choice. By the way, I have been trying to make gains with my bank- they are terrible- unfortunately everything is over the phone. I am going to make another call when I get out of work ..
You guys are wonderful. I do not feel so alone and embarassed anymore.

Frog, Guest and Roxy, we need to be careful here that if the bank closes his account on its own after it has been in the red for a while, guest may be (probably will be ) reported to chex. The new bank account will then be closed if they do a sweep and see a chex report.

Guest, If any one knows how you feel we do....all of us have been in your shoes. One thing you will find here is lots of support and no judgements. I would suggest if you are going to sick around with us so we can all help you get through this, that you register. You do not have to but it helps us find you again among all the guests. :wink: Keep us all posted about the situation. There are so many people on this fourm who will be more than happy to help you or suggest ideas...you are definately not alone with :D us here.

I opened the bank when I worked for the government and I opened it on the telephone. I am hoping that today I will get somewhere with them . It is so tiring but I am not going to stop. Yes, you are correct- they do not have access to my new bank account. Trust me- if I was not able to open a new account/stop my direct deposit I would really be insane right now.

Thanks- I will be registering now.

Thanks Kash, that is why I suggested she use the Electronic Act, and posted the information about the information about the Office of Thrift Supervision and kept stressing to deal with her account. :D

i hope it works. This is insane that people have this kind of trouble with banks.

I hope it works too. There was another member not too long ago with the same issues and the same credit union. Volley told me about the Thrift and I went form there to get the actual complaint links. The other member never posted so I am not sure what happened. This is bull sh&* that a customer of any bank has to go through this. Why do some banks have to be so difficult.

I am going to take your initial advice as you said. I will keep you posted. If I do not have luck with my bank, I am hoping my new bank will keep me as a customer when I am able to actually go in the branch and talk to them personally. If USAA will not get rid of the 700 I owe them in bank fees I will just have to start a long repayment plan. That is after I do all of the things we mentioned. Thanks

Tink- I spent 45 minutes the other day on the phone during my commute to work begging this bank to end the madness, close the account etc. My bllod pressure must have hit the roof because I was red faced for a full hour later. Honestly, the woman was reading from a paper to me things that were not helpful at all (the banks disclosures etc) I did not swear or raise my voice. Nothing was going to get her to meet me half way. I am hoping (praying ) that today will be better. I am going to fax the pdl companies tomorrow. I have so much work ahead of me- I am just glad that I have a place to go and that I am finally dealing with it.

Did you ask them to block incoming ACH or outgoing ACH transactions?

And did you send them the letter within 14-days?

Not sure- good question. They knew they were pdl. so I am sure they got the message. Thanks for bringing that to my attention though. I told them I did not want anything leaving my account. I cannot believe in this day and age that you cannot request that from a bank and have it granted. It makes me sick.

Because I work at a bank, there isnt a distinction on what the ACH is for, etc. The bank doesnt take any liability on whether its a PDL or what the nature of the transaction is unless there is a fraud claim.



There are certain regulations that banks have to follow. Per the EFTA that Roxy posted, if you didnt sent them a letter, that is why they let the drafts go through. :( The consumer has liability as well.

VOlley, do you have any other advice as to what she can do..it is USAA she is dealing with?

Honestly, go to the branch and try to reason with them....explain the situation and see if they will work with you.

Vooleyball- the first person I ever spoke to at USAA told me that he was blocking these from going into my account. I know I have some liability, I have said that to my bank. I am asking them to stop any activity to my account on simple terms- the answer is no "when it comes to payday" she point blank told me that they will not help stop payday activity from my account. I am faxing a letter to USAA with the names of the pdls- and as many that I can find that they use as alias prohibiting any further debits. By the way volleyball- I do not have 30.00 for each of them now to send them to stop this.

Problem is..she is in Mass and opened the account while in Texas. That stinks for her. I told her to try to contact the branch she opened the account with.

Volleyball- as stated a few times, I cannot go to the bank- unless I take a flight there (not possible) I live in Massachusetts- they are in Texas. Thanks anyways

Volley will be along to answer you. In the meantime stopping payments will really not do you any good. If they can not get in under a name, they will simply change the amount and get in that way. some will even send thru paper checks.

tina-The bank telling you that they cannot stop the payday lending activity specifically is pretty much correct unfortunately. The bank does not want to become a party between you and the PDL.

However, you are absolutely doing the right thing by faxing a letter over to the bank and you should quote the Electronic Funds Transfer Act. If the account isnt closed, the PDL's can still debit.

I wouldnt give them $30 to stop payment...stop payment is only a temporary solution and quite costly!

Tell them you want a hard debit block placed onto the account.

I opened my account over the phone. I am calling the bank again as soon as I leave work. Volley- any ideas other than saying "can I speak to a supervisor?" That is what I have been saying and that is not really helping? Is there a specific department? The fact that massachusetts pdls are illegal do I have any leg to stand on in communicating with my bank????

Here are some ideas:

Get that letter out to the asap telling them you want a hard debit block on the account. This is important or you can be subject to further PDL debits and more bank fees (no good)

Call and ask to file a fraud report

Volley, will it help for her to also state she is revoking the right for (whichever pdls) to debit her account...and then name the pdls?

Thank you Volleyball- I know I am being a pain but I asked them to put a "hard debit block" they refused. I am SERIOUS!!!! I need to start writing the names (or ID #)down of the bankers because I am really thinking they do not know the right information to tell me.

Quote:

Tina- at this point it is imperative you get them something in writing and ask to file a fraud claim.

THANK YOU so much!!! I wanted to ask for a fraud report but did not know if I could.. you guys are so wonderful and caring. I am calling in about 30 minutes. I will post with the results. I appreciate your help.

Best of luck....you can do it! :)

The bank and I just got off the phone. Again, they sided with the payday loan company, said the do not put "hard blocks" on debits from pdls. I contacted the Attorney General and he gave me the OTS- Office of Thrift Supervision and I am currently on hold with the FDIC. I have to file the OTS in writing only and notarized ( I am doing that omorrow) My bank told me that "maybe" they can help with documentation from the AG offict. Just got off the phone w/FDIC and they redirected me to OTS.

What about blocks on ALL debits?

Hi Volleyball- THEY REFUSE REFUSE to block all debits. The department is called Executive Resolution Center (at USAA) she told me also that filing a fraud report WILL NOT STOP this activity unless the PDL (not me) The PDL says that I do not owe them $$. I am faxing to USAA the list of companies anyways as well as the documentation from AGs office stating that PDLs are illegal to MA consumers. This is a NIGHTMARE. This bank is unbelievable. The guy at the massachusetts division of banks cannot believe it. The regulator is the Office of Thrift Supervision and I am writing to them w/the details tomorrow and will be assigned a case number. In the meantime it will be more bank fees.........thanks for listening :)

Sorry about the dbl posts- not sure what I am doing- but I will be careful next time :)!!!!

I cleaned up the double posts for you - Sometimes it seems like it didn't post, or you hit the reply button twice without knowing it. It happens all the time! :D

thanks...as we speak I am on the phone w/ the IRS on hold trying to get my stimulus check from being sent to this USAA account. USAA already told me that they will take any deposits made, even when the account is "CLOSED" and when the account is "Closed" it will reopen with more debit accounts. Don't mine me- I am just babbling what I have already said one too many times.

I am wishing you luck with the bank; I am so shocked they won't help their customers..I never heard of such behavior...I was in banking for 12 years and have never seen this reaction..

so sorry tina; hold your ground and keep up the work with the other entities..

Yeah . . . My experience with banks has been like Tina's . . . They are not out to help the customer.

Good luck Tina - I hope the IRS can change your stim payment! That would suck is it got sucked up too by the bank.

Thanks purple...I feel like I am in the twilight zone myself with the bank. Just so you know- I have been a "good customer" no complaints- nothing- uneventful, this whole time that I have been banking with them. I am shocked myself and to tell you the truth a little scared about banks now in general. I joined a new bank (one of the major well known ones) but I am thinking of (when my chex system is one day clean after this) hooking uo with a local credit union.