URGENT ADVICE NEEDED

It really depends on who it is. If you do not have the money to pay the principal right now then send them a C&D. Some will honor it, and some won't, it really depends on who the illegal company is. It's a catch 22.

But you really should try and work out a payment plan with the company.

What state are you in and what pdl company are you dealing with?

I'm in KY. They guy said it was from 2007 and cashnet. Once he said cashnetusa. He said that they (cashnet) have over 30 pdl companies and he could not provide me with the month/year of the loan or the original company it was with. I told him that I did not have a loan in 2007 with any pdl company but that I did in 2008 (didn't tell him the month). Then he said that it must have been in 2008. The only information he could give me was an amount due, my bank info, my ssn, and my references. I did call him and told him that I wasn't aware of the debt, I had never dealt with or heard of cashnet, and that if I owed money I would set up payments via moneyorder. I was very nice to him and he put me on hold a couple of times and was nice back. I told him that I would need more information before I could in good faith pay him any money. He said that he would see what he could do to find out the information and call me back. Do you think he will call my references?

BTW, he also said that 16-18 email messages had been sent to me. I haven't gotten any of them.

Internet PDLs are illegal in KY.

From the KY Finance site....

Quote:

I had 2. One was with Cityview and the other was with discount advance. The DA is the one that I owe principle on. The other I had overpaid and have dealt with.

I am thinking that Discount Advance wrote it off and then it was sold to a junk collection agency.

The loan was illegal so the collection on that loan is also illegal.

CA's need to be licensed to collect in your state. I dont see unless I missed it that you named the CA. Who is calling you?

The letter I got was from Professional Debt Mediation in Jacksonville FL. The phone guy only said "Federal Bank" . his area code is 714 which is in california. I don't know if they are calling about the same thing or not But, the letter said Discount Advance. I am going to write a debt dispute letter and respond via return receipt USPS. I am going to tell them that internet payday loans are illegal in Ky. Is there a way to tell if they are a legal debt collector in KY? Also, is there a template for a debt dispute letter? THANKS! Will doing this cause them to call my references?

Check the KY Department of Financial Institutions site just like you did for your PDL's.

You can go here for samples of debt validation letters.

I didn't see a sample for disputing the debt. I don't need validation...I know it's not valid. Is that the one I need though? Thanks for your help everyone.

Arbitration? Tell them you will need a copy of the Arbitration clause, I am quite sure you will never see one.

There is not a dispute but a validation. If you know there is no debt then send a cease and desist letter which is there is a sample and on the same link.

The letter I got had that name but, it was basically a collection letter that at the bottom said I have 30 days to dipute the debt, etc etc.
I looked on the KY DFI website but, was unable to locate an option to search for licenced debt collectors. Does anyone have a direct link to that source or another? Will illegal CA follow the laws anyway? For example, it stated somewhere that as long as they know how to reach me (they called my number and left a message and I called back) - doesn't say that they are successful - that they can't legally call my family, friend, neighbors, etc. So, legally they shouldn't call my references. But, I know of someone who used me for a student loan reference and I got a call for them after they fell so far behind and didn't respond to them. That shouldn't be legal should it? Anyway, what is to keep one of these bottom feeder CA's from breaking the law?

You can report them to the KY Attorney General.

I have searched and I can not seem to find if a CA needs to be licensed in KY.

Your best best is to contact the AG in KY and ask.

Illegal CAs try all sorts of harrassment and threats. Heck, even legal ones do.

I'm dealing with Jack Smith right now from United Federal Bank. I have used the nice, sweet, calm tactic. I told him that I didn't have a pdl in 2007 (which he claimed) and that I hadn't ever heard of cashnet. So, he called again yesterday and left a message, and again today. I called him back (proof of the conversation) and have been recording all calls with him as in my state only 1 party must have knowledge of the call. He mentioned the police coming to my home or work and I told him that I had already contacted my local law enforcement in regards to me being very concerned after talking with him the first time. I also told him that they told me not to pay one dime to them until they gave me something in writing validating the debt which contained details for the original "supposed" loan , etc, etc. I told him that I had to do what my local law enforcement told me to do. I told him that with so many scams going on that they told me that I "HAVE" to have paperwork before I can pay them. :) I still hope they don't call my references....although I didn't mention it to one of them.

I made the above post.