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Atyorney General office should be contacted on payday loan fraud companies.

Date: Wed, 05/25/2011 - 19:40

Submitted by vanitaw
on Wed, 05/25/2011 - 19:40

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Total Replies: 2


I plan to contact the attorney general office in my state, due to an online payday loan I have. When I started, they loaned me $500.00 with a finance charge of $150.00. When I spoke to the rep, she told me that I would pay the finance fee for the first 4 loans and after that, they start paying my loan down. I was told that my loan will be paid down, but they will charge me $50.00 everytime my loan was paid down. I called them sometime last month to find out my balance, thinking I almost was done paying it off. What I found out is that instead of them placing the $50.00 towards their fee, they put that towards my principal and charged additional amounts on top of that. To make it clearer. I got charged $150.00 x 4 - which were my initial finance charges. Then I got $200.00, $185.00, $170.00 $155.00, $140.00, $125.00, $110.00, & $95.00 taken out of my account. Out of all those fees, I would think $50.00 would be their fee and the rest towards principal, but they reversed it, so only $50.00 of all those payments were applied towards my principal. They got $2,060.00 out of me so far and are still asking for $130.00 to top that off. So, I'm reporting them to the attorney general office, so I can get a refund of max $1310.00. What do you think?


I did some calculations and found that they are actually charging me a $50.00 fee and applying the rest to my principal. After calculating, I found that I paid more than what I owed. They owe me $30.00 now and are still trying to get $130.00 out of me. I closed my account, they are not getting anymore money out of me. I think they should not be charging an additional $50.00 on top of the money they are already getting back. Online payday loans ate ridiculous. I found out that payday loan companies have to be licensed. If they are not, all who are caught in these internet payday loans schemes should be reimbursed. I'm reporting every single one of them. There interest rates are ridiculously high to.


lrhall41

Submitted by vanitaw on Wed, 05/25/2011 - 20:06

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You haven't mentioned the state you live in or the payday lenders from whom you've taken out the loan. Unless you mention that it's difficult to offer you suggestions. If payday lending is illegal in your state, then you won't be liable for paying any finance charges. You can pay the principal balance only and get rid of your debts.


lrhall41

Submitted by Anna Sweeting on Wed, 05/25/2011 - 20:51

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