Attorney General No Help In Ohio-------Help....
Date: Tue, 01/06/2009 - 13:37
I filed a complaint with the AG office in Ohio and this is what they sent me. I stated that these companies were not licensed in Ohio. This is for loans with Midland and Fox. Should I contact the Dept of Commerce now? Is there another Ohio Revised Code out there that this would fall under? I took out a $300 loan with Midland and have paid $360 back in fees only and a $300 loan with Fox and paid $180 in fees only. They still say I owe $512 on one and $513 on the other.Thanks
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Response from Ohio AG office: According to Ohio Revised Code 1321.36 that went into effect on 9-1-08 the company did not have to be licensed prior to this date but now does. Since you incurred your loan prior to this date the terms and conditions of the contract govern your loan. ______________________________________________________ I found this one on this site. Is it still active? § 1321.02. License; exceptions. No person shall engage in the business of lending money, credit, or choses in action in amounts of five thousand dollars or less, or exact, contract for, or receive, directly or indirectly, on or in connection with any such loan, any interest and charges that in the aggregate are greater than the interest and charges that the lender would be permitted to charge for a loan of money if the lender were not a licensee, without first having obtained a license from the division of financial institutions under sections 1321.01 to 1321.19 of the Revised Code. Sections 1321.01 to 1321.19 of the Revised Code do not apply to any person doing business under and as permitted by any law of this state, another state, or the United States relating to banks, savings banks, savings societies, trust companies, credit unions, savings and loan associations substantially all the business of which is confined to loans on real estate mortgages and evidences of their own indebtedness; to registrants conducting business pursuant to sections 1321.51 to 1321.60 of the Revised Code; to licensees conducting business pursuant to sections 1321.71 to 1321.83 of the Revised Code; or to licensees doing business pursuant to sections 1315.35 to 1315.44 of the Revised Code. No person engaged in the business of selling tangible goods or services related thereto may receive or retain a license under sections 1321.01 to 1321.19 of the Revised Code for such place of business. The first paragraph of this section applies to any person, who by any device, subterfuge, or pretense, charges, contracts for, or receives greater interest, consideration, or charges than that authorized by this section for any such loan or use of money or for any such loan, use, or sale of credit, or who for a fee or any manner of compensation arranges or offers to find or arrange for another person to make any such loan, use, or sale of credit. This section does not preclude the acquiring, directly or indirectly, by purchase or discount, of a bona fide obligation for goods or services when such obligation is payable directly to the person who provided the goods or services. |
Unfortunately, you have just been exposed to the problems that a
Unfortunately, you have just been exposed to the problems that arise when states try to "protect" you from yourself.
They may have not had to be licensed but don't they still have t
They may have not had to be licensed but don't they still have to abide by the payday loan laws at the time?
When you mean fees do you mean rollover fees because at that time rollovers were not allowed in Ohio making that practice illegal.
For a $300 loan you should have had to pay back $345 with no rollovers. You had to pay back the entire loan ($300) and interest ($45)within 14 days.
