Those of you in Arizona - There is Help!

Great advice! Just make sure that you are telling this to illegal lenders and not lenders that have a license. It may take a little homework, but you don't want to tick off someone that may have worked with you at one point.

Good point! It is tough to research, but I just printed their legal licenses and went through it. Per his instructions, if they are doing business by another name (as Check-n-Go) does, they have to list all other DBA's on their license!

It only took me one night of sorting through the list to find out easily who was legal and who wasn't!

I just found this part of the Arizona State Statue... according to the ARS 6-1262, you are NOT responsible for the principal amount. Here is the ARS...

It is a matter of priciple.

Even though they may be illegal, a borrower has to search them out in order to borrow. If you borrow with no intention of paying the lender back then it is described as one thing, theft. That is not what this forum is based on or advises.

One other note, contrary to what any of us want to believe the internet model of PDL's have not been tested in the courts. This means that even though the individual states say that the contract is not valid since the lender is not licensed, there is no legal ruling to back that claim up. As we all should know from our civics class in school, a law is only as good as the court ruling states. So in a sense, the lenders may one day prevail with thier understanding that since a borrower "seeked" them out on the internet, the laws and regulations of the state where the business resides will prevail.

The closest we have seen is a December 2008 ruling in California in favor of MTE and thier soviergn rights. Will it happen with this type of lender, I don't know. But until someone steps up and challenges it in the courts, there is a grey area to deal with.

I live in Arizona and know my state laws. I will tell you this I had more than my share of internet payday loans and I have paid back the principal to all of the ones who would accept my offer. I have two that I only owe $30 to and they have stopped communicating with me. It is a moral obligation to pay back the principal of any loan even if they are an illegal lender.

for sure kstaff24, i can say the legal payday lenders i delt with wernt really bad, they did offer epp's. it is the illegal ones that were rude and laughed at the idea of doing an epp or offering any sort of help.

Yep they are a bunch of off shore bullies who think they can intimidate and threaten but more and more people are fighting back!!!!!

Dear PDL Owner! You DON"T know your facts. Please feel free to call and speak to the Arizona Department of Financial Institutions yourself! I do know that state's statues unless unconstitutional do hold up in a court of law! I have also seeked legal advise. I paid back the principal owed only because that is what I felt was ethical!

However, according to laws... Yes, we might have seeked them out, but it is like any other state law, if you do business with anyone in the US, you better know that state's laws. In order to conduct any legal business in Arizona where it comes to payday lenders, they hold the responsibility to uphold the states laws where the person resides for which they provide the loan.

I was not aware of the Arizona revised statue otherwise I would have made sure that everyone was following the laws.

There is NEVER an excuse for anyone to bypass the laws. Please go read the entire state statue as it also addresses whether it was solicited or just plain ole business received!

You are not dealing with people anymore that will just sit by and take your crap!

My guess is that you may or may not be following laws yourself or you wouldn't be so quick to defend the illegal scum in the payday lending world!

I have been thru this bickering and I am not going to waste other people time arguing with you when I stated the facts in the first post.

This site does not condone not paying an illegal lender back the principal.

The constitutionality has of internet commerce and contracts have not been tested in the courts regarding PDL's.

The only court case, to my knowledge, is from California in December 2008 in favor of MTE.

Read my post, I included myself in "your" group....