10 Payday loans - I really need help!

I know for sure that Ameriloan, VIP, and Sonic are illegal. I think SSM and SGQ are too but I would have to check for sure.

For illegal loans you only owe the principle amount borrowed.

PayOne is legal and are great to work with. You can make payment arrangments with them but they usually will not work with you until after the ACH won't go through.

First Bank of Delaware is an installment loan so that does not fall under the same guidelines and they are also legel.

Let me do some checking on the others.

Since your account is secure the first step is already done.

You can refer to the sticky on dealing with illegal payday loans to start gathering more information,

ACH is illegal.
SSM is ilegal.
SGQ is illegal.

Cash transfer Center is illegal and based in Canada and Malta.
Cash Transfer Centers
Email: customercare(at)cashtransfercenters.com
Fax: 866-809-4069
Level 8 Suite 3
Plaza Commercial Center
Bisazza Street
Sliema SLM15, Malta
phone: 1-866-958-3278
fax: 1-866-809-4069

ACH Loan is illegal and based out of Ireland, there is no address for them that I know of, they are impossible to deal with!

Also, MN state law changed and it requires internet payday lenders to be licensed in the state.

sjkuz the only legal companies I see in your listing is FBD (First Bank of Delaware). Sonic is licensed but your state law may require them to be licensed in YOUR state to be LEGAL.

I am so confused with all this being illegal. Cause I read in MN that "Internet companies can lend legally as long as they are licensed in another state. They must follow the laws of that state."

So does this mean, for example, City View Cash, can still get 400 plus the 120 finance charge from me, or am to only pay the 400?

Also, if there is anyone will to talk to me over the phone. I would be willing to give my number and the person calling can block theirs from me. I am so scared of what is going to happen to me and I need guidence. I am scared they will call my boss and I will lose my job, I am scared they will call my references and then I have to explain this mess to them.

If I still talk to these loan sharks, do they usually refrain from contacting employers and references?

Here are your state laws posted below:

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Hi. I am sorry, but I just don't get it.

So all the loans are legal because they are licenced in their states and since I am in MN I have to follow the laws of their state?


Like I said, I really want to talk to someone. I am crying 24/7, confused and don't know what else to do. You can block your number from me if you don't want me to have it. I am so desperate.

Stay calm. From what nohiogal posted it seems Minesota state lwas have recently changed. Therfore PDL companies have to be licensed in the state of Minesota to be LEGAL. So therefore you only owe the PRINCIPAL amount borrowed from those lenders. The link I just posted stated otherwise, I gues it hasnt been changed as of yet on this forum, but seems the state laws have changed since that post.

On the other hand First Bank of Delaware is not a PDL but an installment loan. So they are definatly LEGAL and you should call and make arrangements to pay them back accordingly.

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You two are awesome!

I looked at the list on what loans were legal in MN (http://www.commerce.state.mn.us/FSLicensees/sl.html) and it appears Payday One, and you said they were the easiest to work with.

FBD I understand is an installment loan so I will want to call them. I do know for a fact that their ACH was sent back today because today was when it was to come out.

As for the other lenders, should I wait for them to call me or should I call them?

Do I explain that they are illegal in my state and that I will only be paying back the original amount?

You can go here which is a sticky for this forum that explains how to deal with the illegal lenders. You have already secured your bank account so you can skip that step.

It is scary but we are here to help and many members have delt with the same companies you are dealing with.

Ask questions or advice all you want :)

First you want to take care of the LEGAL lenders first. So call and set up a repayment plan with FBD and PayDay One.

Next you want to draft ACH revocation letters and include revocation of any wage assignments you may have signed in the letter as well. You can include your state laws in the letter also with a proposed repayment for the principal ONLY.

You can get samples of these letters here:
http://www.debtconsolidationcare.com/paydayloan/illegal-pdl-dealings.html

I'm almost in the same situation as you are but I just don't have as many, and didn't get to borrow as much I also have Ameriloan, and USFfastcash I live in the state of Washington, and what can I do if the company is illegal they are all done online, and I am always overdrawn twice my whole paycheck went to the bank I was so upset I didn't know what to do I can't keep taking out these dumb loans but I can't get a personal loan because of my credit what can I do also I bank w/ bank of america they did put a stop payment on two of these oh yeah one more of them was Paydayloanstogethercash each one was debiting my account $60 and $90 every two weeks I don't know what to do but I have other bills to pay besides these ones any help thanks a lot

You need to close your checking account. That is the only way to stop them.

Open a new account and transfer all your legit bills and deposits to the new account.

Make sure the old account can not be opened if they attempt to debit it under another name.

Since I started this post I thought I would ask, has anyone lost their jobs because of something like this? These PDL's getting a hold your employers? Also, has anyone had the online loan companies call their references.

When these PDL's start calling, how do I talk to them, do I admit I am too far in the whole, do I tell them that they are illegal and that contract doesn't apply in MN?

I would only talk with the legal ones.

If you sent out letters to the illegal ones stating to only contact you via email or USPS then stick to that.

If you think you may have probems at work you can explain that you are victim of fraud, which is true. Let them know you are working with your bank and the accounts are getting closed but that there are illegal companies trying to pin a debt on you that you don't owe.

When I send them a letter saying I will only work with them in writing because they are illegal and put in the state law, in that same breath, do I state that I am revoking all ACH transactions (even though my acct is closed) and wage assignments?

Yes. There is a template under the illegal payday loans sticky that can help you compose the letter.

Yes. You want to include all information possible to back up your claim.

Please do not forget to send that wage assignment revocation letter to your HR/Payroll dept.

I just got off the phone with Cash Transfer Centers. I explained the fraud scam I was a victim of and that is why my accounts had to close. The man was nice, but I think that is because I am not so far past due. He said that they need to have the 1963 (1500 loan, 405 finance, 58 return fee) paid to them by 3/13/09. I explained how I was a victim of fraud and that money is really tight. I told him I was due a refund from this fraud place on 3/6. He said he would call back late Friday to see if I got the check, if not, he would work out a pmt arrangement. The man made small talk about the economy and how more and more people are getting scammed. He is calling me late Friday afternoon to see if I got my refund. What do I tell him and when should I send that wage assignment over. My friend has a lawyer friend who is going to better look at the contracts and the state laws for me.

Should I still send that wage thing?

Sorry- that last post was mine. Sarah

Yes please send the wage assignment letter immediatly. CTC is known for trying to get the money from your HR dept. Now that they are aware you have not paid the loan, they will attempt it.

Please ensure to send a copy to your HR dept first!! Do not pay CTC more than you owe. They are highly ILLEGAL, only pay the principal of $1500. They are trying to collect $2000 they are nutz! I suggest communicating by email or USPS ONLY! They will get nasty after awhile :evil:

I did my first letter to SSM Group and will be sending it out tomorrow once I get the ATTY General and FTC complaints done. I was wondering if you could look it over an let me know what you think. I did some extra research on laws and I consulted with a friend who is an attorney and he advised me of what I should say.

3/9/2009

SSM Group, LLC

Sarah Z***
Street
City State
email

To whom it may concern:

This notice is to inform you that at this time I am revoking all ACH authorization with SSM Group, LLC debiting any of my personal accounts, per Federal law, Regulation E Section 205.10 Preauthorized transfers. I have closed my account with which you were debiting to protect my interest in this matter, per instructions from The Minnesota Department of Banking and Finance.

I expect my loan with SSM Group, LLC, which was for $250, is paid in full as you are not legally licensed to lend in the state of Minnesota of which where I live to be a legal and binding contract. For a list of licensed lenders in Minnesota you can visit: http://www.commerce.state.mn.us/FSLicensees/sl.html. (See attached law for Minnesota for payday lenders for you to reference)

Furthermore, I revoke any wage assignment I may or may not have agreed to under the ???TITLE 16--COMMERCIAL PRACTICES OF CHAPTER I--FEDERAL TRADE COMMISSION PART 444_CREDIT PRACTICES-- Sec. 444.2 Unfair credit practices.??? (See attached)

The legal amount that could have been charged to my loan is the principal amount, even IF your Internet pay day loan were legal anywhere in the U.S. Your company has taken $150 a month since September 30th, 2008 to February 13th, 2009 from my checking account ending in 7583 making a total of $750. I am not asking for a refund, but a written statement either emailed or USPS to my home address that is loan is now paid in full.

I demand that any contact be made through US Postal mail or email only. I will need everything in writing to keep accurate records of all communication as per instruction from my Attorney General's Office.

I prohibit you or your affiliates to contact me via telephone at my place of employment or my home telephone number. I also prohibit you from calling my references as well as my place of employment listed on my loan.

I must also inform you that I have filed complaints with the Better Business Bureau, Federal Trade Commission, and the Minnesota Attorney General due to the fact that I do not have a signed loan document or any responses to the messages I have left you.

I expect your prompt response within 5 business days from 3/9/09 regarding this matter. This response may only be in email or USPS.

Thanks,

Sarah Z***

CC:
Better Business Bureau
Federal Trade Commission
Minnesota Attorney General

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they didn't post that to mean that is there home address.they mean that to correspond to my home address.this loan is paid in full.

Looks good to me other than the one typo.

Not sure but you may want to take out the refund part...

"I am not asking for a refund, but a written statement either emailed or USPS to my home address that is loan is now paid in full".

I have heard of people on this board actual getting refunds, this gives them an out.

Maybe even ask to be refunded...it can't hurt?

good luck

I got my first PIF today from SSM Group! (yes, she just emailed me it in writing)

I ended up paying ACHLoan 274 (200 principle, 74 finance) because I didn't want harassing calls and don't want to fight them. I guess the good thing is that I had never paid anything on them.

SGQ sent me to iCollect and I have to pay them 400 on top of the 750 I already paid them. Since I didn't make it to the 48 hours to pay it, I think they sold me to a collection agency. I will keep fighting.

Cash Transfer Centers, I am getting ready for that fight... actually meeting with a lawyer today to help me with them on that.

I feel confident. Thanks for all your help! :D

CONGRATS :D Keep up the good work!

CTC called me like 10 times since yesterday. I just happened to miss there calls unintentionally.

They want 1/2 of what I owe them of the $1963 today. I can't afford that but I said I would make a payment today and told him that I wanted my pmt to go towards the principle of the loan and he said it would go towards the balance and wouldn't let me get a word in.

Then when I am on the phone with him, my call waiting was going off and it was my friend, who is a reference on my CTC loan. She said that he was calling looking for me and to give me a message to call him back.

Can I tell them not call my references and they have to honor it? I am freaking out because I don't know who my other reference is on that loan and I don't want my family to find out what I did with these people.

Stay calm and read this post on Cash Transfer Centers d/b/a E-care Contact Center.

http://www.debtconsolidationcare.com/paydayloan/cashtransfercenter-block.html

How much is Sonic asking for??

They are asking for $745 on a $500 loan.

I have paid them:

1/30/09 - $112.50
2/13/09 - $112.50

They come up with $745 this way:

$112.50 (re-finance charge from 2/27/09)
$30.00 (return fee from 2/27/09)
$112.50 (finance charge for 3/16/09)
$500.00 (Principle of the loan)

I did locate them on the Idaho website as licensed in that state, but MN laws say they need an MN license.

Send a counter offer to pay off the remaining principal balance. If the customer service rep refuses ask to speak to her supervisor. It looks like your state allows two rollover fees :? If this is the case you only owe the principal . I would send an counter offer of $500 broken down into 3 payments if possible. I worked a deal with Sonic. They are licensed in Idaho not MN. Consequently your state laws only require the internet company to be licensed in any US state to be LEGAL :? That really is not helpful to you. Read below, I got this from a sticky in this forum.

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MN law has changed and they now require the PDL to be licensed in MN. When was the loan taken out?

The loan was taken out January 17th, 2009.

I thought the laws had changed too.

More Information.

And even more information.

The law was in effect December 1, 2008 that they need to be licensed in MN.

Thanks I forgot MN laws changed. We need to get that sticky updated. So does that 2 limit rollover apply to his principal balance?

I would say yes since they are unlicensed and lent illegally I would handle them like any other illegal lender in this case.

So by my calculations sjkuz owes Sonic Cash $275.00 nothing more.

Laws are so confusing!

I sent Sonic Cash my letter with an offer, and they refused... of course, I quoted everything and the changes. They came back to me with this:

"Again, I can assure you that we are a completely legitimate and legal organization, and are able to legally offer services to residents in Minnesota. We actually did submit an application to obtain a license in Minnesota. Subsequently, we received correspondence back from the Minnesota Department of Commerce stating that a current independent license in the state of Minnesota is not needed in order to function legally and operate as an internet payday lending company. This letter, addressed to Sonic Cash, states in part:


"On September 5, 2008, the Department of Commerce issued a News Release requiring all payday lenders making small denomination, short term loans to Minnesota residents via the internet to be licensed. On November 26, 2008, an Administrative Law Judge issued an Order that required the Department of Commerce to cease its enforcement policy outlined in the September 5th, 2008, news release."


In response to your letter, a Sonic Cash Ethics and Compliance Department representative also contacted the state of Minnesota Department of Commerce to verify this information. A woman by the name of Robin, who is employed at the Minnesota Department of Commerce Financial Examinations Division, also verified that we are not currently required to be licensed within the state of Minnesota to legally lend to it's residents. Robin also stated that she would be happy to assist you with any questions you may have regarding current state laws pertaining to internet payday lenders operating in Minnesota. You may reach her by phone at (651) ***-****."

I did call Robin and she did confirm that this was true and said that contract signed is legal and binding.

So, feeling like a dip... I called and apologized and worked out a very reasonable payment arrangement.

Thought I would share this info

Well if the law changed, That "Robin" is a total idiot and is unaware :evil:

Or you aquired the loan before the MN law changes went into effect, making the original contract with Sonic binding as she stated. Ughh :(

Maybe verification with the state is warranted in this case...

Hi,
Payday One shows as licensed. However they violate at least 2 of the rules. They lend more than allowed and the allow extensions. Their interest rate may be out of legal limits also.
Thanks

Hi,
The person from MN dept of commerce sounds like she doesn;t keep up. If you go to the "MN Dept of commerce" website, it says other things.
The info for small loans (payday) says it can;t be more than $350, AND CAN'T have ANY extensions. I'd take a look.
Thanks

What internet loan companies are legally licensed for the state of sc or just a web address where I can look will work.