Cashcall/ westernsky

Complaint Description - Posted 11/26/2012 4:41:42 PM


Cash call is trying to collect on a loan that is illegal and are continuing to report negatively on my credit report,They have broken the usury law in Michigan for payday loans and are continuing to try to collect on an illegal loan which has been paid in full and grossly overpaid by $3107.00.

Complaint Summary


Got the loan in 2010 and from research found that the company was an illegal Tribal lender,I paid back the principal and overpaid by $3107.00.

Resolution Sought


I would like for this company to refund the overpayment in the amount of 3107, and discontinue the illegal credit reporting. A letter of paid in full sent to me by mail, and to have this nightmare put behind me so I can move on with my life.





Additional Information




Date Problem First Occurred:

6/12/2012



Product or Service:

Illegal lender in Michigan, Illegal Tribal lender, Illegal, Illegal.



Model Name or Number:





Date Purchased:

10/1/2010



Order Number:





Amount In Dispute:

$3,107.00






















Company's Response











Company's Initial Response - Posted 11/30/2012



As consumer should be aware, there is plenty of misleading and downright false information posted online about any company or organization. Consumer should be leery of believing anything posted online regarding CashCall, or any company for that matter. Specifically, consumer's loan is NOT a “payday loan,” as incorrectly listed in his complaint, nor is his loan “illegal.” Consumer's loan is an unsecured installment loan that he obtained from a company called Western Sky Financial (“Western Sky”) and that is currently being serviced by CashCall. Our records indicate that consumer's installment loan was originated and funded by Western Sky on October 15, 2010 in the amount of $2,525.00, which is the loan amount of $2,600.00 minus the $75.00 Prepaid Finance Charge/Origination Fee. As such, all questions regarding the origination and funding of consumer's loan should be directed to Western Sky, at: P.O. Box 370, Timber Lake, South Dakota, 57656. As background, Western Sky is a wholly Cheyenne River Sioux Tribal Member owned business and is located and operates within the exterior boundaries of the Cheyenne River Indian Reservation. Western Sky loans are initiated, approved, issued and disbursed within the confines of the Cheyenne River Indian Reservation. Western Sky is licensed with the Cheyenne River Sioux Tribe. Upon review of the file sent to CashCall by Western Sky, the loan documents clearly indicate that the laws of the Cheyenne River Sioux Tribe apply exclusively to the terms and conditions of consumer's loan, and he further accepted this choice of law and jurisdiction by executing his loan document. These facts were explained to consumer when he applied and again when he signed his Consumer Loan Agreement (“Note”). Borrowers are instructed to read the Note in its entirety. Once they have done so, they are required to electronically sign or initial the Note in three different locations. The second of the signatures represents the borrower’s confirmation that he has read and understands the terms and conditions of the Note. According to our records, consumer signed the Note on October 14, 2010, via electronic signature, indicating that he did indeed understand the terms and conditions of the Note. This Note, in its original format, is an electronic document fully compliant with the Electronic Signatures in Global and National Commerce Act (E-SIGN) and its applicable laws and regulations. The Truth in Lending Act Disclosure Statement at the top of page one clearly displays the Annual Percentage rate (“APR”) as 139.33% and Total Finance Charge of $8,402.32. The APR was disclosed in accordance with the requirements of the Truth in Lending Act. Notwithstanding these disclosures, borrowers are free to pay their loan in part or in full at anytime without penalty. Consumer was also sent a settlement statement via electronic mail to the address he supplied, confirming the terms and conditions of the Note, on October 15, 2010. On October 18, 2010, per the Notice of Assignment, Sale or Transfer of Servicing Rights e-mail sent to the address provided by consumer. Consumer's loan was sold to WS Funding, LLC (“WS”), and is currently being serviced by CashCall. Under long-standing principles of assignor-assignee rights, CashCall is permitted to stand in the shoes of the maker of the loan and enforce the terms of that loan pursuant to the choice-of-law provisions contained in the agreement. A “Welcome Call” was placed to consumer on October 15, 2010 in which a representative went over the terms of the loan with him, including the interest and repayment schedule. He gave no indication that he did not understand or did not agree to the terms of the loan. According to our records, consumer has made 21 of 46 payments to this loan, totaling $6,127.61. The last payment CashCall received from consumer was on July 30, 2012 in the amount of $224.00. The payoff balance as of November 26, 2012 is $3,600.35 and the remaining principal balance owed is $2,223.35. In summary, this debt is legal and valid, and owing to CashCall, and has not been paid in full. We also have confirmed that consumer's account balance is accurate and that we are reporting all credit information correctly for this loan. Please be advised that we are more than willing work with consumer to resolve this matter. Please have consumer contact CashCall’s Dispute Resolution Department at (714) 221-3300 to discuss a possible deferment, modification or settlement to his account.



Initial Response Summary



All of the material terms were fully and prominently disclosed to consumer before and after he signed his loan documents and received his loan proceeds.




















Consumer's Rebuttal











Consumer's Rebuttal - Posted 12/05/2012



This loan is illagal and I have paid the loan in the amount of $2600 and overpaid by $3107 and would like a refund of over payment and as of today I have a complaint in with the AG of CA, and SD.




















Company's Final Response











Company's Final Response - Posted 12/11/2012



As previously stated, all of the material terms were fully and prominently disclosed to Consumer before and after he signed his loan documents and received his loan proceeds. The terms of the loan remain intact and the same as when Consumer signed and executed his loan agreement. Consumer does not dictate the terms of the loan. This loan is valid and enforceable and has not been paid in full. CashCall is more than willing to make a settlement arrangement with Consumer. Please have him call the Dispute Resolutions department at (714) 221-3300 so that we can discuss repayment options with him.


Any suggestions Please.