payday loans illegal in ny?

Hiya and welcome to the community! We have several members here from NY who can offer you good advice, meanwhile I will post you pdl laws. :)
Quote:

We need more information please. :)

-Whether they are store front or Internet.
-How much you borrowed.
-How much you paid so far.

Welcome! You are right, PDLs are prohibited in NY. I, too, live in NY so I have been through this as well. Taking out PDLs shouldn't be done in any state, but to answer the question, they should not be offered to NY State residents. In order to help you with this, could you pleae list how much you borrowed and how much you have paid on each of these loan? I am also assuming that they are all internet. Have you closed you bank account yet? You will need to do that before you send anything to the PDLs. If you give any indication to the PDL that you are going to deny them access to your money, they will go in and take whatever they can. You will need to also draft and send a C and D letter and file complaints with the AG's office, the BBB, and the FTC. Here is what I sent off to them. It also includes the NY State Law.

To Whom it May Concern:


After doing research on internet payday loan laws in the state of New York, I have found that your internet payday loans are actually illegal. I have also found the following laws to be true applying to payday loans in the state of New York in general:



--------------------------------------------------------------------------------

New York State Information

Legal Status: Prohibited

Citation:
Licensed lender law applies but interest rate is that agreed to by contract. N.Y. Banking Law ???? 340 et seq. A check casher licensee cannot make loans nor cash or advance any moneys on a post dated check unless it is a payroll check. N.Y. Banking Law ???? 373. Criminal law sets the usury cap at 25%. N.Y. Penal Code ???? 190.40.

Small Loan Rate Cap
25% per year

Where to Complain, Get Information:
Regulator: New York State Banking Department
Address: One State Street New York NY 10004
Phone: 1-877-BANK-NYS
Fax:
Regulatory Contact: Regina A. Stone Deputy Superintendent
Regulator????????s Website
Complaint Form
Complaint Instructions


I have contacted the New York State Banking Department and the New York State Attorney General????????s Office regarding your internet payday loans and was informed they are indeed illegal in New York and have been advised to pay what is due according to principal amount only of the loan.

A physical address is necessary, as you are no longer authorized to debit my bank account. I will not Money Gram or Western Union any payment. If no physical address is provided for me to mail payment to, no payment will be made.

Any contact must be made through the US Postal Service or email only. I need everything in writing to keep accurate records of all communication as per instruction from the state Attorney General's Office.



I prohibit you or your affiliates from contacting me via telephone at my place of employment or my home telephone number. I also prohibit you from calling my references listed on my loan. Once I inform you of this, you must stop the telephone contact immediately or you will be once again breaking the laws of the state of New York.

You are also hereby notified that I am revoking any voluntary wage assignment I may or may not have signed. I no longer authorize you, your company, or your affiliates to attach any part of my wages or contact my employer for your collection purposes.

I am revoking your right to debit my checking account any longer. You, your company, or your affiliates are not authorized to debit my checking account from this point on. Please be aware that I have informed my financial institution of this situation and they will also be receiving a copy of this correspondence. Any further attempts at debiting my account will be rejected by my financial institution as my account has been flagged as having fraudulent activity.

I must also inform you that I have filed complaints with the Better Business Bureau, the Federal Trade Commission, my state Attorney General's Office, the New York State Banking Department, as well as my State Senators, Jim Alessi and Hillary Rodham Clinton.

In regards to this matter, I expect a response from your company no later than 10 days from the date of this communication. This response may only come via US Postal Service or email. No telephone contact is permitted.

This will pretty much revoke any authorizations you may have given to the PDLs. This board always encourages to pay back what the PDL deposited into your bank, as a moral issue.
If you can post those figures, you might find that things are not as bad as you imagine. Keep us posted and feel free to come back for help anytime.

if i payed them more in interest than what the prinicipal is do i still owe them

You only owe them what you borrowed, ei., if you borrowed $300.00, deduct all interest and payments you have given them, and that would be your balance. :)

ok so for example i have nationwide cash i burrowed 350
i have payed them in interest only 420
does that mean that i dont have to pay them no more and ifso how do i handle them they are obviously going to come after me for more money how do deal with them how do i i get them off my back and i am from ny so its ilegal here

here is what you do file AG,FTC AND BBB complaints against these illegal pdl's.if you have overpaid these loans you are done.the fact that NY prohibits pdl's doesn't mean a whole lot to illegal lenders.best to take the tiger by the tail,if you know what i mean.just know these pdl's will say about anything to get you to pay.don't listen to them.

ok thanks but do i call them to pay off what i should pay and how should i pay them i have closed my bank account and so if i payed more in interest than what i burrowed than i dont owe them no more but wont they insist i pay them

ca11375 below is some information that might be helpful to you.
[quote]
I hope the information below will help you. :)
You are only obligated to pay back the principal amount you borrowed from an unlicensed/illegal Internet Payday Lender.

What should you do?
Close your account asap, if you are unable to close your account, go into your bank and ask to speak with the Branch Manager, tell him/her you need a hard debit block placed on your account immediately! Explain that you are revoking ACH authorizations from unlicensed/illegal companies, and have learned these companies are notorious for ignoring revocation, therefore it is important to BLOCK any withdrawal attempts on your account to protect your interest. This is your privilege, do not accept no for an answer. The following link will provide you important information regarding closing accounts. CLICK HERE

What next?
AFTER your account is secure send each pdl (the unlicensed and illegal) an email similar to THIS (please scroll down to locate letter template). Tailor this letter to your needs, and try to write it with the same basic concept in your own words. You will need to research and locate email addresses/physical addresses if you don't already have them, I suggest that you type the name of the pdl (example: "oneclickcash address") in the search box in the upper right hand corner of this forum. You may also search for addresses HERE at the Better Business Bureau.

File complaints: Most of the time, you can file a complaint online with the following, I encourage you to follow through with doing so, you will need to search the Internet for your state Attorney General's website, however, here are links to file complaints for the FTC, Online complaints: Federal Trade Commission., and the BETTER BUSINESS BUREAU.

Keep in mind that you may not receive a response for days, or even weeks, or, you may receive harassing and threatening phone calls. I have found the best way to deal with this is not to respond or reply, simply hang up.

Side note: If you have paid an illegal/unlicensed payday lender above and beyond the principal amount you borrowed, it might be a good idea to demand a refund and a paid in full letter/receipt. You may or may not get one or both. It still doesn't hurt to include that tidbit in your letter. :)[/quote]

Quote:

Thank you shazzers for your help here is my list
nation wide cash burrowed 350 payed in interest only 420
quickest cash adv 300 payed in interest 270
cash direct exp 400 payed in interest 397.50
and 50 towards the principal
my cash now 510 payed in interest 277.70
and 200 towards the principal
cash banc 350 payed in interest 182
payday max 100 payed 0
i am assuming that all of these pdl's i have here are all illegal and unliscense since i am from new york

They are illegal. You owe nothing to Nation Wide Cash. $30 to Quickest Cash Advance. Nothing to Cash Direct. $32.30 to my cash now. $168 to Cash Banc and $100 to PayDayMax. Hope this helps.

thanks llw i have read several of your post and am glad you were able to resolve your pdl headachs i am trying with mine and am glad i found this site what should i do now should i send them c and d letter with ny state laws on pdl and i know they want payment sent via moneygram or western union but from reading othere posts others here reccomend paying with usps money order should i call them and tell them what i intend to pay or just emailing them is enough i am sure they will give me a hassle do icall them to find there address to pay them or get it from their website also am i to assume that since they are illegal here in ny they can not sue for what they think is owed to them i am sure they will say they can

Here is a copy of a template you may email them, you will need to make a few changes here and there, this is just a basic format for you.

Quote:

Some people send these letter through the postal service and through emails, it's up to you but I had no problem just using the emails system. :)

Nationwide cash
'customerService@nationwidecash'
Nationwidecash.com
314 North Riverside Drive
Espanola, NM 87532
'Taheerah@nationwidecash.com'

Quickest-Cash-Advance
Phone: (866) 539-7504
Fax: (186) 624-6015 ext. 7
Address: 515 G SE
Miami, OK 74355
Website: quickest-cash-advance.com
Email: compliancedepartment(at)quickestcashadvance.com

Cash Direct (GECC) - I believe they are also unlicensed/illegal.
This is for Cash Direct Express/GECC:
Tracy L. Callaway
(302) 737-0926 ext. 302
(302) 737-3873 - fax
tcallaway(at)geccloan.com
CashDirectExpress
Phone: 866-432-2562
Fax: 866-432-2736
Email: Info(at)CashDirectExpress.com

MyCashNow.Com Inc.
Grand Anse, St. George's
Milwaukee, WI 53214
Telephone: (866) 398-2274
support(at)mycashnow.com
1-866-645-1662 and 1-866-318-2274

Cash Banc
29L Atlantic Avenue, Ste. 324
Ocean View DE 19970
Phone: (800) 979-0823
Fax: (800) 979-0825
Email: [email]info@cashbanc.com[/email]

Payday max - Also known as Credit Protection Depot
Paydaymax
support (@) CreditProtectionDepot.com