Mobiloans questions, info and verification
My wife and I reside in the state of Texas and recently (both in July of 2013) took out two separate $1500 loans with Mobiloans.
Have made payments (ACH) totaling $660 on account #1.
Also, have made payments (ACH) totaling $435 on account #2.
Another payment on account #2 was originally due this past Friday (9/6) but after calling the automated customer support line, I was able to "push" this due date to 9/20/13. I have also "pushed" the due date for the next payment on account #1 from 9/13 to 9/27/13....hoping that with the additional time, I could find some way to deal with this mess. Scary thing now is that it appears I will have to double up on those payments for those dates.....with pending ACH payments now totaling over $400 on each of the accounts. I fear I may have no other option than to default on the loans. Fortunately, I found this forum over the weekend and have already found quite a bit of encouraging information.
I would very much like to avoid the headaches associated with having to close out my checking account and opening another as I've had the same account for decades. Same goes for my wife.
I have read some posts here about the National ACH Clearinghouse has cut off these "illegal lenders" ability to continue to debit funds from borrowers bank accounts.
Is the information that I read accurate? If so, is this a permanent thing and could there be a possibility of the switch being flipped again and things go back to the way they were?
Also, is Mobiloans indeed an illegal lender in the state of Texas and/or elsewhere?
I do also plan to follow the steps outlined in one of the "sticky" messages in this forum and have the ACH access of the lender to be revoked...though again, I am hesitant to close the bank account. I am thinking that if the ACH access is actually blocked by the national clearinghouse and both Mobiloans and my bank (Wells Fargo) are both made aware of the revocation process and any and all potential blocks are put in place, I should be able to keep the same checking account. Am I wrong in thinking this way? Or would this simply be another gamble?
I am reading more and more recent posts about Mobiloans being cooperative in revoking such access and also in accepting payoff installment plans--on the borrower's terms and also for the principal amount that was originally borrowed. If I am to understand correctly, my wife's account (#1) would still be morally obligated to re-pay $840 based on the $640 (which was supposedly for principal, interest and fees) already paid in....while my account (#2) would "morally" still be owing $1065. If I am able to enter into such a repayment plan (and all indications from the forums here lead me to believe that I should have little problem in doing so), I would do so on a monthly basis using money orders.
Do I have all my facts and figures straight?
One last thing.....I am also concerned about another post I read concerning these type of lenders possibly being able to bypass the ACH network by doing some sort of "remotely created check authorization." Would the ACH clearinghouse shut down of bank account access for Mobiloans (and I believe it was about three dozen other similar lenders) alleviate this worry as well?
Sorry for the wordiness of the post......have taken in a lot of information on the subject in the past 24 hours or so and want to get a handle on the situation as thoroughly and quickly as possible.
Any input would be greatly appreciated!!!
You NEED to shut your account
You NEED to shut your account down and open a new one.....the paper could be sold with all your information. Yeah, it is a hassle but it has to be done to protect yourself. Mobilloans is illegal EVERYWHERE....of course at some point they could try to circumvent the system.
appreciation
Thanks for the replay SOAPLADY!!!
Just to clarify a few things though......do I have it correct that all payments made already should count towards the initial loan amount?
also, really curious about the national ACH clearinghouse bit that I mentioned......with a payment to be made next friday....could I just sit back and do nothing and assume that the ACH blocks are already in place? or is that just playing with fire?
Interesting Developments
Some of the lenders are changing the description of the ACH transactions in an effort to elude elementary attempts by banks to block them. For example, I have a Great Plains loan, and prior to July the ACH description on my bank statement read "GREATPLAINSLEND", followed by an ID number and and other information. Now, it reads "GPLEND", followed by the ID and additional info. This is why it will be important to close your bank account because in the future, they may use a different name to attempt to debit your account, since technically their contract says they or their "associates" have the right to debit your account to collect the money.
Yes, you are correct that all
Yes, you are correct that all payments made already paid goes toward the original amount borrowed. Strongly suggest that you close your current bank account and open a new one even though the ACH clearinghouse has caused lenders problems, the lenders may find a way around it.
that is interesting
I understand they have the right.....but could/would they do this even if the ACH revocation is in place? Anybody on the forums have any similar experiences with Mobiloans (and specifically Mobiloans....not overly concerned with the other companies at this time) where they tried such tactics to debit their bank accounts? from other threads on the forum, it does appear that there's a good chance of having the debits reversed if they were initiated after the revocation has been done....but that doesn't eliminate the possibility of potential overdrafts and having to pay fees on other legal transactions
HOPING that once I submit the ach revocation notices to Mobiloans and to my bank and enter into a payment agreement (again, HOPING it will be on my terms) with Mobiloans, they'll play more by the rules and be somewhat honorable.....maybe I'm just being overly optimistic.....it does sound like a lot of these companies are run by scumbags who are as devious as can be......but from what I've gathered so far, it sounds like the folks at Mobiloans will play nice once a borrower stands up to them....am I right or wrong regarding them? would appreciate any tales from anyone who has dealt with them
it's a mess.....and could get even messier....whether I close the bank account or not
also....thanks to those who continue to take the time to read this thread and to those who share their thoughts
They are illegal....what
They are illegal....what makes you think they will honor ACH revocation?
The only sure fire way to
The only sure fire way to keep them out of your money is what you have been told - close the old account down and open a new one not linked to the old one in any way..
makes sense
thanks for the additional insight
one other possible scenario........suppose I pay off the principal owed by the time my next ACH debits are scheduled.........I understand this would need to be done 2 to 3 days in advance so the debits could be halted on their end.......but suppose everything is done in a timely manner and they still continue to process the ACH.......and certainly if it is weeks or months later.........would I not have a criminal case on my hands?