Switching banks and payday loans
Date: Mon, 09/29/2008 - 17:09
I was wondering how i go about doing this. 1. Should i switch banks without telling the payday lenders? 2. And if i do need to tell them, what do i say and should i email/fax/or mail them?) 3. Will they keep charging me the fee if I refuse to give out my new account infonmation?
I do plan on paying them but i honestly can pay these off easier without paying on all of them at the same when half of them I can only afford the loan fee. I get paid on monday 6/6/08 and i want to close my account out after that. sorry i have a lot of questions but i really want to get this payday loan mess over and done with! I tried every outlet i could but its hard without PA not having any pdl laws.
You previous thread was actually answered...you must have skippe
You previous thread was actually answered...you must have skipped that one...Here it is payday loans and fees
If you don't want to payoff the loans then close the bank account, but please read before closing the same: -
IMPORTANT - Read before closing your bank account due to pdl
You're only required to pay the interest rate as mentioned in the pdl law in PA.Quote:
Small Loan Rate Cap $9.50 per $100 per year discount or 24% per year |
You can also take a free counseling from our community expert.
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I personally closed my account and opened another account at a completely different bank which I had already. I sent certified return letters to all the PDL's..and said I would like to work out some kind of payment arrangements. Mine are all internet PDLS.. so far 2 of them are letting me pay them once a month..which is going to be alot better then every paycheck..they are even going to let me pay mine off first then my husbands starting in November which I find odd but I will take it..Between my husband and I we have 8 and we had fees coming out of every paycheck which got me behind on my house note and one of car notes.. I just couldn't do it anymore..I was always scared to just put my foot down and close my accounts and just work out some kind of arrangements. Now I wish I would of done it a long time ago..It is a loop that you can not get out of unless you just do it...The way I look at it ..yes you owe them the money and if all you can do is pay them once a month then so be it..I think they will except that instead of not getting it at all.
I believe that PA is one of those states that does not license I
I believe that PA is one of those states that does not license IPDL's, but require that the lender be licensed somewhere. (If I am wrong, please correct me.) I would call your state DFI and confirm this.
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Yes desperatelyseekingsanity you're absolutely right. I'm givin
Yes desperatelyseekingsanity you're absolutely right. I'm giving payday loan laws of PA to potentiate your answer: -
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 |
In addition to this, pdl laws regarding the internet ones require that the concerned pdl company is licensed in any one of the states of USA. Quote:
The following state allow an internet based payday loan company to lend legally as long as it is licensed in any US State. They would need to follow the laws of the state they are licensed out of, not the state the consumer is in. Arkansas Minnesota Pennsylvania Rhode island Tennessee Wisconsin |
To know more on internet pdl laws in different states, please go through the following page: -
Internet payday loan lending laws in all 50 states
If your lenders are operating legally, you will need to make pay
If your lenders are operating legally, you will need to make payment arrangements with them. If they are operating illegally, then definitely don't tell them ahead of time that you are closing your bank account. If you do, they may go into your account and clean it out.
