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Payday Loan Anxiety

Date: Wed, 07/30/2008 - 17:21

Submitted by mizani32
on Wed, 07/30/2008 - 17:21

Posts: Credits: [Donate]

Total Replies: 23


I am in Pennsylvania and am in trouble with payday loans. I currently have 7. They are from:
Payday Loan Yes
Check Smart
Geneva Roth
United Cash Loans
Cash Supply
500Fast Cash

I have been reading the forums and feel so relieved to know that this resource is available. But, i'm not sure where I need to start. I see that some have opted to close their accounts going into default. I am considering this, but am scared and don't really know where to start. Any assistance would be greatly appreciated.


Even though pdl's are prohibited in your state, it is still legal for you to obtain a pdl as long as the lender is licensed somewhere, therefore, wherever the lender is licensed, is the laws you must abide by. :?
Quote:

Pennsylvania State Information

Legal Status: Prohibited

Citation:
Check cashers are specifically prohibited from making payday loans under Check Cashing Licensing Act of 1998, ???? 505(a). Otherwise, consumer discount company act applies. 7 Pa. Cons. Stat. Ann. ???? 6201 et seq.

Small Loan Rate Cap
$9.50 per $100 per year discount or 24% per year

Where to Complain, Get Information:
Regulator: Pennsylvania Department of Banking
Address: Market Square Plaza, 17 N. Second Street Harrisburg PA 17101
Phone: (717) 214-8343
Fax: (717) 787-8773
Regulatory Contact: Jim Keiser Administrator of Non-Depository Institutions
Regulator????????s Website


lrhall41

Submitted by Shazzers on Wed, 07/30/2008 - 17:28

( Posts: 17344 | Credits: )


i have gotten myself into the payday loan trap. I reside in fl and i am currently trying to resolve problems with 2 lenders. B.I.G and Cashnetusa. I have paid B.I.G approx 600.00 on a 250.00 loan that i took out in december of '07. They continue to debit my account for 40.00 every two weeks. I borrowed 600.00 from Cashnetusa on july 10,th of this year and just yesterday i received an email stsing that fl law had"changed" and that they would not be offering CSO services anymore and that i can not be granted an extension( was originally told that i could receive up to four). Therefore, they expect to debit my account for 669.99 on aug. 5th 2008, I CANNOT AFFORD THIS!!! i called to make arrangements and they wanted to force me into a payment arrangement that was not withjin my budget. I have all intetions of paying, i have borrowwed from the twice in the past, What should i do? thanks everyone in advance!


lrhall41

Submitted by neshae0407 on Fri, 08/01/2008 - 12:33

( Posts: 9 | Credits: )


Neshea, I found some information on cashnetusa from a post that Goudah made. ANd here is the link where I found it.
http://www.debtconsolidationcare.com/paydayloan/cashnetusa-licensed-2.html

Here are all the Florida laws which deal with CSO's:
Quote:


817.7001 Definitions.--As used in this part:

(1) "Buyer" means any individual who is solicited to purchase, or who purchases, the services of a credit service organization.

(2)(a) "Credit service organization" means any person who, with respect to the extension of credit by others, sells, provides, performs, or represents that he or she can or will sell, provide, or perform, in return for the payment of money or other valuable consideration, any of the following services:

1. Improving a buyer's credit record, history, or rating;

2. Obtaining an extension of credit for a buyer; or

3. Providing advice or assistance to a buyer with regard to the services described in either subparagraph 1. or subparagraph 2.

(b) "Credit service organization" does not include:

1. Any person authorized to make loans or extensions of credit under the laws of this state or the United States who is subject to regulation and supervision by this state or the United States or a lender approved by the United States Secretary of Housing and Urban Development for participation in any mortgage insurance program under the National Housing Act;

2. Any bank, savings bank, or savings and loan association whose deposits or accounts are eligible for insurance by the Federal Deposit Insurance Corporation or the Federal Savings and Loan Insurance Corporation, or a subsidiary of such bank, savings bank, or savings and loan association;

3. Any credit union, federal credit union, or out-of-state credit union doing business in this state;

4. Any nonprofit organization exempt from taxation under s. 501(c)(3) of the Internal Revenue Code;

5. Any person licensed as a real estate broker by this state if the person is acting within the course and scope of that license;

6. Any person collecting consumer claims pursuant to s. 559.72;

7. Any person licensed to practice law in this state if the person renders services within the course and scope of his or her practice as an attorney and does not engage in the credit service business on a regular and continuing basis;

8. Any broker-dealer registered with the Securities and Exchange Commission or the Commodity Futures Trading Commission if the broker-dealer is acting within the course and scope of that regulation; or

9. Any consumer reporting agency as defined in the Federal Fair Credit Reporting Act, 15 U.S.C. ss. 1681-1681t.

(3) "Extension of credit" means the right to defer payment of debt or to incur debt and defer its payment offered or granted primarily for personal, family, or household purposes.



Quote:
817.7005 Prohibited acts.--A credit service organization, its salespersons, agents, and representatives, and independent contractors who sell or attempt to sell the services of a credit service organization shall not do any of the following:

(1) Charge or receive any money or other valuable consideration prior to full and complete performance of the services the credit service organization has agreed to perform for the buyer, unless the credit service organization has obtained a surety bond of $10,000 issued by a surety company admitted to do business in this state and has established a trust account at a federally insured bank or savings and loan association located in this state; however, where a credit service organization has obtained a surety bond and established a trust account as provided herein, the credit service organization may charge or receive money or other valuable consideration prior to full and complete performance of the services it has agreed to perform for the buyer but shall deposit all money or other valuable consideration received in its trust account until the full and complete performance of the services it has agreed to perform for the buyer;

(2) Charge or receive any money or other valuable consideration solely for referral of the buyer to a retail seller or to any other credit grantor, who will or may extend credit to the buyer if the credit that is or will be extended to the buyer is upon substantially the same terms as those available to the general public;

(3) Make, or counsel or advise any buyer to make, any statement that is false or misleading or that should be known by the exercise of reasonable care to be false or misleading, or omit any material fact to a consumer reporting agency or to any person who has extended credit to a buyer or to whom a buyer is applying for an extension of credit with respect to a buyer's credit worthiness, credit standing, or credit capacity; or

(4) Make or use any false or misleading representations or omit any material fact in the offer or sale of the services of a credit service organization or engage, directly or indirectly, in any act, practice, or course of business that operates or would operate as fraud or deception upon any person in connection with the offer or sale of the services of a credit service organization, notwithstanding the absence of reliance by the buyer.


lrhall41

Submitted by Shazzers on Fri, 08/01/2008 - 12:50

( Posts: 17344 | Credits: )


Hi,
Thanks so much for the information. You asked me a few questions about my PDL's. Here's the info:

Payday Loan Yes - borrowed $300 - paid back $1000
Check Smart - borrowed $150 - paid back 37.50
Geneva Roth - borrowed $200 - paid back $575
United Cash Loans - borrowed $250 - paid back $350
Cash Supply - borrowed $300 - paid back $580
500Fast Cash - borrowed $300 - paid back $270
Payday Avenue - borrowed $300 - paid back $0
Cash Central - borrowed $300 - paid back $0

I look forward to your feedback. Thank you so much.


lrhall41

Submitted by on Sat, 08/02/2008 - 18:32

( Posts: | Credits: )


Hi,
I posted initially as mizani32 but have registered and am now Swergirl. To avoid confusion, i'll start all over again with all of the info needed.

I am in Pennsylvania. I have several payday loans, and they are all from the internet. The information is as follows:

Payday Loan Yes - borrowed $300 - paid back $1000
Check Smart - borrowed $150 - paid back 37.50
Geneva Roth - borrowed $200 - paid back $575
United Cash Loans - borrowed $250 - paid back $350
Cash Supply - borrowed $300 - paid back $580
500Fast Cash - borrowed $300 - paid back $270
Payday Avenue - borrowed $300 - paid back $0
Cash Central - borrowed $300 - paid back $0


I look forward to your feedback. Thank you so much.
_________________


lrhall41

Submitted by swergirl on Sat, 08/02/2008 - 20:45

( Posts: 5 | Credits: )


Swergirl, sounds like alot of us, I get paid to pay these people off, and when I see my balance ON PAYDAY that is in the red, I cry. How do you survive from paycheck to paycheck? I'm single, so its really hard since I have no other income. Thought of a part-time job, but can hardly keep up with my full-time. Tried sweepstakes, but I have to buy something first... :(


lrhall41

Submitted by soky_torruellas on Sun, 08/03/2008 - 07:25

( Posts: 13 | Credits: )


I am BARELY surviving. I have a lot of past due bills. I actually got a part time job a little while ago, but it's gotten to the point that the my debt is so high that the extra money barely makes a dent.

I have been frustrated for a long time and i had no idea that money problems can affect EVERYTHING in your life.

I felt better as soon as i saw this website and saw that people have been where i am and have gotten through it.

This is a great community and i hope that one day when i get through this that i will be able to help other people.

Stay strong. I am hopeful now.


lrhall41

Submitted by swergirl on Sun, 08/03/2008 - 13:44

( Posts: 5 | Credits: )


swergirl, oh my gosh, I sure do feel for you! That is just awful the money they have been stealing from you! :shock: You do realize of course the pdl's are prohibited in Pa., however, there is a loop hole as I posted above, so basically what we need to know is what state these pdl's are licensed in, then we can compute the interest based on the state their licenses are. I do know this for sure, Payday Yes is NOT licensed anywhere, therefore you do not owe them one red cent more, in fact, they OWE YOU. I wouldn't hold my breath though, it is at least worth a try to request a refund from them [Payday Yes]. But first you need to do the following things:
-Secure you bank account (this may mean closing it out) but please read the information at the link below which is important if you are deciding to close your account due to pdl's.
http://www.debtconsolidationcare.com/paydayloan/close-account.html
-Next you need to search for email addresses and physical addresses for each pdl you owe.
-Next you need to draft a letter, in this letter to each pdl, revoke wage assignments, ACH authroization, and tell them to cease and desist contact with you. A sample letter is available is you request.
-Send these letters via email, and certified return receipt to each pdl.


lrhall41

Submitted by Shazzers on Sun, 08/03/2008 - 14:25

( Posts: 17344 | Credits: )


Depending on the pdl's, and whether they are legal/licensed lenders, or illegal/unlicensed lenders you will want to word you letters differently. In the case of Payday yes, we know they are not legal, therefore, you need to stress to them you are aware they are NOT licensed to lend ANYwhere. And request a refund. If you file a complaint (and you should) with your Attorney General's office, the FTC and the BBB, they may assist you with that, or they may not, but it's more ammunition you can use in your letter to Payday Yes and whoever else is not licensed. :)


lrhall41

Submitted by Shazzers on Sun, 08/03/2008 - 14:29

( Posts: 17344 | Credits: )


You're quite welcome, that is what we are here for. I am searching to see which are legal and which aren't so please check back periodically. :) I do know that 500Fast Cash and Payday Yes, Geneva Roth, United Cash Loans aren't legal.

United Cash Loans - read the link below:
http://www.debtconsolidationcare.com/paydayloan/mtefinancial-correspondence.html

Cash Supply- is licensed in New Mexico. What this means is you will have to abide by NM state laws, I have posted them below:

Quote:

New Mexico State Information

Legal Status: Legal

Citation:
N.M. Stat. Ann. ???? 58-15-32 to 38

Loan Terms:
Maximum Loan Amount: $2,500
Loan Term: 14 to 35 days, can be shorter by written agreement
Maximum Finance Rate and Fees: $15.50 per $100; $.50 verification fee per $100
Finance Charge for 14-day $100 loan: $16
apr for 14-day $100 loan: 417.14%

Debt Limits:
Maximum Number of Outstanding Loans at One Time: Total capped at 25% gross monthly income
Rollovers Permitted: None
Cooling-off Period: 10 days
Repayment Plan: Yes, equal installments over 130 day period

Collection Limits:
Collection Fees: $15 NSF fee one time per loan
Criminal Action: Prohibited

Where to Complain, Get Information:
Regulator: New Mexico Financial Institutions Division
Address: 2550 Cerrillos Road, 3rd Floor P. O. Box 25101 Santa Fe NM 87505
Phone: (505)476-4885
Fax: (505) 476-4670
Regulatory Contact: Henry A. Vigil,, Consumer Industry Manager


Payday Avenue- I am not sure about this one.

Cash Central appears to be legal but I'm not sure what state they're licensed in. :?


lrhall41

Submitted by Shazzers on Sun, 08/03/2008 - 14:36

( Posts: 17344 | Credits: )


Quote:

Shazzers,

In looking at Payday Avenue's contract information, i am seeing an address in Malta. The contract says that "the laws of the Republic of Malta shall apply to this agreement."

I'm pretty sure the last one is legal.


Well at least we can add that to the list of illegal/unlicensed pdl's! :wink:


lrhall41

Submitted by Shazzers on Mon, 08/04/2008 - 06:27

( Posts: 17344 | Credits: )


Well, i know i wrote my first few message a bit ago and haven't checked back in. I have actually had a hard hold placed on my account. The first time i called they tried to tell me that i wasn't able to block a financial institution or something, then i got a manager and they processed it for me. Were it not for this site, i would have probably accepted the first answer i got. But i didn't. Now i am in the process of sending out all of my C&D letters the illegal places and contacting the legal places to make payment arrangements.

The one thing i'm afraid of is them calling me at work. I have a new supervisor starting on Monday and i think that it would be AWFUL if her introduction to me was getting a call from a PDL.

It seems like results are varied as to how people are contacted. I don't know what to expect. But what i do know is that i feel SO relieved now knowing that there is a way out of this.


lrhall41

Submitted by swergirl on Wed, 08/13/2008 - 17:56

( Posts: 5 | Credits: )