For IL Residents...My own C&D Letter including applicable laws

I am a newby here and have found all the advice invaluable! :p

Here is a letter I wrote to Ace Cash Services regarding their illegal practices and giving them notice that they are no longer permitted to debit my account or contact me via phone.


[QUOTE]

[COLOR=black]Date: January 14, 2010[/COLOR]

Ace Cash Services
3531 P Street Northwest
P.O.Box 111
Miami, OK 74355



[COLOR=black]After doing research regarding Internet payday loan laws in the State of Illinois, where I am a resident, I have found that your Internet payday loans are illegal. According to Illinois’ [/COLOR]Payday Loan Reform Act (815 ILCS 122/), "Payday loan" or "loan" means a loan with a finance charge exceeding an annual percentage rate of 36% and with a term that does not exceed 120 days, including any transaction conducted via any medium whatsoever, including, but not limited to, paper, facsimile, Internet, or telephone. These laws ARE applicable to your company, as stated in

(815 ILCS 122/1‑15) Sec. 1‑15. Applicability.
(a) Except as otherwise provided in this Section, this Act applies to any lender that offers or makes a payday loan to a consumer in Illinois.
(b) The provisions of this Act apply to any person or entity that seeks to evade its applicability by any device, subterfuge, or pretense whatsoever.

[COLOR=black]This being the case, you are in direct violation of the following Illinois laws. [/COLOR]

(815 ILCS 122/2‑5)
Sec. 2‑5. Loan terms.
(b) No payday loan may be made to a consumer if the loan would result in the consumer being indebted to one or more payday lenders for a period in excess of 45 consecutive days.
(e) No lender may charge more than $15.50 per $100 loaned on any payday loan over the term of the loan.
(815 ILCS 122/2‑20)
Sec. 2‑20. Required disclosures.
(a) Before a payday loan is made, a lender shall deliver to the consumer a pamphlet prepared by the Secretary that:
(1) explains, in simple English and Spanish, all of the consumer's rights and responsibilities in a payday loan transaction;

(2) includes a toll‑free number to the Secretary's office to handle concerns or provide information about whether a lender is licensed, whether complaints have been filed with the Secretary, and the resolution of those complaints; and

(3) provides information regarding the availability of debt management services.

(b) Lenders shall provide consumers with a written agreement that may be kept by the consumer. The written agreement must include the following information in English and in the language in which the loan was negotiated:
(1) the name and address of the lender making the payday loan, and the name and title of the individual employee who signs the agreement on behalf of the lender;

(2) disclosures required by the federal Truth in Lending Act;

(3) a clear description of the consumer's payment obligations under the loan;

(4) the following statement, in at least 14‑point bold type face: "You cannot be prosecuted in criminal court to collect this loan." The information required to be disclosed under this subdivision (4) must be conspicuously disclosed in the loan document and shall be located immediately preceding the signature of the consumer; and

(5) the following statement, in at least 14‑point bold type face:

"WARNING: This loan is not intended to meet long‑term financial needs. This loan should be used only to meet short‑term cash needs. The cost of your loan may be higher than loans offered by other lending institutions. This loan is regulated by the Department of Financial and Professional Regulation."

815 ILCS 122/2‑30)
Sec. 2‑30. Rollovers prohibited. Rollover of a payday loan by any lender is prohibited.

(815 ILCS 122/3‑3)
Sec. 3‑3. Licensure requirement.
(a) Except as provided in subsection (b), on and after the effective date of this Act, a person or entity acting as a payday lender must be licensed by the Department as provided in this Article.



[COLOR=black]I hereby revoke any and all ACH authorizations with your company from debiting any of my personal accounts, per Federal law, Regulation E Section 205.10 Preauthorized transfers. I also revoke any and all wage assignments I may or may not have signed with your company, I no longer authorize you, your company, or your affiliates to attach any part of my wages or contact my employer for your collection purposes. I have notified my employer about this matter so any attempts to do so on your part will be rejected. [/COLOR]

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 listed on my loan.

Due to the fact that Internet payday loans must be licensed in the state of Illinois to be a legal and binding contract, your company should NOT issue loans to Illinois residents at all. I am requesting that you send me your license number which enables you to offer loans to Illinois residents.

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. I am willing to pay the principle amount of the loan only, however, this is only if you provide me with a physical address where I can send payments.

I must also inform you that I will be filing complaints with the Better Business Bureau, the Federal Trade Commission, and the Illinois Attorney General's Office.

I expect a response from your company no later than 5 days from the above date regarding this matter. This response may only come via US Postal mail or email. No telephone contact is permitted.

Sincerely,



[COLOR=black]MY NAME[/COLOR]
[COLOR=black]ADDRESS[/COLOR]
[COLOR=black]EMAIL[/COLOR]

CC:
Better Business Bureau
Illinois Attorney General
Federal Trade Commission

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