what happens

I've never dealt w/ cash direct, but it's very likely that they are not legal, there are some sticky'd threads at the top of this forum to help you find out if they are. There is also a very helpful sticky'd thread telling you exactly how to deal with unlicensed lenders and their illegal loans.

CashnetUSA, however, is legal (in one form or another) in every state except PA. They're very good about finding whatever legal loopholes they have to in order to operate legally in the states where they lend. They are also members of BBB with an "A" rating. This is kind of bad news, in that they are legally allowed to charge the interest and fees they have charged, and legally, you owe them. But it's good news because they are pretty protective of their legal status and "A" rating, which means they will work with you if you give them the opportunity to.

Contact them ASAP. Write them a letter and mail it, but go ahead and fax it to them as well. Explain that you had to close your account due to fraudulent activity, and that under the circumstances you will be unable to fulfull your obligations under the current contract, and request a payment plan. If you haven't defaulted yet (meaning a payment hasn't come due and bounced since you closed your account), it is very likely that they will work with you and offer you a reasonable payment plan with no further fees. If you HAVE defaulted, the sooner you contact them, the more likely they are to work with you rather than initiating collection activity on the full amount.

Good luck!