How far can they take collection of payday loans in NY

Date: Thu, 08/26/2010 - 18:44

Submitted by jaecruz
on Thu, 08/26/2010 - 18:44

Posts: 13 Credits: [Donate]

Total Replies: 3

I read some place that they can include in their loan agreements mandatory arbitration clauses, agreements not to participate in class action lawsuits, and agreements not to file for bankruptcy. Others ask you agree to wage garnishment in the event of non-payment. Would these hold up in court or if they approached your job?

You are talking about voluntary wage garnishment, which is a doc

You are talking about voluntary wage garnishment, which is a document that you sign agreeing to let the PDL garnish your wages should you default. If you have signed something like this, you must revoke it immediately, because the PDL will stop at nothing and will try and do this. Simply call your HR Dept and write them a letter stating that you revoke any and all agreements you may have signed with this company--and do it tomorrow.
This way, they will have to go to court to do it, and since on-line PDL's are illegal in your state (New York), it's a safe bet that they're not going to risk this.