4 Internet payday loans in Kentucky

Here is your states Information:

Quote:

Kentucky requires Internet based pdl's to be licensed by your state.

Thanks for the quick responses but, what does that information mean for me?

Rollovers are not permitted in the state of KY.

Payday One is legal, are you sure you rolled over your loan with them, or did you pay them off and re-loan, it surprises me that they allowed you to roll over since they usually follow the law, you will need to work out some type of payment arrangements or they could sue you. You might want to request an extended payment plan on your current loan. If you are certain they have rolled over your loan, I would send them a copy of the pdl laws and inform them that you are going to report them to the Federal Trade Commission, and your Attorney General's office if they don't correct it. But make sure they DID roll over your loan before you report them.

I'm not sure about "Discount", are you sure they don't call themselves "Discount Advances"? If so, they are NOT licensed to lend to KY residents.

If I'm not mistaken, Cash Call owns City View, which means it is an installment type of loan, they are backed by a bank which would put them in a different category than pdl's. According to what I have read here at the forum they are very nasty to deal with. If they work the same way as Cash Call they are backed by an FDIC insured bank, usually First Bank of Delaware, they are allowed to import their interest rates from their home state. So the interest rate of 99.24% is totally 100% LEGAL.

Well, I'm not sure with payday one. I would pay a fee for a few times without paying any on the premium. Then, I would pay part on the premium along with interest and then I could increase the amount? Discount advance is right. They are not licensed in Ky.... So, what do I do with that one? How should I handle Integrity? Also, with City view....I am paying $30 per $100 so far. thanks for all the help. I'm very stressed out about these.

Integrity Advance - I think that's a payday loan, I don't know very much about them but keep checking back, I am sure someone else can advise you on them.

When an Internet payday lender isn't licensed to lend you are only morally obligated to pay them back the principal amount borrowed. Since all of your lenders have your personal bank information they will continue to debit your account unless you place a hard debit block on it, the only way you can do that is to go into the bank and speak directly to the Branch Manager as they are usually the only ones authorized to do so and the tellers will most likely tell you they have never heard of it. It would be to your advantage to either close out that account or place a hard debit block on it so you can once again have control of your finances. But you need to make payment arrangements with your lenders, I would arrange to pay them USPS with money orders. I would also inform them you are revoking their ACH rights to your account per the EFTA and Universal Debit Agreements. (Regulation E).

Quote:

A rollover loan would be any loan made by a payday lender to a borrower within 24 hours after the repayment of a previous payday loan.

Some of the steps below (not all) should be helpful to you in deciding how to handle the legal and illegal lenders.

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]

Can you give any guidance on how to negotiate a payment arrangement with payday one? Would I need to continue to pay the high interest and fees? Are they likely to reduce interest or am I just out of luck? I would appreciate any guidance on how to proceed with that one? I have $185 due to them on Friday and I can't pay it.

How should I proceed with Payday One? How do I negotiate repayment terms? Will they continue to charge the high fees/interest? Any guidance will be appreciated?

You need to send them (PaydayOne) a letter via email revoking their ach rights, also revoking any and all wage assignments you may or may not have signed with them, example below. Explain that you are having a financial hardship and are unable to meet the $185 due on 1/4/09, but are more than willing to pay this loan off by way of USPS via money orders. Ask them for an extended payment plan. They are fairly easy to deal with as far as I know.

Quote:

I would also explain to them that you will pay this loan off with interest per your payday loan state laws.

I am going to have to run now, please keep us posted on your progress, if you have any more question please feel free to ask. Take good care!

If I send that letter to payday one and state that due to unexpected loss of income...etc...etc...etc. What then will happen? Will they still attempt the EFT? If I can make an arrangement with them and then get integrity taken care of. I can probably handle the rest and pay it off early....and get out from under. One step at a time. I keep telling myself.

This is information on the payday one website....does this make a difference? kentucky is not listed? It is listed in another area though. Can I request that they only contact me via my personal phone and not my work/references?

PayDay One is licensed and/or regulated by the Following:Regulator: Alabama Banking Department
Address: P.O. Box 4600 Montgomery AL 36103
Phone: (334) 242-3452
Fax: (334) 353-5961

Regulator: Arizona Department of Financial Institutions
Address: Financial Enterprises Division, 2910 N. 44th Street, Suite 310 Phoenix AZ 85018
Phone: (800) 544-0708
Fax: (602) 381-1225

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

Regulator: Colorado Office of the Attorney General
Address: Uniform Consumer Credit Code, 1525 Sherman St., 5th Fl. Denver CO 80203
Phone: (303) 866-4494
Fax: (303) 866-5691

Regulator: Delaware Office of the State Bank Commissioner
Address: 555 E. Loockerman Street Suite 210 Dover DE 19901
Phone: (302) 739-4235
Fax: (302) 739-3609

Regulator: Hawaii Department of Commerce and Consumer Affairs
Address: Consumer Resource Center, 235 S. Beretania Street, Rm 801 Honolulu HI 96813
Phone: (808) 587-3222
Fax: (808) 586-2640

Regulator: Idaho Department of Finance
Address: Consumer Credit Section, 700 West State Street, 2nd Floor Boise ID 83702
Phone: (208) 332-8000
Fax: (208) 332-8099

Regulator: Illinois Division of Financial Institutions
Address: Consumer Credit Section, 320 W. Washington Springfield IL 62701
Phone: (888) 298-8089

Regulator: Indiana Department of Financial Institutions
Address: 30 South Street, Suite 300 Indianapolis IN 46204
Phone: (317) 232-3955

Regulator: Kansas Office of the State Bank Commissioner
Address: 700 SW Jackson, Suite 300 Topeka KS 66603
Phone: (785) 296-2266
Fax: (785) 296-0168

Regulator: Maine Office of Consumer Credit Regulation
Address: Department of Professional and Financial Regulation, 35 State House Station Augusta ME 04333
Phone: (207) 624-8527
Fax: (207) 582-7699

Regulator: Michigan Office of Financial and Insurance Services
Address: P.O. Box 30220 Lansing MI 48909
Phone: (877) 999-6442
Fax: (517) 335-4978

Regulator: Mississippi Department of Banking and Consumer Finance
Address: 901 Woolfolk Building, Suite A 501 N. West Street Jackson MS 39201
Phone: (601) 359-1031
Fax: (601) 359-3557

Regulator: Missouri Division of Finance
Address: Consumer Credit Section, P. O. Box 716 301 W. High Street Jefferson City MO 65102
Phone: (573) 751-3242
Fax: (573) 751-9192

Regulator: Montana Department of Administration
Address: Division of Banking and Financial Institutions, 301 South Park, Suite 316 P.O. Box 200546 Helena MT 59620
Phone: (406) 841-2920
Fax: (406) 841-2930

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

Regulator: Nevada Financial Institutions Division
Address: 2785 E. Desert Inn Rd., Suite 180 Las Vegas NV 89121
Phone: (702) 486-4120
Fax: (702) 486-4563

Regulator: Oklahoma Department of Consumer Credit
Address: 4545 North Lincoln Boulevard, Suite 104 Oklahoma City OK 73105
Phone: (405) 521-3653
Fax: (405) 521-6740

Regulator: Oregon Department of Consumer & Business Services
Address: Division of Finance & Corporate Securities, 350 Winter St. NE, Rm. 410 Salem OR 97301
Phone: (503) 378-4140
Fax: (503) 947-7862

Regulator: South Dakota Division of Banking
Address: 217 1/2 West Missouri Avenue Pierre SD 57501
Phone: (605) 773-3421
Fax: (605) 773-5367

Regulator: Utah Department of Financial Institutions
Address: 324 South State Street, Suite 201 Salt Lake City UT 84111
Phone: (801) 538-8830 Fax: (801) 538-8894

Regulator: Washington Department of Financial Institutions
Address: Division of Consumer Services, PO Box 41200 Olympia WA 98504
Phone: (360) 902-8700
Fax: (360) 725-7827

Regulator: Wisconsin Department of Financial Institutions
Address: Wisconsin Consumer Act Section, P.O. Box 8041 Madison WI 53708
Phone: (608) 261-9555
Fax: (608) 261-7200

Regulator: Wyoming Division of Banking
Address: Uniform Consumer Credit Code, 122 West 25th Street Cheyenne WY 82002
Phone: (307) 777-7797
Fax: (307) 777-3555

Susan, unless you revoke their authorization, yes they will atempt to do the EFT. Do as Shazzers suggested and send a revocation letter. If you want to really find out if Payday One is licensed to lend in KY contact

Regulator: Kentucky Office of Financial Institutions
Address: 1025 Capital Center Drive, Suite 200 Frankfort KY 40601
Phone: (800) 223-2579
Fax: (502) 573-8787
Regulatory Contact: Gary Davis,, Branch Manager

Yes, you can write a C&D letter to them, whether they listen not that is another story.

Ok....here goes nothing. I'm sending them the letter. Keep your fingers crossed for me. I am going to request that all correspondance be in email so that there will be no confusion later. :)

Susan, don't forget to give the copies of the revocation to your bank :)

I sent the email. I received an auto reply from them saying they got my message and will respond within 24 hrs. So, now I wait. Anyone have any advice on how to deal with Integrity Advance? If I can get these 2 taken care of, I can make it. The original amount was $400 and I have paid $600 up until now.

Just jumping in here becuase I am familiar with KY.....Susan, I noticed there were some questions regarding KY licensing and laws for internet pdls. Here is some additional information that may help you...I used this info when dealing with this situation and it worked for me...it has been awhile so things may have changed a little...if so, I am sure someone will correct me.

Know that while I was working on this, the KY AG was receptive and responsive to my complaints.


[quote]Emails to and from the banking dept:

To Whom It May Concern:

I have a question regarding internet payday lenders. I have visited the Department of Financial Institutions site and found some information. However, I am still a little confused.

I understand that storefront payday lenders are legal in the state of Kentucky and have printed out the laws applying to them. However, there is nothing regarding internet payday lenders.

I did a search on the site to see if some internet payday lenders were licensed in Kentucky. No results came up for any of them. If the case is that an internet payday lender is not licensed in the state of Kentucky, what then?

Internet payday lenders are claiming they do not have to comply with Kentucky state law. They claim they comply with the law in which they are located.

If they are not licensed in the state of Kentucky to fund loans, are they not in violation of some sort of law?

Any help in this matter would be greatly appreciated. At the very least, it might clear up my confusion.

Thank you so much for your attention in this.

Response:

Internet payday lending is illegal in Kentucky.

Chris Thompson
Compliance Branch Manager

Reply:

I have emailed before regarding internet payday lending and received the reply that internet payday lending is illegal in Kentucky. Thank you for that information.

I now have another question. If an agency is attempting to collect on an internet loan - which was illegally funded - does the collection agency need to be licensed in the state of Kentucky? Is this even a legal debt to collect on?

Thank you for any information you can give.

Response:

I am not sure who if anyone licenses collection agencies. This Office does not consider it a legal debt as the entity was not licensed to do business in Kentucky. Chris Thompson
Compliance Branch Manager

Reply:

I have viewed our state pay day law and understand that a store front pay day loan company can collect one NSF fee if your check is returned by your financial institution.

However, I have a question. How many times can a pay day loan company run the check through to your financial institution?

I have a pay day loan company that I am working on setting up a repayment plan; however, they keep running the check through my financial institution every week.

I was under the assumption that pay day loan companies may run the check through only once; however, I could be misunderstanding.

Could you please clairfy for me how many times a store front pay day loan company can run your check through your financial institution? I would like to be sure this company is following the law.

Thank you in advance for any answers/advice.

Response:

There is nothing in the check casher statute that prohibits the number of times a pay day loan company can run the check through; however, it is my understanding that banking law on allows a bank to do it only twice.

Chris Thompson
Compliance Branch Manager

I've looked more into this, to see exactly why internet lending is "illegal" in KY

Ms. :

We have an Administrative Regulation in Kentucky 808 KAR 9:040 Limitation on electronic fund transfer from customers accounts that states: ???????In connection with a deferred deposit transaction, a license shall deposit or present for payment a customer????????s actual check to the customer????????s bank or other financial institution unless that check is redeemed or bought back by the customer.???????

This prevents Internet payday loans in Kentucky and any company that may be offering loans in Kentucky is doing so illegally. If you have any additional questions feel free to contact me.

Sincerely,

Rodney Gabbard

What does this mean?

A legal lender must hold a check from the customer.

Storefronts can charge you 15% of the face value of the check.

Rollovers are not allowed.
[/quote]

Ok..with that being said...when I was going through this internet pdl's were not considered a legal, collectable debt by the state of KY. If they are all pdl's and there are no installment loans...stick to your guns. You have the information posted above taken directly from emails to and from the state of KY to support your case. At this point, as Shazzers said, you only need to pay back what you borrowed from Discount and City View. You have more than paid back what you borrowed to Pay Day One and Integrity. Be aware that Integrity and Pay Day One will see it differently and you may have to repeat yourself over and over again to them but eventually they will get the message. You can also use the search box at the top right corner of the page to see how other members have dealt with these companies. I hope this helps.

Also...from my experience...revoking EFT authorization does not always work. Be sure to keep very very very close tabs on your account. I can understand not wanting to close the account however, that may be your best option to keep them from getting to your $$....It really will depend on how well your bank will work with you on this.

I still need help from anyone who has dealt with Integrity Advance!!! Thanks for all the help. I'm only just beginning to crawl out but, once I'm free....

RoxyNY wrote:
Quote:

Thanks everyone for the help so far. Here is my morning update: I have not heard back from PayDayOne yet...I did include in the letter the amount I have paid back so far. My concern with integrity is are they actually classified as a payday? Anyone know anything about them?

I have heard back from both of the places I emailed. Pay Day One agreed not to draw from my account. I need some further help in how to negotiate and extended payment plan. They send me an email basically saying that they wouldn't draw but, I needed to pay by another method. I think I also have success with the other one I have technically overpaid. The last two I haven't paid enough yet to pay back the premium. I think that I will continue to pay the rollover fees until that is close. One of them I borrowed $200 from and since I have 1-2 monkies off my back I will try to pay them off next paycheck if all goes well. That is city view that is actually an installment loan per information given to me earlier. The last is an illegal one in KY. I plan on letting them take the refinance fee until I am closer to paying the $370 premium and then deal with them. That allows me to just be paying them $60 every other week. I can swing that as I will have them paid off in another 6 weeks. I can do that and feel good about things. A friend brought me a fortune cookie tonight. The fortune said "You should be able to make and keep money"!!!!! How ironic is that? It did give me hope.