Letter to CashnetUSA - pls review
Date: Thu, 04/08/2010 - 14:20
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Re: Account xxxxxxxxxx, current loan
I currently have a loan agreement with your company, CashnetUSA, with a principle balance of $850. Unfortunately, I have recently suffered some serious financial hardship which renders me unable to fulfill my obligations under the current contract. As this financial hardship is largely related to fraudulent activity and unauthorized ACH debits made against my bank account, I have closed my account with BBVA Compass on the advice of the Attorney General's office, and do not plan to open a new one until these issues are resolved.
My bank manager has advised that I also take the following steps to protect my interests: 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. Any further attempts to debit my account via ACH will be unauthorized, and prosecuted by my bank as fraudulent. 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.
This is not to be construed as disputing this debt, or a refusal to pay. I have been doing business with your company with over 2 years, and have no reason for complaint. My next payment, if I refinanced, would be due on April 15. Unfortunately, I am unable to make a payment of any kind on this date, as the funds simply are not available. I would like to request an Extended Payment Plan under CSFA guidelines, starting on April 30, 2010. Due to my current hardship situation, I would like to also negotiate a reduction in associated fees on this loan.
Of course, not having a current checking account, payments by ACH debit are not possible, and will not be for the foreseeable future. I can make payments via Western Union Quick Collect, or via Money Order sent certified mail to an address provided by you.
In order to keep complete and accurate records of all communication, I request that any contact be made through US Postal mail or via Email (at the Email address provided below). I request that you do not contact me via telephone at my place of employment or my mobile phone. I prohibit you from calling my references listed on my loan; you have no reason to do so as I have provided avenues of communication with me.
Sincerely,
Me
My address
My email addy
I think that letter is perfectly fine, it seems you have covered
I think that letter is perfectly fine, it seems you have covered everything.
I'm sorry but that letter is bad for the following reasons: 1-I
I'm sorry but that letter is bad for the following reasons:
1-It reads like an admission to owing whatever they claim you do.
2-The wording is weak. Replace "request" with "demand".
3-E-mail and electronic communication = these guy's bread and butter. Demand that they respond by real mail on company letterhead only.
4-What's wrong with disputing the validity of the debt?
If it were up to me they'd get a letter somewhere along the lines of:
"I demand you cease electronic debits on any account you allege I owe.
Furthermore, I demand that you send me a copy of the original contract dictating the terms of the alleged agreement, as well as a physical address to which I may send payment in the event that the alleged agreement turns out to be valid.
Finally, I demand all correspondence be sent in paper and by mail only [enclose some stamps if you feel like a dick doing this]."
Yes, I admit that my advice could be construed as kind of a douc
Yes, I admit that my advice could be construed as kind of a douchey move, but keep in mind that these people make a living charging 900% interest rates
Well, guest... In the case of unlicensed lenders, I certainly c
Well, guest... In the case of unlicensed lenders, I certainly can and will play hardball. I have no problem writing a VERY strongly worded letter, and have to date sent out several examples of such to my lenders that are unlicensed and illegal.
Unfortunately, these guys are legal (granted, they're bottomfeeders, but they're legal ones), and thus have a leg to stand on if they want to take me to court. So I HAVE to work with them to resolve this debt. And even were they NOT legal lenders in this state, the very wise advice-givers on here all recommend acknowledging and PAYING any remaining principle. From the various threads and posts I've read on this forum regarding this particular company, I get the impression that they'll deal with you in much the same way that you deal with them... so I certainly don't see any need to start off being combative right out the gate.
So should I take the advice of a moderator, or an anonymous guest? Tough choice...
Tho, on second thought, I did change the word "request" to "requ
Tho, on second thought, I did change the word "request" to "require".
Whaddaya know? I got an email response from CashnetUSA today,
Whaddaya know?
I got an email response from CashnetUSA today, with all the usual rigamarole about 'we can't do this, we can't do that, you can't revoke ACH on a one-time debit, you can pay half on the 15th and half on the 30th' etc etc etc. I also got a call from them requesting a callback.
I figured what the hey, I'll insist anything we discuss be recapped and confirmed in an email, I'll call them. I spoke with Kevin, and he reiterated the email that I had been sent. I basically reiterated everything in the letter I had sent THEM, and stayed just as nice and cooperative-sounding as I could. He explained that my loan was showing as ineligible for a CSFA EPP because there was "no CSFA in Texas". I was about to question that, but he rendered the point moot by going on to say that he could still offer me an extended payment arrangement which worked basically the same way (then what's the difference, huh?).
He then proved to be extremely helpful and cooperative when discussing details...
--- Can't pay anything on the 15th? Sure, no problem we can start it on the 30th.
--- Four equal payments difficult at first? Sure, no problem, we can have you only pay $xxx the first two payments and then split the remainder in the last two? Will that give you more time to get back on your feet? Okay, let's go with that, just keep in touch with us if anything goes wrong.
--- Can't do ACH debit? No problem, I'll send you an address to send a money order to or the info you need for Western Union.
--- Of course I'll email you a copy of the agreement, I can send one regular mail too if you like...
Wow. was it really that easy?