What should I do at this point?
Date: Tue, 08/10/2010 - 10:55
First Lender - AdvanceAmerica (CashnetUSA)
Amount - $500 / Finance Charge $77.50
* I've taken out a total of eight loans with this lender for a total of $3,350 since October 2009. I have paid $519.25 in finance charges. I am currently on my ninth loan for $500 and will pay another $77.50 in finance charges.
Second Lender - Sandpoint Capital, LLC.
Amount - $200 / Finance Charge $60
* This loan automatically renews on each payday for $60. Due to the cycle I'm in, I haven't been able to pay off the loan. I have two renewals charged against me for a total of $120. If I were to pay the loan in full on my next pay date I would be almost $400 in the hole for a $200 loan.
I'm tired of being stuck in this cycle. I will be struggling tremendously to make any sort of payment toward these sharks in the coming weeks. I am right around the $1,000 mark in total outstanding payday loan debt if you include the 3rd finance charge I'll be paying Sandpoint next week. Payday Loan consolidation companies tell me that the minimum debt load must be $850 / $900 before they will even talk to me.
I bank with PNC and have had an account with the now former National City for several years. I want to know if it is advantageous of me to go ahead and put cease and desist notices with the lenders in question and then close the current accounts that I have at my bank and open new ones. Does anyone else have PNC that has had issues with payday lenders? Are they easy to work with?
I want to be sure that no ACH debits reopen the account and then put me into the hole for several hundred dollars.
You unfortunately have only two options here! Close your account
You unfortunately have only two options here! Close your account, default on the loans and deal with the resulting collection tactics or pay them off! You only have two loans which is the good news! The bad news is that I feel as soon as you pay them off you will take them out again! I do not know your income or expenses so I do not know how hard it would be to break this cycle! Read the article in my signature link it may help you decide! I personally would close my account and get my life back and then deal with them on my terms! They are probably illegal lenders with little collection recourse!
Sorry but I see one is CashnetUSA They are a legal lender and wi
Sorry but I see one is CashnetUSA They are a legal lender and will have to be dealt with as that!
Quote:Originally Posted by frogpatchSorry but I see one is Cashn
Quote:
Originally Posted by frogpatch Sorry but I see one is CashnetUSA They are a legal lender and will have to be dealt with as that! |
Based on my income and expenses, I *should* have money left over at the end of the month but for the the last year I've had reduced income and managed to fall behind more often than not. My goal here is to break the cycle, period, and never use these loans again.
How should I deal with a "legal" payday lender like CashnetUSA / Advance America? They won't allow me to enter into a payment agreement until I default. What rights and remedies (if any) do I have to protect myself and repay what I owe in a manageable way?
Here is a link to the laws of Illinois regarding Payday Loans! Y
Here is a link to the laws of Illinois regarding Payday Loans! You need to check with the State Financial Division to see what the licensing requirements are! If you can cut back on entertainment or something you may be able to climb out! I have been living on nothing since Memorial Day when my unemployment got put on hold by the Senate in Washington and the AWI here in Florida! My wife and I were bringing in just her part time income and somehow we made it! I may have lost a couple pounds but thats easy get back! It is amazing what you can do if you are squeezed!http://www.debtconsolidationcare.com/paydayloan/explain-pdls-laws.html
So I looked into that link you provided: Regulator - Illinois D
So I looked into that link you provided:
Regulator - Illinois Division of Financial Institutions
Phone - (888) 298-8089
I called the number and left a message for someone to get back to me. The information on the link said repayment options - yes (or something similar). I don't know if that means that repayment options / payment arrangements are mandatory after "x" amount of days or if someone claims the inability to repay the loan they should be provided with repayment options.
AdvanceAmerica's FAQ says the ACH debit cannot be revoked, so I don't know what to do there should I go down a road of defaulting.
Quote:Originally Posted by AnonymousSo I looked into that link y
Quote:
Originally Posted by Anonymous So I looked into that link you provided: Regulator - Illinois Division of Financial Institutions Phone - (888) 298-8089 I called the number and left a message for someone to get back to me. The information on the link said repayment options - yes (or something similar). I don't know if that means that repayment options / payment arrangements are mandatory after "x" amount of days or if someone claims the inability to repay the loan they should be provided with repayment options. AdvanceAmerica's FAQ says the ACH debit cannot be revoked, so I don't know what to do there should I go down a road of defaulting. |
ANY ACH can be revoked, per the EFTA law, see it below:
[QUOTE]Electronic Funds Transfer Act
907. Preauthorized transfers
(a) A preauthorized electronic fund transfer from a consumer's account may be authorized by the consumer only in writing, and a copy of such authorization shall be provided to the consumer when made. A consumer may stop payment of a preauthorized electronic fund transfer by notifying the financial institution orally or in writing at any time up to three business days preceding the scheduled date of such transfer. The financial institution may require written confirmation to be provided to it within fourteen days of an oral notification if, when the oral notification is made, the consumer is advised of such requirement and the address to which such confirmation should be sent.
(b) In the case of preauthorized transfers from a consumer's account to the same person which may vary in amount, the financial institution or designated payee shall, prior to each transfer, provide reasonable advance notice to the consumer, in accordance with regulations of the Board, of the amount to be transferred and the scheduled date of the transfer.
[Codified to 15 U.S.C. 1693e][/QUOTE]
Another option I looked into was payday loan consolidation. I w
Another option I looked into was payday loan consolidation. I wasn't able to get a whole lot of information on them, but PDL Assistance offered me two settlement options for essentially $200 more than I currently owe through both companies, but the payments would be spread out over the course of 7 months.
The real kicker is that PDL requested $200 up front as a fee in order to handle the case. I can't swallow that personally. It seems extremely fishy to require that high of a down payment in order to consolidate the debt - especially when I don't even know if the lenders I have now will work with them.
CashNet USA will give you an extended payment plan. 3 payments,
CashNet USA will give you an extended payment plan. 3 payments, divided equally, to satisfy your current outstanding balance. No further interest will accumulate.
Quote:Originally Posted by OhioGal1CashNet USA will give you an
Quote:
Originally Posted by OhioGal1 CashNet USA will give you an extended payment plan. 3 payments, divided equally, to satisfy your current outstanding balance. No further interest will accumulate. |
Since my due date isn't until next week and I haven't defaulted, Advance America won't work with me. I have to default first. If I'm "doing it wrong" and not contacting the right people, let me know. I got the loan online through Advance America - who markets the loans but Cashnet USA funds them.
I have pdl over the internet and store front. How can I found ou
I have pdl over the internet and store front. How can I found out if these loans are legal in Texas? I see Cashnet USA is leagal the other 6 I don't know. They are Purpose Money,Payday loan Yes,cashcall,nationwide cash,and Sage cash. Im tired of this cycle and want it to end, i have a attorney calling me about one of them from 3yrs ago. All I remember is i borrowed 200. the next payday i extened the loan they draft my acct for 37.00 that friday then on monday they attempted to draft my acct for 237.00. of course it wasn't there so i kept getting nsf fund fees for daily attempts until i had to close my acct. Now this attorney want to sue for theft and fraud.
@loanslave072, Could you start a new thread? Your response det
@loanslave072,
Could you start a new thread? Your response detracts from any help I might have gotten specific to my issue.
I contacted my bank - they can close the account and an ACH debit would not reopen the account. They advised to go ahead and open a new checking account first and from there close the account. They wait 24 hours to be sure that an account is completely empty and if there is no activity after that the account is closed.
No worries. Web Help for Advance America is screwing me over.
No worries. Web Help for Advance America is screwing me over. Since I didn't get the loan from a store front I can't get much help.
They're not giving you the correct info. I had not defaulted.
They're not giving you the correct info. I had not defaulted. I emailed them and said, "I have 1 interest only allowed payment left and making it would only defer the inevitable. I need to get this paid off"! I proposed paying it in 5 payments and they countered with 3 payments, divided equally, paid on my next 3 paydays (which is what they're supposed to offer). Have you tried emailing through their website?
I tried e-mailing them through the website and using online chat
I tried e-mailing them through the website and using online chat. I don't know if the laws in our state are different (I'm in Illinois) but they won't budge.
I drafted a letter for each of my lenders that indicates I'm revoking the ACH agreement and they will have it in their cold hands on Friday. My accounts will be closed at my bank and I was told by the branch manager that an ACH debit would not reopen the account, so they can try and debit the account if they wish but the transaction will be blocked.
Sandpoint Capital, LLC. is illegal.
1) Sandpoint isn't legally licensed in Illinois.
2) PDL's in Illinois are not allowed to "roll over" I have rolled over twice and accumulated twice the amount of finance charges.
3) The maximum amount of charges allowable against a loan is $15.50 per every $100. For my $200 loan it should have been $231. I have already paid $120 in additional finance charges.
On my Sandpoint loan I should only owe another $80 and it would be PIF. On the Advance America loan I'll play hardball with them and pay what I can. They cannot refuse payment - watch that mess unfold in court.
No more than five minutes after Sandpoint received my fax and e-
No more than five minutes after Sandpoint received my fax and e-mail to revoke the ACH request, they tried calling me at work. When the acting receptionist asked the caller who they were with, they hung up.
I specifically put in the request that they weren't allowed to c
I specifically put in the request that they weren't allowed to call me at work any more.
I started a new thread specifically on the clause Advance Americ
I started a new thread specifically on the clause Advance America is using to state that my revocation of the ACH agreement doesn't have to be adhered to. It looks like they will be the only stickler at this point.