Please Help, I don't know if I can do this...
Date: Thu, 05/24/2012 - 23:18
Like so many others, I’ve gotten trapped in payday loan hell. Last week I got to the point where my check went to finance fees and then I ended up getting two more loans, so I could pay the rest of my bills. This has to stop; I can’t go on like this anymore. I’m stressing to the point where I feel sick.
I’ve been reading through many posts on this board and I feel somewhat better knowing I’m not alone. I had planned on closing my checking account tomorrow in hopes of joining a payday consolidation company called Payday Freedom. It sounds like something I would be interested in, but now that I’ve been reading more I’m starting to doubt that is the way to go. But I don’t know if I have the guts to go this alone.
If I go with Payday Freedom it’s going to cost me $480 a month to have them deal with my mess. But that’s $480 I could use to help pay off my loans that much quicker. Below is a list of my loans, I’m so embarrassed to list them all, I’m seriously crying as I type this.
I’ve listed as much info as I thought possible.
What should I do, can I do this myself? I have lots of legal loans (at least I believe they are legal) and I fear that will make this so much harder without Payday Freedom.
Cash Store- borrowed:1500 Paid: 2640 Owe:1200 Installment Legal
Check City- borrowed:500 Paid: 150 Owe:650 Loan Legal
Spot On Loan 1- borrowed:500 Paid: 985 Owe:520 Loan Illegal
Spot On Loan 2- borrowed:500 Paid: 450 Owe:650 Loan Illegal
USA Web Cash- borrowed:500 Paid: 0 Owe:624.45 Installment Legal
Speedy Cash- borrowed:430 Paid: 0 Owe:499.14 Installment Legal
Plain Green- borrowed:1000 Paid: 610 Owe:932 Installment Illegal
Zest Cash- borrowed:800 Paid: 261.25 Owe: ?? Installment Legal
If I close my account I can pay back USA Web Cash and Speedy Cash on 6/1 when I get paid. Those were the two I took out to pay other bills. But that leaves 6 loans left with pretty high balances.
Desperately need advice.
You are required to pay both the principal and interest, if your
You are required to pay both the principal and interest, if your lenders are licensed in your state. But you can get rid of this trap by paying back only the principal only when your lenders are illegal. In such a case it would be better for you to close your bank account to stop unauthorized withdrawal. Ask them for a refund, as you have paid them more than principal. As far as the legal loans are concerned, I think you should try to consolidate your debts on your own. This is because, it will help you to reduce your wastage of money. Look at this page to know how to do it yourself: http://www.debtconsolidationcare.com/diy/#debt-consolidation
I agree with my previous poster. You may go through this page to
I agree with my previous poster. You may go through this page to know about how to handle illegal lenders:
http://www.debtconsolidationcare.com/paydayloan/dealingwith-illegallenders.html
Follow the link in my signature line on how to deal with illegal
Follow the link in my signature line on how to deal with illegal loans. You need to CLOSE your account ASAP!
Personally I would not waste money on consolidating PDL's...if PDL's are legal and act as CSO's, get a payment plan.
Next Steps?
So, I???ve decided that I???m going to try and do this on my own without consolidating through Payday Freedom. I???ve already closed my bank account and opened up a new one. All the loans except The Cash Store will be coming due this Friday and Monday. The Cash Store was due yesterday. I called Cottonwood Financial to tell them I wouldn???t be able to make my Tuesday payment and asked about an extended payment plan (EPP). I was told there wasn???t much they could do until I officially defaulted and then they would talk to me about an EPP. When the store called yesterday to see if I was coming in to make a payment I told her that I wouldn???t and that I talked to corporate about doing an EPP once my loan defaulted. She was like you don???t want to go to corporate and that it???s best to work things out with the store and that I could just refinance the loan for lower payments.
I guess I???m not sure what my next steps should be. I???m starting a new job on Monday, so my last check on the 15th will include vacation pay that will allow me to in conjunction with my check on Friday pay off Check City, USA Web Cash, Zest Cash and Speedy Cash. That will then leave 1 remaining legal loan The Cash Store and then Spot On Loan and Plain Green the two illegal ones.
What should my next steps be? Should I do the epp with The Cash Store? I don???t see that refinancing will do? If I get the extended payment plan, won???t that freeze the finance charges?
Also, what should I do with Spot On Loan and Plain Green? They will be coming due on Friday and their stuff will be returned.
Thanks,
Do an EPP If you can
With the Store Front Loans, the people in the store are going to try to keep you from doing an EPP, because yes, interest stops. It's possible they make commission, but at the very least, I bet the stores need to make a certain amount/quota. So of course they will discourage you from defaulting and doing an EPP!
Do what is best for you. I had to default with CAsh Central in order to get an EPP. They tried to talk me out of defaulting, too. Once I got an EPP, no more interest/fees.
Spot on And Plain Green
Sorry, forgot to mention Spot On and Plain Green. They are both tribal so you only need to pay the principal. Use the illegal lender letters.
Plain Green will work out a payment plan with you and allow you to mail payments. You owe them $390.00. Email them and revoke your ACH, they will honor it. You can work out a payment plan via email. Let them know that you will pay back the principal only.
Spot On Loan owes you $435.00, so demand a refund of the overpayment.