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Loan Point please help

Date: Thu, 10/23/2008 - 11:56

Submitted by anonymous
on Thu, 10/23/2008 - 11:56

Posts: 202330 Credits: [Donate]

Total Replies: 8


I have a pdl from loan point for for $400 they have been taking out $120 bi weekly since May without paying down the loan at all. It is killing me is there anything I can do. I am located in California? this is the only pdl I have left and can't afford to pay them off.


I'm assuming that this is an internet loan ~ I try to keep up with the names but there are so many LOL

Wow...you've really paid a lot. I'm sorry to hear that. Basically if this is an illegal pdl, you've already paid what you've needed to. Telling them to stop won't do anything unfortunately...the best thing to do is to change your bank account. Talk to the bank manager and I'm sure they'll have some suggestions for you...I'm sure they've seen it all before.


lrhall41

Submitted by debrag_25 on Thu, 10/23/2008 - 12:06

( Posts: 220 | Credits: )


I'm new to the site. I have a few outstanding PDL's. They were from the internet. I paid quite a bit to them, but they still say I owe because I paid interest only and did not pay them down. How do I know if any of them are illegal? If they are illegal, what can I do to stop it all? None of them are taking out of my current account. I switched banks once I realized they would not stop, no matter how much I contacted them or tried to make other payment arrangements.


lrhall41

Submitted by bobbert0728 on Thu, 10/23/2008 - 12:10

( Posts: 3 | Credits: )


Hi,

Here are the law's for CA, a pdl must be licensed in CA to lend:

Quote:

California State Information

Legal Status: Legal

Citation:
Cal. Fin. Code ???????? 23000 to 23106

Loan Terms:
Maximum Loan Amount: $300
Loan Term: Max: 31 days
Maximum Finance Rate and Fees: 15% of check
Finance Charge for 14-day $100 loan: $17.65
apr for 14-day $100 loan: 459%

Debt Limits:
Maximum Number of Outstanding Loans at One Time: One
Rollovers Permitted: None (cannot charge fee for extension)
Cooling-off Period: None
Repayment Plan: Voluntary (no fees may be charged in conjunction with payment plan)

Collection Limits:
Collection Fees: $15 NSF fee
Criminal Action: Prohibited

Where to Complain, Get Information:
Regulator: California Department of Corporations
Address: Financial Services Division, 1515 K Street, Suite 200 Sacramento CA 95814
Phone: (866) 275-2677


What Does this mean?

Internet based companies must be licensed by CA to lend legally.

Fees may not exceed 15% of the face value of the check.

No Rollovers are allowed.

From what I've read, loan point is not licensed to lend in CA, therefore you have over paid them. I would do as Debrag suggests & close your account, that way they can no longet access your money. I would also report them the the BBB, FTC and the CA attorney General. You can also send them a cease & desist letter advising them that you are revoking your authorization to debit your account, contact your references or to call you, all contact must be by email or phone and you are also revoking any wage assignments you may have signed. In the letter you can also ask for a refund, you may not get it but it doesn't hurt to try.

I know that I am throwing a lot of info at you so if you have any questions, please ask... :D


lrhall41

Submitted by dawnlango7 on Thu, 10/23/2008 - 12:16

( Posts: 1147 | Credits: )


I hope the information below will help you. :)
You are only obligated to pay back the principal amount you borrowed from an unlicensed/illegal Internet Payday Lender.
[quote]
What should you do?
Close your account asap, if you are unable to close your account, go into your bank and ask to speak with the Branch Manager, tell him/her you need a hard debit block placed on your account immediately! Explain that you are revoking ACH authorizations from unlicensed/illegal companies, and have learned these companies are notorious for ignoring revocation, therefore it is important to BLOCK any withdrawal attempts on your account to protect your interest. This is your privilege, do not accept no for an answer. The following link will provide you important information regarding closing accounts. CLICK HERE

What next?
AFTER your account is secure send each pdl (the unlicensed and illegal) an email similar to THIS (please scroll down to locate letter template). Tailor this letter to your needs, and try to write it with the same basic concept in your own words. You will need to research and locate email addresses/physical addresses if you don't already have them, I suggest that you type the name of the pdl (example: "oneclickcash address") in the search box in the upper right hand corner of this forum. You may also search for addresses HERE at the Better Business Bureau.

File complaints: Most of the time, you can file a complaint online with the following, I encourage you to follow through with doing so, you will need to search the Internet for your state Attorney General's website, however, here are links to file complaints for the FTC, Online complaints: Federal Trade Commission., and the BETTER BUSINESS BUREAU.

Keep in mind that you may not receive a response for days, or even weeks, or, you may receive harassing and threatening phone calls. I have found the best way to deal with this is not to respond or reply, simply hang up.

Side note: If you have paid an illegal/unlicensed payday lender above and beyond the principal amount you borrowed, it might be a good idea to demand a refund and a paid in full letter/receipt. You may or may not get one or both. It still doesn't hurt to include that tidbit in your letter. :)[/quote]


lrhall41

Submitted by Shazzers on Thu, 10/23/2008 - 15:24

( Posts: 17344 | Credits: )