Reasons for Not Paying PDL
Date: Thu, 01/08/2009 - 11:07
This is not a thread for bashing myself or another poster, nor is it an opportunity "flame" another person or company. If it turns into that, this will be closed.
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Having read posts from individuals that have gotten into trouble with PDL, I see a few commonalities.
1. The borrower does not understand that when they pay the fee, it is not going to the principle.
2. The borrower does not understand what the fee per $100 is on the loan.
3. The borrower tends to blame the PDL company for approving the loan.
4. The borrower gets upset that when they do not pay, they get calls to home, cell, work, references.
Now, some of the illegal PDL's are not angel's, OK most of them, but don't they have a right to try to collect thier money?
I do not complete PDL's online, nor have I ever taken one out just to "shop" an online lender. This is purely a discussion to see if I can tweak my store-front operations to avoid issues in the future.
Here are the actual questions is:
1. Can you explain how you were able to take out a PDL without being notified of the terms, rates and process? It is my understanding that a lender must "validate" these items in the process.
2. I understand the license issue, but why should a company that loans to you not be entitled to a fee when you searched them out to submit an application?
* Again, please remember that this is an item for discussion. I have already asked one of the Mods to stay on top of the appropriateness from myself and other posters.
My personal experience....I had 4 loans. For 2 of them, I have
My personal experience....I had 4 loans. For 2 of them, I have no paperwork or anything (My ignorance). I took the last 2 out of desperation due to loss of income. I had to keep my transportation and have a place to live, utilities (basics) and food. I felt overwhelmed and originally just wanted to consolidate. Then, I found this forum. I was determined to get myself in a better financial situation. I knew that if I can get these off my back, I would be able to start saving each month in case of another unforseen loss of income. My biggest issue is that I have paid over $1200 in interest to a particular place. I can't see myself getting past this on my own. It was an internet loan (all of them were)and those are illegal in my state. I feel at this point that they have benefited by $1200 and I am hoping they will be understanding and agree to a pif.
Quote:1. Can you explain how you were able to take out a PDL wit
Quote:
1. Can you explain how you were able to take out a PDL without being notified of the terms, rates and process? It is my understanding that a lender must "validate" these items in the process. 2. I understand the license issue, but why should a company that loans to you not be entitled to a fee when you searched them out to submit an application? |
Are you asking about store fronts? Legal Internet? Illegal Internet?
I believe if you are looking for true experiances or data the answers are going to be different.
I want to keep it open to all three forms. As I stated, there a
I want to keep it open to all three forms. As I stated, there are 4 common items that I listed that almost always come up, atleast in part, when some one gets mad about PDL's. It seems that whether on TV, in the newspaper or on the internet, when a person get introuble with PDL's and manage to get a mouth piece, they always blame the lender and not themself.
I feel that there are alot of people on this forum that can share experiences, even though they did not play the blame game.
Hi
Hey, I'm the guy who has been spamming the shit out of these forums. I have no association with the payday lending industry other than reading and spamming these boards. I will say that these boards are FILLED with whiners, it's just like the mortgage industry, these idiots don't read their paperwork, then get mad when the deputy comes by to evict them like it was freddie/fannie mac's fault that they purchased a house they could not afford. I can imagine payday loans would become cumbersome if you take out 12 at a time without reading any paperwork, and asking any questions relating to your loan. These idiots think that loans are free to give, and that principal is the only thing that matters. Payday lenders employ many people, and provide a service to people who need a temporary cash solution, seems to me the only people bitching are the ones who let their loan last for years at a time. In my opinion, they can go foul language edited as per forum rules. Please read tos - Jason themselves, and I will spam this forum to death.
Well there went the chance of keeping this from turning to a fla
Well there went the chance of keeping this from turning to a flame.
PDL owner, I think, as far as the illegal ones, from what I've s
PDL owner, I think, as far as the illegal ones, from what I've seen posted, we've always said pay back the principal amount that you borrowed. Whether the poster actually does or not, that's up to them... we have no control over that.
I think from what i've seen here, most of the people that get upset when the pdl has called repeatedly after being told they were not allowed to contact them at work, or what have you.
My question to you is, should overseas payday lenders be able to lend to customers in the US, especially in states where PDL's are prohibited?
First, I am NOT in any way supporting the practice of lending in
First, I am NOT in any way supporting the practice of lending in a state without a license. With that said, a customer searches out the lender, fills out the application and accepts the terms and the cash, at this point should they not be responsible for paying the fee for the loan. The lender may have been wrong for setting up a website, but they did not make that individual provide all of the information and accept the terms.
As for the calls, you are correct based on the some of the stories relayed here. Totally unacceptable.
Regarding your last statement. Why not? As long as they are licensed in the state to which the borrow lives. The problem is and always will be, there is no way to stop it or effectively regulate it. The best move is to make a consistent regulation for every state that has a workable fees structure ($15-$17 per $100), realistic loan cap ($500??) and no roll-overs. By making it consistent, the illegal lenders will have a tougher time gouging the consumer.
I will address the four common items instead of the actual quest
I will address the four common items instead of the actual questions.
Quote:
1. The borrower does not understand that when they pay the fee, it is not going to the principle. |
I can only speak for myself and these were before the new payday loan laws in Ohio.
There was no fee. There was interest which on paper could have been referred to as a fee but for legal purposes was not. I always new the interest for the amount I owed. In Ohio it was pretty straight forward.
Quote:
2. The borrower does not understand what the fee per $100 is on the loan. |
Again there was no fee just interest. There was interest per $100 and that was, in most cases, clearly displayed. We loan you X you pay back X.
Quote:
3. The borrower tends to blame the PDL company for approving the loan. |
I never blamed them for approving my loan. Most of my loans were store fronts and everything was legal. I do however "blame" them for not displaying the EPP option as clearly as everything else was displayed. BIG ASS HONKING sign displayed loans and interest. Not once did I ever see even a small sign about an EPP.
Quote:
4. The borrower gets upset that when they do not pay, they get calls to home, cell, work, references. |
I have never been upset to calls at my home. I have no cell. I do however get upset at calls at work and references. Now I have my own desk phone so calls to work are direct to me but if my calls were routed through other employees or my boss then you are causing a situation that may get some people fired. How are they ever going to pay you with no job?
Same with references. Most are family and friends and you are only calling them as an embarrassment tactic. If I am in trouble with a PDL and I am going to go to someone for help, who do you think that will be? Family or Friends? How can I go to them know that they know I have a loan with people hounding me? Collections that cause people to get stressed out and angry are going not going to get anywhere.
I really think that most people who take out loans whether store front or internet want to pay them back. Sometimes things happen and they can't pay it back and I will say MOST lenders will not work with you. I tried numerous times with a legal internet lender to make payment arrangements weeks before my first payment was due. They flat out refused until I was in default. It is that type of case that drives people to take a second loan and then a third. I would say that most illegal loans are obtained after they have already gotten all the store fronts they can and legal internet. They are desperate to try and keep from defaulting until it is to much to bear.
I only delt with one illegal lender. Again I tried to make arrangements before and no dice. That is when I went searching and found this site. I discovered they were illegal and it saved me tons of fees and interest and rollovers that I am sure would have occurred had I not gotten that information and I am grateful.
I can tell you no matter how nice people are, how nice lenders are or their customer service people that if it comes between eating/shelter or a defaulted loan you can always bet the loan is going to lose.
Lovely language Forum spammer... :x We really could do withou
Lovely language Forum spammer... :x
We really could do without your comments, thanks anyway :)
Don't feed them and they go away! Just delete the post and move
Don't feed them and they go away! Just delete the post and move on...
Mods! Clean-up in aisle 5.
PDL Owner, you make good points. With the ease/usefulness of the
PDL Owner, you make good points. With the ease/usefulness of the internet these days, it's hard to tell a legitimate PDL site from one that's overseas. The best we can do is educate people when they do come here asking for help with accurate information.
That's just it, though, most overseas PDL's are illegal. They don't follow US laws to begin with, what would make you think that they would follow a standard set rules? Yes, it would be harder (per say) to gouging the customer but if the customer is uneducated in the laws/rules of PDL's what's to stop a overseas lender from.
Btw, I am with you in that PDL's need consistent regulation for every state that has a workable fees structure to be through-out the US.
I can pretty much guarantee that if by the garce of ____ that th
I can pretty much guarantee that if by the garce of ____ that they were able to create a uniform regulation nationwide, the word would get out. The CFSA and FiSCA would advertise the lights out of along with all of you major "players" doing the same. There could be a seal of approval on the first page of the website disclosing that this is a legal lender. Where there is a will, there is a way!
He's a call center employee, nothing more, don't be fooled by pl
He's a call center employee, nothing more, don't be fooled by plumber joe
use a damn dictionary man, it's PRINCIPAL not PRINCIPLE.
use a damn dictionary man, it's PRINCIPAL not PRINCIPLE.
Not trying to be rude, I don't know you paulmergel, but this rea
Not trying to be rude, I don't know you paulmergel, but this really is something you should know being a moderator of this place.
principal Did you mean: principal, Principal (school), Victor
principal
Did you mean: principal, Principal (school), Victoria Principal (Actor, Drama), Principal (criminal law), Principal (university), Principal (commercial law), The Principal More...
Dictionary:
principal
(pr??n's??-p??l) pronunciation
Home > Library > Literature & Language > Dictionary
adj.
1. First, highest, or foremost in importance, rank, worth, or degree; chief. See synonyms at chief.
2. Of, relating to, or being financial principal, or a principal in a financial transaction.
n.
1. One who holds a position of presiding rank, especially the head of an elementary school or high school.
2. A main participant in a situation.
3. A person having a leading or starring role.
4.
1. The capital or main body of an estate or financial holding as distinguished from the interest or revenue from it.
2. A sum of money owed as a debt, upon which interest is calculated.
5. Law.
1. A person who empowers another to act as his or her representative.
2. The person having prime responsibility for an obligation as distinguished from one who acts as surety or as an endorser.
3. One who commits or is an accomplice to a crime.
6. Architecture. Either of a pair of inclined timbers forming the sides of a triangular truss for a pitched roof.
See definition #4
out of desperation and having to provide for my children I took
out of desperation and having to provide for my children I took out loans and before you know it i got caught. I fully understand PDL Owner. I never had the intention to not pay my loans back but seriously can we negotiate on the fees. Its crazy how much these finance fees are. PDL loans can be helpful only if you know for certain that you will be able to pay the full loan on your next pay date. I have used PDLs before and never got myself into this mess. This time around life happens and one mishap happened after the next. Like is said i never had any intensions not to pay. I guess to much of a good thing isn't good, not that i was abusing PDLs but in my time of need they provided me the finances that i needed. Just got way over my head. So bacially in over all I want to pay everything i owe and never again deal with these PDLs. ever.
I don't have any objection to paying back what I was loaned. But
I don't have any objection to paying back what I was loaned. But when you get a loan for $200.00, and the company you loaned from takes $1,000.00 and above, and then shows no sign of ceasing to take money from your account, I find that to be objectionable. I've had to learn the hard way not to do business with these people.
illegal vs legal
So if you go and borrow money from a loan shark which is illegal then they should have every right to be able to collect their money too. Because after all you agreed to the conditions.
Think about it: Well, you'll soon find out, if increasing reg
Think about it:
Well, you'll soon find out, if increasing regulation causes payday lenders to disappear, there won't be a place to get small amounts of money quickly, you'll HAVE to deal with loan sharks. If you pulled this crap, "You're illegal, I'm not paying you", you'll likely have broken fingers, ribs, and black eyes instead of just people calling your work asking "Where's my monah"