Threats by Payday Loan Store in Illinois

i know one thing,save that v-mail.they can't have a bench warrant issued.sending you an v-mail stating the DA would do
that suprises me.they are supposed CFSA members.i would PM
finsfan about the wage assignment,that is her field,but an AG
complaint might be in order as those actions are not legal.

Paul, it was a voice mail. I got my trusty recorder out and recorded the voice message so I have proof to give to an attorney if I have to. (Sometimes vm drops off after x amount of days.)

great,now if you PM finsfan she can guide you as far as the
pushing the wage assignment through without your knowledge.
again these are not legal actions.

You also need to file a complaint with the CFSA.

This may sound like stupid questions, but...

1. Can they call my landlord who they require to be a reference?

2. Are they allowed to turn the matter over to the DA?

they can't turn it over to the DA that's for sure.debts are civil
matters,not criminal ones.they actually required them for a
reference.the landlord i mean.that's ridiculous.

The collector said in his vm, "that apparently I took the money and ran" and that is stealing. Since my checks bounced, that is fraud and the DA will handle this.

I'm trying to find hard evidence that what they did (as listed in the OP above) was improper and could use to possible sue them.

Any ideas?

bottom line,if you made even one payment they would need alot
to prove fraud.i heard about this place,stupid and will break the
law to try and collect when someone defaults.

I made many payments before default. It just seems that they don't have their act together.

exactly,accussing of,taking the money and running is stupid
and preposterous.

Under the state info for Illinois it says that criminal action is prohibited.
As far as the Wage assignment that is completly different from a Wage garnishment. All you have to do is send a letter to the company that you revoke their right to a wage assignment and also give a copy to your payroll department. Once you revoke the wage assignment its void.

Yes, the assignment is voidable by revocation.

I did that with the payroll dept, but since they (PDL) did not follow the IL law for due process of wage assignment, can I sue them for that.

I'm not sure what the rules are as far as Wage Assigntment to an employer..I don't think it's as strict as a notice for Wage Garnishment. I was dealing with a company here in Illinois as well and they sent a Wage Assignment to me regular mail and to my employer regular mail. Fortunatly the mail came to my office and not the office of the payroll person so I was able to intercept it. They actually sent this after I revoked claiming they never received it. So I had to send it again Certified mail with return receipt.

Service of a Demand on an Employer for the Wages of the Employee
A demand on an employer for the wages of the employee by virtue of a wage assignment is properly served if:

-the employee has defaulted on the debt secured by the assignment for more than 40 days and the default has continued to the date of the demand;
-the demand contains a correct statement of the amount the employee is in default and an original or a photo copy of the assignment is provided to the employer; and
-not less than 20 days before serving the demand, a notice of intention to make the demand has been served on the employee, with a copy to the employer, by registered or certified mail.

The above is from the Illinois Wage Assignment Act.

PinkLady, I PM'd you.

Sounds like they did it wrong to you too.

I just wrote you back.
Another thing is they didn't even put it attention to the payroll dept. So anybody in the whole building could have opened it and seen what is was. It actually went to the secretary first and she brought it over to me. She even told me I should file a complaint about how they sent it.

This got posted in the wrong forum.

Can you please move it to the Payday Forum.

Thanks!

I moved it for you! :D

One thing - Pinklady, you mentioned stuff pertaining to pdl laws (criminal action prohibited, etc). This isn't a payday loan, so those laws wouldn't apply here.

DSS - I have a question - You said it was an installement loan, and you also mentioned that your checks bounced.

Did you write them postdated checks for each payment, or did you actually write them a check that bounced?

remember that under federal law all wage assignments can be revoked. do so immediately

Goudah, they make you write a check for the balance of the loan plus interest when you go in every payday to make the installment pymt. I notified them that the account was closed by my bank, but they said they had to deposit it in order to enter into a repayment plan.

jj - the wage assignment is revoked. Not a problem.

Problem is they did not follow Illinois Wage Assignment Laws (see above).

1) Don't you generally have until the end of the day? I mean, contracts usually spell out a date when payment is due, but I've never seen a contract say what time of the day it's due. 2) That being said, they can call your references if they are unable to get ahold of you. However, the disclosure of any non-public information (ie if they started telling your landlord how much you owe, etc) would be a violation of the Gramm-Leach-Bliley Privacy Act.


The intent has to be certified to the employer. But it does not have to be certified to you. Albeit, they still have to send it to you by regular mail.


That is definitely a no-no. They'd have to prove fraud, and like others have said, that is difficult to do when you have already made some sort of payment on the account. As for bad checks, the bad check laws in IL specifically do not apply to checks written to repay a debt. Writing a bad check in IL is only criminal if you used it to buy goods or services.

DC - Re point # 2 - they sent it to my employer via FAX. Never sent anything to me.

Can I sue them for non-compliance of procedure?

DC - re your post to point 1 - they have my phone numbers (house and cell). I think they just called to embarrass me. There was no reason for them to call my landlord if I was only 2 hours late! (As a matter of fact...I was late b/c I was working overtime trying to earn $ to pay on my debts!)

Re #2, see below:

I'd say that not providing you with a copy of the notice is "wrongful" and worth $500 at least. (They also are required to provide you with a blank affidavit of defense that you can fill out to stop the wage assignment).

I have done wage assignments before, and I have had payroll departments tell me "Oh you can just fax it to us." I am very quick to say "No, I have to send it certified" just because I don't ever want the employee having any grounds to sue me.

Re #1 - In all respects, you are correct that they do it just for the embarassment factor. There is no specific law that dictates when/how they can call references, just that they cannot disclose information about the debt if they do call. If they told you landlord you owed money or that they needed to get ahold of you for the payment, then that is a violation.

Click here for the IL Credit Practices rules, which define what they cannot do.

It looks like you have two, possibly three violations on your hands. Since the DFI closely regulates lenders in IL, you should file a complaint with them. They take complaints online here: http://www.idfpr.com/dfi/ccd/ccd_complaint.asp . Just tell the state everything that happened, and that you have proof of it all. The DFI takes complaints very seriously and they will investigate accordingly. The first thing they usually do is send a letter to the creditor and demand that the creditor answer to the complaint within 10 days. After that, I'm not sure what happens because I've never gotten that far.[/url]

Wow!! THANK YOU - Debt Cruncher - SO MUCH FOR THE INFORMATION!!! I appreciate your time and effort! This is GREAT information!!!

:)

BTW - DC - RE point #1 - the fact that they called my landlord, whether or not they disclosed any particular information, since she has caller ID and it showed up on it, and the message was please tell her(me) to call them b/c she was supposed to come in at xx time...doesn't take a rocket scientist to determine why they called.

I know it doesn't take a rocket scientist to figure out....

But I don't think the caller ID showing their name constitutes prima facie evidence that they disclosed your debt.

Theoretically, based on that message, your landlord could infer that maybe you had a job interview and missed your appointment. I know, I know ... how likely is that. I'm not trying to take their side, but to break that law they really do have to actually say something to the effect that you owe them money.

Ultimately, see what the state says; or if you end up suing them it would be up to a judge or jury to determine if leaving that message actually disclosed a debt.

LOL, DC...I see your point! They certainly know how to push the envelope!!! RRRRRRRRRrrrrrrrriiiiiiiiigggggggghhht to the edge!!!

Thanks again.

I will be speaking with an attorney in the morning!

No problem, and let us know how it goes.

I really can't stand these places either, and I'm in the lending business. They ruin it for the rest of us who operate within the laws.

OMG!!! I JUST got off the phone with my attorney and when I gave him the name of the person who is calling from the PDL store, you could've heard his head swirl thru the phone!!! Apparently, the name the person at the PDL store is using is the same "name" that is commonly used by third party collectors. So, as I write this, he is calling to find out if the PDL person is actually a 3rd party collector, b/c if it is, it opens up a whole new can of worms with respect to them failing to comply with FDCRA regulations!

I'll write more as soon as I hear back from the lawyer!

Okay...here's the scoop...spoke with attorney...yes I have a case regarding points 2...and possibly 3 (he LOVED the fact that I saved the recording!!!), but attorney saw that PDL store hasn't sued anyone since 2006. Thought I would be better served by keeping my "items" in my back pocket for now b/c what I could get by suing wouldn't really benefit my situation right now.

Said what would probably happen is that the store would probably sell it to a CA and then that's when all the problems would start...harrassment, threats...etc...and then we can "eat them alive." Hmmm...sound like fun (turning the tables on them, I mean)...

I really enjoyed (can't believe I'm saying this about a lawyer ;) ) talking to him. He was very nice and took his time explaining everything. I thought it was funny when he called the PDL collection guy...his exact words..."WHAT AN AS&^*^*LE!!!" ROFLMAO!

If anyone in Illinois needs a good lawyer who handles fdcpa claims, just PM me and I would be happy to give you his info!

Well, that's good that you talked to him and he thinks you will be able to go somewhere with the case.

I can sort of understand why he wants to wait --- FCPCA violations are worth more money than a violation of the IL laws. See, FDPCA prescribes statutory damages in addition to punitive damages and attorney fees. State law, on the other hand, really doesn't spell out any consequences for breaking the laws, so they'd more or less just get a slap on the wrist. I think that's why he wants to wait.

Desperatly,

I have this same problem w/ a storefront installment loan. I found some info on the internet that says IL Pday laws down cover installment loans. What has been your experience? I am also seeking sanity!

That is correct. I spoke with the IL DFI and they said that they are 2 different things and regulated differently.

I am curious how they get away with the installment loan scheme. Isn't that usury? If not, couldn't banks do the same thing?

I have 5 payday loans of $587.50 each. I have been paying on them for over a year...paying $87.50. This past July my mom got sick and i havent been able to pay anything on any of them. They are harassing me at my job, my home and my cell. I don't have the money now to pay cause I am taking on my moms financing and mine....I'm ready to call it quits in this world...I don't know what to do...help me please

I know it's been a while since this posted, however I'm still want to reply, for fur visiter to this comment viewers.

First this could have been so easily avoidrd, If you would have just PAID!!! Now with that said.

2nd. Wage assignment is only implemented as a last resource, inorder to obtain payment.

(I'm pretty sure they tried contacting you to set up sometype of a 2nd opportunity payment arrangement,[the first one was your original agreement] but if you failed to comply with that, or even worst, they had no way to contact you whether your #'s were disconnected, wrong or even a bad address then that's your fault! It's your responisbility to pay & inform them of any changes in your contacting infomation.)

Now I dont agree with those msgs left on your voicemail. That is unethical & if they are CFSA ceritify they should know, what is & what is not permitted.

Also you as the customer have the responsiblity to READ ALL DOCUMENTS PROVIDED including those with fine print. Know what you are getting into & MOST IMPORTANT LEARN YOUR RIGHTS AS CONSUMER. DONT JUST TOSS THEM TO SIDE!! Remember no one is going to come to read them for you.

PLEASE REMEMBER IT'S A SHORT-TERM LOAN, THEY ARE HERE TO HELP YOU IN YOUR TIME OF NEED!

**IT'S CONFIDENTIAL**

**& IT'S TO BE USED NOT ABUSED**

IT'S A NATIONAL INDUSTRY, VARITY OF COMPANIES,
!!THEY ARE NOT ALL THE SAME!!
***DON'T JUDGE THEM ALL FOR THE MISTAKE OF ONE***

ah yes,tiny the troll.the pdl industry for the most part is a sham industry that is built to keep people in debt,re-loaning so they eventually default.that is why it was regulated almost out of existence in IL.other states are following suit,so you once again have said your stupid peace.now GO AWAY!!!!!!!

I just seen this: [quote=desparately...]I am curious how they get away with the installment loan scheme. Isn't [/quote]

They get away with it because of the definition of a "payday loan" as it stands in the text of the PLRA. A payday loan, by definition, is less that 120 days, with a rate higher than 36%, and secured by either a wage assignment, post-dated check, or ACH payments.

These payday stores can do a loan for more than 120 days, call it an installment loan, and then they don't have to follow the PDL laws. The IL state legislatures are working on new laws that don't let them do this, but it is held up in the committee (Rep. Hamos) right now while they hammer out the details. Namely, the consumer activists and the finance industry are working on a compromise that both sides can live with, because they new laws that were proposed this summer would have affected every single lender in the state and would have put more than just PDLs out of business.

The industry is in demand as sad as it is... It was never legislated out in IL, infact the legislator tried to keep it and had good faith in their efforts to regulate it. (PaulMergel sounds more like the idiot on this one)

The truth is the laws in IL make it difficult for clients and companies to be fairly charged/paid and be offered reasonable terms.

Tiny is also right most companies will make many attempts to contact before a wage assignment goes out, and more often than not on an instlalment loan a fair settlement will be offered.

The biggest problem with the payday loan industry is not the lenders but the people borrowing, they should know how much they can afford and need to read the terms. Additionally it would really help everyone's case if they paid attention to a few rules on short term loans.

1.) never borrow more than 1 weeks take home pay
2.) know which product is best for you
a.) payday loan is great if you are sure you will be able to pay entire thing back in 3 weeks
b.) installment is ok as long as you can afford to make double payments on each payment. (get it paid off quickly this way, and you will be covered if you cannot make a payment down the road)
3.) don't borrow from more than one place at a time.
4.) Make sure you are borrowing only what you need.
5.) Deal with local companies, they are much more flexible on payment plans and you wont be calling some massive call center for getting help on a payment plan.
6.) If you are paying over 600% apr on a short term installment loan you are getting ripped off.

that's nice truth,but we really don't need the preaching.i do know people who tried to work in the pdl ind in illinois.they couldn't quit fast enough.there was constant pressure on them to.

have a certain loan volume.
each loan had to be a certain amount

so call me what you want,but i do know a lot of pdl's in illinois that were drummed out for good reason.by the way.the pdl's were a-all financial and all credit lenders.one is gone and the other while not doing pdl's anymore has alot of turnover for the reasons i outlined.

Believe me when I say working in the industry is absolutely no fun and in a lot of cases the pressure is very high. I know of the companies you are speaking of and have dealt with and in some cases hired former employees from the companies. However I will tell you in over 2 years the only people I have seen leave my company was over issues such as theft and not showing up.

Sadly from time to time a consumer needs something like this. Each consumer needs to look into the different companies and pay attention. I can tell you already this week alone I have turned down at least 10 applications because the client had too many loans and was falling further and further down. My advice to these people is always the same, look for a consolidation loan, or start trying to negotiate a lower payoff.

Look if you have a short term loan the important message here is sacrifice what ever you can in your day to day life to get it paid off ASAP. If a person is living paycheck to paycheck they need to be doing this anyway so that they can get out of their high interest loans and begin saving up so that they do not need to do this in the future. I am regularly told by the owners and company managers that this concept needs to be regularly stated to the customers.

This being said I know I work for a company that is very different than most, one in particular that you mentioned above that is still open, I know they train their employees to just put money on the street without a care in the world, this does not help anyone.

ah yes all credit lenders.true story.i had a garnishment from them because of the online pdls.that was about a year ago.got a flyer in the mail pre-approving me for a six month signature loan.if that doesn't say it all i don't know what does.

i live in pa and my bank account was garnished due to a judgement and of course at the same time money was supposed to come out of my accoun for pdl yes but the funds were not there now they are threating to have me arrested for check fraud can they do that