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Does automatic stay apply to payday loans?

Does automatic stay apply to payday loans?

Submitted by Array49 on Tue, 05/05/2020 - 01:55

Filed bankruptcy 4 months back. Payday loan companies are still calling me. They are saying that payday loans can’t be discharged through bankruptcy. These are special loan arrangements. Hence automatic stay doesn’t apply to them. Is it true?

Of course the automatic stay applies and that "lender" is absolutely subject to it as well as the Discharge Order when entered. There is no such thing as "special loan arrangements".

Send a certified letter with a copy of the Notice of Bankruptcy Filing (or the Discharge if entered) and advise the "lender" that if it continues to contact you, you will seek sanctions against it and any individual involved in violating your bk rights. Better yet, hire an attny to kick some rear-end.


Submitted by despritfreya on Tue, 05/05/2020 - 04:58


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"Automatic stay is imposed after 30 days of filing bankruptcy"

This is not correct. The protection of the automatic stay is immediate the moment the case is filed unless the filing is the third filing within one year of having two prior cases dismissed.

Submitted by despritfreya on Wed, 05/06/2020 - 04:53


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Are you nuts? You are believing the stories cooked up by payday loan companies? Payday loans are special as they don't need credit check. But, that's all about it. There is nothing else. Automatic stay is imposed after 30 days of filing bankruptcy. What lenders are saying is so not true. And, you can take action against them legally. Who are these lenders by the way? Give us the names once.

Submitted by David Martin on Wed, 05/06/2020 - 04:46

David Martin

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Hey Array!

If you file for Chapter 7 bankruptcy, the payday loan will be enlisted as unsecured debt on the bankruptcy petition. In Chapter 7 bankruptcy, you’ll be released from the payday loan debt repayment.

Call 800-DEBT-913 for more assistance!

Thanks! Keep posting!

Submitted by Ryan Miller on Wed, 05/06/2020 - 22:03

Ryan Miller

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