Help with PDL trap!!!!

No rollovers or rewrites are legal in TN so it surprises me that these lenders have done so. CLICK HERE to locate you pdl laws.

Quote:

Tn state law says "no rollovers--cannot renew or otherwise consolidate"
Take this for example:
I walk in, borrow $300, write my check for $330. 2 Weeks later, I take in $330, they give me my check back, then I immediately rewrite another check for $330, they give me my $300 and I walk out the door. I do this over and over again, therefore trapping myself into never being able to repay the loan. Would this not count as a rollover or extension???? I guess that is how they get people. Each check counts as a new loan. All the lenders in TN operate this way. At least the storefronts do.
I am just confused on one thing--if its illegal for them to do this, then why do they all do it? Is this how they justify it??

Well actually, if they are writing up a new contract every time and asking you to write a new check that wouldn't be considered rolling over, it would be taking out a brand new loan each time, so yes, that is legal unfortunately. :?

Shazzers is right. They are a new loan each time not a rollover.

I would contact the one that is contacting you the most often and start there. Offer some type of payment arrangments that you can afford and go from there.

Just take them one at a time until the are paid off. It will take time but just know every time you send them a payment you are getting closer to getting out of the PDL cycle.

Have you been paying on any of the loans lately?

MSKoolKat1 ,

Advance America & Check n Go are LEGAL PDL lenders. They can take you to small claims court and receive a judgment. Have you paid on those two?

no not yet. I just last week decided to stop letting PDL eliminators help me and help myself. I can not afford anything this month.

So, everyone else is getting tons of help, but its been weeks since someone tried to help me...whats up with that?
LOL, I guess I am a loser since mine are all storefronts??????

Instead of keeping taking out new loans, the only way for you to resolve this is unless you win the lottery and you can finally payoff or go into default and workout a repayment plan, interest free.

how about the EPP?as long as you aren't in default you can break the loan into 4 equal payments.the interest stops as well.you must speak to the manager to get the EPP.regular employees are of no help there.in regards to your post.yes there are alot of people who come here for help.maybe the original responders thought you worked it out,but to not post for two weeks?i'm still glad you posted an update.

I know that this comment, but you really are not in that bad of shape. If they will not allow payments, then you need to continue with the payoff/reborrow cycle, but take the smallest one and borrow back $25 or $50 less each time. This will allow you to buy yourself out of the cycle. The first month or so will be really difficult, but as you get into the process the amount that you are paying in fees will go down allowing you to pay more to the next loan. The key to making this work is to not be late and DO NOT take out another loan.

I will not even pretend to know your budget, but I would guess that you as many people do, eat out once or twice a week. Just cutting this out for 2 months can save the additional cash needed to come up with the extra to start the process.

As I said in the beginning, you are really not in too bad of shape. If you tighten the belts for 6 or 8 weeks, you will see the number of loans go down pretty quickly.

Good luck.

I have been in default on all 6 since september. I signed up for PDL Assistance, and they still have not helped me since September. I decided to tackle it on my own. Go back to my original posts. How can you say I am really not in too bad of shape?? If I weren't I wouldn't be here. I do not go out to eat except once a month. Already cut the budget as far down as it will go.......lol

Have you considered a non-profit CCCS? I've used them before and can't say enough about how helpful they were.

Relax. You complained that no one was helping you and I attempted to offer you my guidance based on 10+ years in the business. My statement about you not being in that bad of shape was based on the fact that your loans are for small amounts compared to what other states have for maximum loan amounts. If you are willing to work on your problem, I can assure that this process will get you out quicker than doing nothing. You will also notice that I prefaced my comment about eating out with stating "as many people do". The first step to getting out of debt is being truthful to yourself. Again, based on my experience, when a person says that they have cut the budget down as far as in can go, there is still room to cut. If you are serious about "fixing" this, then you need to determine what luxuries you can do without for 4 or 6 months. This would include cable/satellite, cell phones, unnecessary trips to the mall, ect.

Again, I don't know your budget, but I know that if you do not take control of these loans, they will take care of you.

You might try a non-profit credit counselor. They do not charge you a fee and will honestly tell you if they can put a plan together to get you out of your situation. Above all, DO NOT waste money paying a person to do this for you! There are too many free option out there.

Good luck...

PDL Owner has given sound advice. I have done exactly what he is telling you to do with several legal licensed lenders not affiliated with CFSA who do not offer the EPP. Paying down the loan each time is the nly way to get out of the cycle. Trust me I've been there and done that.

I am honestly being serious about my budget already being cut down PDL owner. I was not "attacking" you. I am being very truthful. I cut my cell phone. Don't even have any phone at all. I use skype on my computer for $8 bucks for 3 months unlimited calling. No one call call me, but thats ok. I cut my cable down to basic cable with internet because I am working on my bachelors degree online so I have to have the internet. As far as trips to malls and etc, I can't even remember the last time I went shopping anywhere besides the grocery and the pharmacy. My vehicle is paid for and I have to have insurance. I do not even own a credit card. That is not to say that there aren't any "out there" attached to my name...which I send $10 a month until I eventually get them paid. My biggest obstacle is the fact that my husband is disabled and I the primary breadwinner. My last month light bill alone was $250 (in the smokies they run the dang christams lights until the end of february due to winterfest). I have literally cut all unnecessary things out of my budget. I literally write out a budget every month and stick with it. Occasionally I have extra, and when I do I pay bills with it. I am being as honest as I can be with you. I am constantly shaving my budget down to the bare minimum. That is why I am finishing up my degree--so that I can make more money to get out of this mess. I have monthly expenses of medication due to diabetes and that runs me $60 a month. If I could shave that I would. I don't even buy snack foods or sodas anymore EXCEPT one time a month. I deserve a treat every now and again. My budget is very tight right now. The only thing I can spare is $20 a month to one PDL. I have contacted every single one of them and they REFUSE TO BUDGE

sorry i accidently hit enter. I am to my wits end. I defaulted on these loans in September. You would think they would be ready to get some money. I live in Tennessee. Can you recommend any good credit counselors for me? Seems like that is my only option at this point. PDL Owner, I really do appreciate your help. Don't think I am or ever was upset with you. Sometimes when reading the written word, things can be taken out of context. I have worked hard to become as responsible as I can. Falling into this PDL crap was the most irresponsible thing I could have ever done. Rather than ask the family to borrow money, I just went with it. Who knew???? At least there are others out there who fell for it too. What do you do when you contact the PDL's and they refuse to work with you???

I would definitely start some kind of payment plan asap. You need to show and effort and communicate with these lenders.

That was me kstaff sorry I was not logged in. Like I said above arrange payment and communicate.

KStaff, I have been THEY REFUSE TO BUDGE!! They want all or nothing....

Then I would suggest you take that $20 and set it aside each week/month until you have enough to pay one in full. That is really all you can do.

Since they have not already taken you to court then most likely they won't start now.

You can only do what you can do. As long at you are trying then you are doing the best you can.

If you are worried you might spend the money while saving then get a money order and fill it out to the company you are saving up to pay off. That way you can't cash it.

If you contact the Corporate office of each one, get their address and send what you can. If they cash the money order and do not send it back, they would have a hard time proving in civil court they did not accept your terms. Do what you can I realize you are in a tough situation.

If you have cut the budget as you say, then the only other option is to increase your cash flow. To do this, would require OT at your current job or a 2nd/3rd job.

Cleaning up messes is always more difficult and not nearly as fun as making them...

I like all of your ideas. Like you say, if they accept my money order and cash it, then that signifies that they have accepted my terms. The only problem with finding a second or third job is that no one is hiring around the smoky mountains. The ones that are hiring only use you one or two days a week. We can not get overtime where I work because our company had a massive layoff and the ones that are left are not allowed to go over 40 hours. We are down to 2 in our office. We work such a varied schedule from week to week that it is hard to get another job. On top of that I take 4 classes online per semester through University of Alabama for my Bachelors Degree and that eats up most all of my free time. I am definately trying to better myself. I will just either save the 20 until I get enough to pay one off, then carry on until I get them all paid off. Any extra cash I get, throw in the pot and take care of it then. Thanks you guys for all of your help. I will try calling the corporate offices and see where that gets me.............

sorry guys last post was me. I sometimes forget to log in...shame on me............................. :cry: