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Payday Loan Nightmare

Date: Sat, 07/08/2006 - 15:12

Submitted by fedexrazorback
on Sat, 07/08/2006 - 15:12

Posts: 52 Credits: [Donate]

Total Replies: 15


Help!!!! I came across this site while searching google about defaulting on payday loans. I have 5 of them 4 of which are Internet Companies (TenDollarPaydayLoan, MyCashNow, GWFin.com, UpFrontPayday) and one store front lender (Advance America) All are in good standing, however, its been a spiral downwards. 3 years ago it started with one pdl, which within 6 months became 2...then 3, etc. All get extended which results in tons of extension/interest fees. One lender (GWFin.com) has been just an automatic every 2 week extension for over a year and a half (59 bucks every 2 weeks on a 400 dollar loan, they have made a little over 1600 on the interest and i still owe the original 400). I am at my ropes end and am do not know what to do. The 4 online pdls are all ach withdrawn, my bank account is in good standing and i have had the account for 6.5 years, i really do not want to close it. I also have direct deposit with my employer. I have every intention of paying what I owe and will, there has to be some options open to me so that i can consolidate or work with these companies so that i can poay down/off the balances and still meet my monthly financial obligations. I'm sorry that I am rattling on but I have had no outlet/individual to talk to about this and and when i found this site I was shocked when i read some of the postings and found a lot of other people were having to deal with the same thing. It is nice to know I am not alone. Any suggestions or help would be appreciated !!!!!


I also find this site on google. I am trying to find a way to consolidate my payday loans (if it's possible). I have more than I ever needed and now I can't keep up with them. The worst part is, every loan is automatically deducted from my bank account. All of them are online payday loans.........any suggestions???


lrhall41

Submitted by molinadarwin on Sat, 07/08/2006 - 15:27

( Posts: 7 | Credits: )


Well you both have come to the right place and you have signed up as members on this site (that gives you some free debt counseling). The counselor can point you in the right direction of a consolidation company best suited to your situation. Make sure you specify payday loans as not all consolidation companies work with them. Good luck---feel free to ask questions here as we have all been in the same boat as you have read.


lrhall41

Submitted by Lorri on Sat, 07/08/2006 - 16:53

( Posts: 1721 | Credits: )


I have been reading other posts about the pdl's and different companies and how they have dealt with individuals and I am amazed. I know and have proof that GW Financial has been paid 59 every 2 weeks for the last 17 months which is substantially more than what the original loan and interest was......and if i read right per virginia laws, is in violation..and they are based in DC...right across the river from here. Mycashnow is another that is charging in excess and I know rio is, its a lot of information to digest in one night


lrhall41

Submitted by fedexrazorback on Sat, 07/08/2006 - 19:55

( Posts: 52 | Credits: )


Fedex, while you read many things in this forum, start posting your comments and experiences also. Doing this, many people in the future will get a better study about the things not known to them in the past. Many lenders have been violating the payday loan regulations in the state. It is time for us to combine together and put a fight in throwing out the payday loan industry. Suckers!!


lrhall41

Submitted by andyyoung on Mon, 07/10/2006 - 12:22

( Posts: 451 | Credits: )


Will do, I just got home from work today, I managed to stop by my bank on my lunch break. I asked them if they could block the ach's and they said no, I would just have to close the account. I couldnt today because of 3 outstanding checks, so they will zap me again tonight with 2...GW Fin and Mycashnow.....Rio ran theirs through Saturday.

The I told the manager about the whole deal and she agreed that it seemed I had been paying far more than I should. But until the account was closed there was little that she could do. She did tell me that she would monitor for the final 3 checks to come through and that once that occured, she would close the account. If their charges caused the balance to dip below what the checks total...and they will...the bank will still pay the 3 checks since i let them know ahead of time and then I would have to oay the nsf fees on them...oh well.

I also talked to my company's HQ payroll todaya dn they immediately cancelled my direct deposit so my funds this friday would not be eaten up...and I mentioned the"revoking of the wage assignment thing"...she faxed a form to me to our branch here and I signed and faxed back...my company will not withhold any of my earnings in case they try that. I also found T&C's number on the web and once I have gathered all the addresses for these legal "sharks" I am going to give them a call. I have 2 but have not been able to final a physical address for Rio Resources...I am going to check that now and I also need to find a physical address and fax number for GW Financial in Washington DC.


lrhall41

Submitted by on Mon, 07/10/2006 - 12:49

( Posts: | Credits: )


I am in the same boat, and am trying desperatly to get out. I have 6 payday loans that keep giving my money to. I originally had the money to pay back, but since my baby sister has been diagnosed with cancer I have been helping my mother financially. We just have to be strong, and hopes that it will all work out.


lrhall41

Submitted by jeohro on Mon, 07/10/2006 - 13:10

( Posts: 7 | Credits: )


I hate to even admit this but I had been stretched so long with all these extensions and fees that I didn't go to the dentist for 3 years...and I have insurance. I just couldnt afford to pay my part because I had tyo have the money available to pay the the rollovers and fees. This past spring I finally went to the dentist and ended up spending more than I should have and that was even with making the hard decision to let them just pull 3 of the back molars rather than doing the root canal/crown.....its sad but with what GW financial has gotten in their 17 months, I could have had 5 crowns paid for...I dont even think I want to add up how much the 4 internet and 1 store front lenders have gotten in fees......I might be ill if I did.


lrhall41

Submitted by fedexrazorback on Mon, 07/10/2006 - 13:16

( Posts: 52 | Credits: )


Well, here is part of of what the Virginia code of law says

?? 6.1-459. Required and prohibited business methods.
6. A licensee shall not refinance, renew or extend any loan.
8. A licensee shall not require or accept a post-dated check as security for, or in payment of, a loan.

! they are not liscensed to do business in va, 2 they do a buyback every 2 weeks and charge you 40 dollars for the cashing of the check and 19 dollars for fees and then they issue a new check post dated for the next due date 2 weeks ahead...which is in violation of laws...here is what the meat of their contract says about their fees

Thank you for contacting GW Financial Services. Your request for a "Pick-Up" has been processed.

As per your authorization, we have issued you a new cash advance in the amount of $400.00. In addition, we will electronically withdraw $59.00 from your checking account on Friday July 7, 2006. These funds


lrhall41

Submitted by fedexrazorback on Mon, 07/10/2006 - 13:47

( Posts: 52 | Credits: )