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Internet PDL in Indiana

Date: Fri, 10/24/2008 - 08:15

Submitted by paul
on Fri, 10/24/2008 - 08:15

Posts: 3 Credits: [Donate]

Total Replies: 14


I have really messes up and have 6 PDLs all internet. SonicCash, Zip19, Star Advance, NationwideCash, MyCashNow, and NationalPayday. I am planning to go meet with my bank branch manager and close my account tomorrow and then I have drafted a letter revoking wage assignment and ACH access. I am willing to pay back any remaining principal, although I am not sure there is any when paymenst are added up. Will they still call my employer? Will they call my personal references (family)? Will they call me at work, even when I demand that all contact be via USPS or Email? I am so nervous about this and what they may try to do to collect. I just want to get out of the trap and never go down this road again. I just don't want to create worse problems for myself. I am in Indiana. Also is sending the letters via email sufficient? Any help you can provide is surely appreciated.


Hi Paul,

Here are the payday laws for Indianna. From what I read a company must be licensed to lend in Indianna:

Quote:

Indiana State Information

Quote:
Legal Status: Legal

Citation:
Ind. Code Ann. ???? 24-4.5-7-101 et seq.

Loan Terms:
Maximum Loan Amount: $550 (not to exceed 20% of borrower's monthly gross income)
Loan Term: Min: 14 days
Maximum Finance Rate and Fees: 15%: $0-$250; 13%: $251-$400; 10%: $401-$500
Finance Charge for 14-day $100 loan: $15
apr for 14-day $100 loan: 390%

Debt Limits:
Maximum Number of Outstanding Loans at One Time: One per lender; Two total
Rollovers Permitted: None (cannot renew, repay, refinance or consolidate)
Cooling-off Period: 7 days after 6 consecutive loans
Repayment Plan: After 3 consecutive loans, lender must offer an extended payment plan of at least four equal installments at no additional cost

Collection Limits:
Collection Fees: One $20 NSF fee; additional charges may apply when check or authorization to debit was used to defraud another
Criminal Action: Prohibited

Where to Complain, Get Information:
Regulator: Indiana Department of Financial Institutions
Address: 30 South Street, Suite 300 Indianapolis IN 46204
Phone: (800) 382-4880
Fax:
Regulatory Contact: Mark Tarpey,, Supervisor, Consumer Credit
Regulator Website
http://www.in.gov/dfi/


You have taken all the right steps so far, I will check to see if any of the companies are licensed. Depending on the company, they may try to contact your employer or references, I have heard different sotries from everyone about this. In my case I was lucky & they only tried to call me...sending your letters by email is fine, you will have a papertrail. I faxed and emailed mine so I had a papertrail for both. I will check on the companies & be back in a few :D


lrhall41

Submitted by dawnlango7 on Fri, 10/24/2008 - 08:29

( Posts: 1147 | Credits: )


Hi Paul,

Here is what I have found out so far, I am still looking for info on National Payday:

Sonic Cash - not licensed
Zip19 - not licensed
Star Advance - not licensed
Nationwide Cash - not licensed
Mycash now - not licensed

You are only morally responsible to pay back the amount you have borrowed. Once you figure out what you have paid to each company in fee's you will have a better idea if you owe them or if any of them owe you a refund. Once I have some info on National I will be back :D


lrhall41

Submitted by dawnlango7 on Fri, 10/24/2008 - 08:55

( Posts: 1147 | Credits: )


I owed Soniccash 800 and have paid 580
I owed Zip19 500 and have paid 240
I owed Star Advance 100 and have paid 73.30
I owed NationwideCash 500 and have paid 542.50
I owed MyCashNow 500 and have paid 602.08
I owed NationalPayday 300 and have paid 375

I just is so bad to see it in writing. I just can't believe I have done this. Thanks for your help.


lrhall41

Submitted by paul on Fri, 10/24/2008 - 09:11

( Posts: 3 | Credits: )


Your welcome, from the looks of it you owe 3 companies & 3 owe you:
Sonic cash - you owe $220
Zip19 - you owe $260
Star advance - you owe $26.70
Nationwide Cash - owes you $42.50
Mycashnow - owes you $102.08
National Payday - owes you $75

Believe me I know how you feel, when I sat down & looked at the loans I had (there were 11) I found out that I was paying about $2200 a months just in fees & payday downs. It was a wake up call...


lrhall41

Submitted by dawnlango7 on Fri, 10/24/2008 - 09:42

( Posts: 1147 | Credits: )


With an illegal PDL that I still owe principal on, can I go back and show where I overpaid interest to them on a previous loan and apply the overage to my current principal? As is, I still owe SonicCash 220 but I repaid my debt and 200 in charges on a previous loan a few months ago ... could I just pay the remaining $20 and be done with it ?


lrhall41

Submitted by paul on Fri, 10/24/2008 - 10:04

( Posts: 3 | Credits: )


Quote:

With an illegal PDL that I still owe principal on, can I go back and show where I overpaid interest to them on a previous loan and apply the overage to my current principal? As is, I still owe SonicCash 220 but I repaid my debt and 200 in charges on a previous loan a few months ago ... could I just pay the remaining $20 and be done with it ?


I wouldn't pay anything above and beyond the principal amount period. I would apply all interest and fees I had paid to the principal amount. If you have over paid, ask for a refund, all they can do is say no. And they will continually claim you owe them more, more, and even more whether you pay them above and beyond the principal amount owed. That's how illegal lenders operate.


lrhall41

Submitted by Shazzers on Fri, 10/24/2008 - 10:13

( Posts: 17344 | Credits: )


I sent an email to all lenders. I have only heard from 3 of them.
Star Advance sent me a nasty letter. Rather than responding with the information requested they told they would just chalk it up to bad judgment and told me to "just keep it". They did not give me a physical address or any of the things requested in the letter.
Soniccash said that my loan was with Sonic Cash LLC and that a separate business entity Sonic Cash Inc. had taken them over. They said they intend to obey all laws of the state they make the loan in. They said my loan had been written off. They were very nice, but did not offer a refund. I am more than satisfied.
Nationwidecash.com called me today. A very rude lady called wanting the money and said that my account was showing as closed (and I confirmed that it was indeed closed). Every time I would say anything, she would mutter off something rude about me and then put me on hold. The final time she came back from hold, she hung up on me. I have requested to only be contacted via email and USPS. I filed an complaint today with the Attorney General.
I have not heard from the others, feel like I am waiting for the other shoe to drop.


lrhall41

Submitted by on Thu, 11/06/2008 - 10:33

( Posts: | Credits: )


I got an email from ZIP19 with 2 attachments. One was the original electronic loan document, the other was a letter saying that they operated under the laws of Malta, not Indiana.

They are wanting $500 by December 30. The problem with ZIP 19 is that they do not do renewals, rather they do same day re-loans. So I was required each time the loan came due to pay off the entire loan plus fees/interest and the request an immediate re-loan, rather than just paying interest and fees and extending the same loan. This is in reality just a renewal, but the way they have set it up it looks like a brand new loan with principal money constantly being passed back and forth. They are making it look like all I have to do is pay back the original principal amount of $500, but the truth is I have already paid them $240 with the fees that came due with these same day re-loans. Am I just stuck or what can I do. ANd what about the laws of Malta, will they sue me in Malta and do I care? Thanks for any help.


lrhall41

Submitted by on Mon, 11/10/2008 - 10:51

( Posts: | Credits: )


Hi Troubled,

Because the company is based out of Malta, they are illegal here. There is nothing they can do to you except make phone calls & send emails. Offer them $260 to pay back the principal amount and ask for an address to send a money order to. If they refuse, then its on them. At least you are making the attempt to pay them back.


lrhall41

Submitted by dawnlango7 on Mon, 11/10/2008 - 11:14

( Posts: 1147 | Credits: )