mypaydayloan is included with my other payday lender in prog

Well, I got a call from one of my payday loan's reps today. They do have a payment address is Utah. He said they do work with debt consolidation but the expect a $275 payment every month or every two weeks, other wise they will send it to a collection agency. I was told collection agencies don't work with debt consolidation companie, by him. The name of the company is Zarvad III, roman numeral 3. Then he tells me that they will charge me with a 25 % interest fee every month on the remaining balance. He said I agreed to the terms on the loan contract, which is based out of Costa Rica. I thought it also stated on there that they had to follow state laws. I will have to pull up the original contract. It seems that they are licensed in the state of Utah or my state. Is there anything I can do?

msmishele30,

Try to settle the account with original creditor; don't let it go to the hands of collectors. Negotiate with them; tell them how much you can afford. If possible send some money too. Once they accept the payment, they cannot report you as defaulter also.

The rate of interest for payday loans is very high. It just continues piling up. So repay this account as early as possible.

Well, it is with a debt consolidation company right now. I contacted my counselor about the conversation and she will contact the guy today. I think they are just trying to get extra money from the sounds of it. I contacted my state's attorney general's office and they referred me to the FTC. I contacted them and they told me they only deal with third party debt collectors. I do need to deal with my consumer protection office because that is where I took the loan from, even though it was online. I feel like I'm running around in circles.

I was also told by the FTC that they do need to follow my state laws. The guy on the phone said it was on his terms. Could this be a scare tactic?

I left a voice mail with the lady I spoke with earlier from the ohio consumer protection office. I went ahead and filed a complaint with the FTC online. Now they are faxing me at work, so I faxed a copy to the debt counselor. I'm going to send them a cease and desist letter tomorrow, stating no contact is allowed at work or with my references. I'm going to contact my references as well to see if they tried to contact them. I'm learning the fees allowed in the state of Ohio so I'll make sure and talk that over once I hear back from consumer protection. The guy was asking me if I could borrow money from a friend or relative or if I was going to file rapid refund on my tax return. I told him that was none of his business. I told him that I was working with the debt consolidation company and I would have them call him. Two phone calls and things change with them. I don't know but it makes me more determined to get these places shut down, one at a time.

msmishele30,

Can you check it with your consolidator that if they are receiving payments from them or not. If they have already received payment from the consolidation company, they cannot demand for money from you. It would be considered as an illegal activity. Ask your consolidator to for some acknowledgement also.

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I'm not sure if payment has been made to them or not yet since the debt consolidation company is trying to work out a payment plan with them. I'll have to look at the original loan documents if I can access them. I'm blocked out of their system since my loan is in default. I can write and ask for an account status from mypaydayloan, right? I will include that with my do not call letter. I also responded to an e-mail when I got home from their collections manager. They wanted the number to the consolidation company so they can take my account out of collections. It seems a little different than talking to the first guy today. I will ask my counselor to see if payment has been made to them. I have a message for her to call me tomorrow. Yes, I do send all my correspondence through certified mail with return receipt. I'm not taking any chances. I will also have my counselor ask for the original papers. I think I kind of made the first guy angry when I started talking about my rights and having to follow state laws. Thanks for the suggestions. I will follow up on them tomorrow.

Well, mypaydayloan.com has agreed to work with my debt consolidation company. A little more monthly than we proposed but they wave any late charges. I also received a call from their collections manager today. She told me the news. She said she was made aware of my phone conversation with Jake, the first guy that called me. She apologized for his behavior and for his not knowing what was going on. So it was a good day :-) I'm going to fax the rest of my paydayloan lenders on monday with do not call letters. I just hope no more call me at work. So far it's been okay, exept for the e-mail to my boss yesterday. I'll deal with that on Monday.