Spiral of stupidity with payday & other loans
Date: Tue, 07/24/2012 - 10:50
Installment loan with Western Sky (Cash Call services it) - 135% interest, $2525 originally, paid $3502.31 thus far.
Payday Loans:
-EZMoney (storefront): $1500 + 337.01 = $1837.01 (defaulted and told them and in process of making alternate payment arrangements with no renewal)
-CashNetUSA - $2000 (alternate payment arrangements of $500 every two weeks through 9/15)
-Ameriloan - $700 balance + $210 CSO fee per 2 weeks
-Plain Green Loans - 20 payment loan at $121.65 every two weeks, loan was $800, $753 balance today and I have made $728.70 in payments
-PayDayOne -$1500 balance, $348.18 CSO fee due on 8/1
-DiscountAdvances- $1340 balance, $234.50 CSO fee due every two weeks
-IdealGelt - $1000, $250 CSO fee (no payments on this one, but I have had prior loans)
Read stuff here, and here's what I know: PayDayOne and CashNetUSA appear to be registered as CSO's in Texas, as well as EZMoney, the one storefront. IdealGelt has crappy disclosures, but had a Texas address listed. Ameriloan, Western Sky and Plain Green are tribal lenders. DiscountAdvances is in the British West Indies.
I am lucky enough to have two open bank accounts - I am planning to close one with a hard ACH hold on it, which would affect everyone BUT Ameriloan, CashNetUSA, and PayDayOne. Before I do that, I plan to send ACH revocation letters to everyone, in accordance with their rules. CashNetUSA has a "no revocation" clause in their contract, and I made an FTC complaint on them already, as this is a clear violation of EFTA Regulation E. However, since they allow me to stretch the due date, I was planning to pay them the renewal fee next week and deal with them later.
I have other cards and accounts, all in good standing, and I want to isolate my "stupidity virus" and deal with these guys separately. I have a good household income, and am not afraid to contact any of the lenders, but this is a 6-8 month pay-back proposition, even if I am as frugal as i can possibly be. Naturally, my spouse has no idea I am this idiotic (just years of living a little bit above our means, and when the 2007 crisis hit, available credit went away, which was our cushion). I am not a hard-luck story - just unsupportably optimistic about my ability to repay. Losing sleep, weight, blood pressure out of control, and I am depressed and feeeling horribly guilty to have put my family in this place. It's temporary, I know, but still...
Other than the steps I listed above - any advice or pointers?
Rather than revoking ACH auth with the legal lenders, give them
Rather than revoking ACH auth with the legal lenders, give them a call and ask for an extended payment plan. Don't make your payments from your checking account, use a prepaid debit card or send money orders.
You'll save money that way because no further fees/interest will be added to your current balance due. Generally, they'll divide that balance into 4 or 5 equal payments that will be due over your next 4 to 5 pay dates.
Many times, that payment tends to equal around the same amount as the renewal fee so, if you can afford to pay the renewal, you can afford the payment plan.
Don't put "blocks" on the accounts. CLOSE THEM! If any of these lenders (legal or otherwise) have your account info, CLOSE IT!
Thanks
Ohio Gal - Thanks - did that with two of the largest ones, and it was easy. The problem is that I have spent a month or so obtaining new loans to cover the renewal fees on others. So I can't afford to do that with the whole set of lenders, BUT I could stretch it a bit. What I am finding is that, in some cases, you must default and have a returned payment before they even will agree to the process.
Since I have two accounts - is it possible they will try to run an ACH through an alternative bank account, even if I didn't provide that account information?
As long as they don't have your account info, you should be OK.
As long as they don't have your account info, you should be OK.
Try to negotiate monthly payments with them rather than per pay date. Then you can alternate who you're paying so you don't have to pay everyone each pay date.
Also, you do NOT have to have a payment returned. You can revoke ACH authorization to force the account to collections. Make sure you let them know that is what you're doing and why. Then, you can make arrangements with the collections department from there. There's no reason for you to pay additional fees for returns. :)
Again, try to shoot for monthly payments and alternate them. It can be a big lifesaver.
Thanks again
Great advice. Gives me hope that I can get through this. Screwed up once when I was very young, and my mistake them was that I was afraid of speaking to creditors. I'lll never make that mistake again!:???:
Installment loan with Western Sky (Cash Call services it) - 135%
Installment loan with Western Sky (Cash Call services it) - 135% interest, $2525 originally, paid $3502.31 thus far.
^ Those clowns owe you 1,000 bucks.
Hi Texas_idiot,
Hi Texas_idiot,
First of all don't feel bad...I'm in the same boat as you. I did want to let you know that I have gotten EPPs from CashNetUSA before and they will do more than 4 payments if you ask and be persistant, especially if you have been a good customer.
I am fighting with PayDayOne/RISE right now, and are curious what they are telling you. They are outright refusing to work with me, saying that I can only repay the entire amount or 10% principal +interest/fees.
I'm in Texas as well -- see
I'm in Texas as well -- see here regarding Western Sky
http://www.baillonthome.com/cases/westernsky
I also sent you a PM