I currently have 11 payday loans and I am about to drown

Welcome to the forums :D If you signed up for the free credit counseling,someone will be contacting you about your situation. There are many companies that do work with pay day loans. Others here have been in the same position as you,and are managing to pull themselves out from under.Good luck...Karen

Thank you for the encouragement. I have been reading alot of the forum threads re: payday loans and I'm concerned about one thing. They suggest closing your bank account, it seems that by doing this I would be in default of the online agreement that I have with the payday loan companies. I don't want to start an all out war with lawsuits...I really want to pay them off.

There are lots of stories about the unauthorized debits of the lending companies. Some of them send the checks before the specified dates leading to NSF. The illegal actions done by the lenders forces people to close the checking account. If nothing like this has happened with you, you are safe till this point. At this stage, you don't have anything to prove about their misdeeds. Working out payment arrangements will be good enough.

Thank you Anthony for the quick response. Do you know if there are actually companies that will do debt consolidation for online payday loans? I recently received a flyer in the mail at home for a local company offering to give me a payday consolidation loan... is it worth looking into?

Hi tlr31152

I don't suggest taking a new loan to pay off the past debts. The local company is doing their business by offering you a new loan. They are not doing the real consolidation business. If you default in their payments, they will use regular collection methods on you. Lastly, you end up taking more loans to pay off and undergoing financial difficulties.

In my suggestion, try a consolidation program as it will work the best in your situation. You won't have to take a new loan and put anything as security in the program. The counselor will combine all your bills into one monthly payment at lower interest rates. The counselor from your area will be calling you soon. Discuss about your options and get started in the program.