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Pay day loan company taking money from another bank account

Date: Sat, 01/15/2011 - 04:50

Submitted by anonymous
on Sat, 01/15/2011 - 04:50

Posts: 202330 Credits: [Donate]

Total Replies: 17


Hello. I took a 300 internet pay day loan out and wasn't able to pay it back right away. They charged me 5 90 fees and my bank finally closed my account because of all of the overdraft charges and the negative balance. I opened up another bank account with a different bank and this pay day loan company took 400 dollars out randomly a week ago. I never called them and gave them the new bank account information. I called them after I saw they took the money out of the new account and they said that the contract I have with them states that they can use any account of mine to get the money back using my name and social security number. Is that legal? I don't have a copy of the contract. I had the money in the account so they did get 400 dollars, but they want 350 more because the balance went from 300 to 750 from all of the finance fees. Is this something that you can go to jail for? I live in Florida and the company is apparently located in Utah. Thanks


In all likelihood, the payday lender is probably an illegal lender.
Have you applied for another online payday loan since you got your new account? If you have, that is probably how your account information got out. All of these online Internet payday lenders are connected in some way and they share and sell your account information to others.

As far as it being legal, it was probably stuck in contract somewhere they could have access to any of your accounts should you default, which is why THEY think it's legal. But the fact remains, you are still out all of that money and they have acquired your new account information.

Before I advise you, I need to know what the name of the pdl company is.


lrhall41

Submitted by Shazzers on Sat, 01/15/2011 - 08:36

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I'd be very interested in knowing which PDL this was. I found another thread on the internet where Loanpoint is doing this to folks sometimes years after having dealt with them.

I had to move my account and now I'd like to know how they can do this. I have paid them 1,980 on a 600 loan already. I have already sent the letter revoking ach authorization but since these companies are illegal, they continue to try and draft money from the closed account every 2 weeks. Wondering how long it will be before they somehow find my new account and try it from there.


lrhall41

Submitted by Klier on Sat, 01/15/2011 - 09:41

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Thank you. The PDL is Loan Point. Thank you so much for taking the time to reply. I am not sure what to do next. My original loan was 300, plus the 90 so 390. They did 400 from me from the new account, but they still want the 350 remaining because my balance keeps going up from all the fees.


lrhall41

Submitted by on Sat, 01/15/2011 - 10:14

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I'm also new to this forum so I'll wait for a response from one of the gurus on the site.

It's really hard to believe that the banks just let these illegal companies get away with so much. I was actually told by a BoA account rep that I was not allowed to revoke Ach authorizations from these companies. By the way, that is actually against the law.

The forum here has provided me with a ton of useful information so I'm sure someone will find the answers for you.


lrhall41

Submitted by Klier on Sat, 01/15/2011 - 10:54

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Quote:

I'm also new to this forum so I'll wait for a response from one of the gurus on the site.

It's really hard to believe that the banks just let these illegal companies get away with so much. I was actually told by a BoA account rep that I was not allowed to revoke Ach authorizations from these companies. By the way, that is actually against the law.

The forum here has provided me with a ton of useful information so I'm sure someone will find the answers for you.


I REALLY REALLY doubt the information was obtained from a bank, I am willing to bet the OP has recently applied for a loan online.


lrhall41

Submitted by Shazzers on Sat, 01/15/2011 - 14:16

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I'm hoping your right and the OP's new acct had gotten out through the network of pdls.

This was the other thread that I found where Loanpoint was doing this to others.
http://phoneowner.info/Number.aspx/8003518820. There are some interesting comments on that site.

Don't we all wish that we had known the depth of the problem before taking out these pdls? And I thought the high fees were the problem. High APR is only the icing on the cake!


lrhall41

Submitted by Klier on Sat, 01/15/2011 - 17:07

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You are absolutely right (as far as Internet pdl's). Since the OP didn't respond to my question regarding a new pdl, I would venture to say that is what happened, and it usually is what eventually comes out. I hope the OP doesn't feel I am judging them, that isn't the purpose, I am only trying to inform them for future reference, and anyone else who is reading this who may be considering applying for an Internet pdl.


lrhall41

Submitted by Shazzers on Sat, 01/15/2011 - 17:52

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I agree---no one is judging anyone here. We've all been in the same place before. When I finally opened my new acct, I was even hesitant to give the IRS my acct #. Dealing with these illegal pdls makes you paranoid about everyone.

Well, if any of these jerks gets my new # somehow illegally, I'm hiring an attorney and going full speed after them.


lrhall41

Submitted by Klier on Sat, 01/15/2011 - 18:18

( Posts: 54 | Credits: )


Quote:

Yes I did try taking out another loan with the new bank account information. I guess thats how they got the account information. i should have never started this vicious cycle to begin with. I wonder if they will keep targeting any new accounts that I open


Only if you apply for a loan online.

I figured that may have been what happened. Internet payday lenders are all connected in some way. Whether you got the loan or not, if you put your information in, and canceled, they would STILL have it. They are criminals, and you can NOT trust any of them online. Once you have given up your information to an illegal online lender (and 99% are illegal online) then every Internet criminal has it.


lrhall41

Submitted by Shazzers on Sat, 01/15/2011 - 18:52

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It was not stated, but if this was a new account opened at the same bank, then it could just simply be that the two accounts were linked. Banks will normally link all accounts of the same person. In fact, they may not even tell you this or ask if you want it; it is just an automatic thing. So, if it is the same bank, always request at the time the new account is opened to NOT have them linked together.

Unfortunately, the pdl cos have his/her new account info now, so this information does not help too much. But maybe it can save someone else from this same problem.

Good luck to all!


lrhall41

Submitted by on Mon, 08/20/2012 - 06:04

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