Confused in La

Internet payday lenders are SUPPOSED to follow the payday lending laws in the state the consumer resides. However, they will always claim that they are only obligated to follow the state laws where they are located. This is absolutely untrue, and they know it.

As for your storefront loans, they are supposed to be licensed in your state, and most likely they could be using another name, which is what they are licensed under, but d/b/a the name they use on the storefront.

One way to try and find out what state your internet pdls are in is to do a search for them on the BBB website and search by either company name or phone number (if you have one). Also, if you go to the top of this page and enter their name in the search box, you can see if they're mentioned in any old threads. If so, look through the threads to see if their contact info is provided. Chances are, someone on here has dealt with the same lenders you are.

Just a quick aside. There are some states that allow a internet PDL to just be licensed in their residing state. I don't know what states those are, but I don't believe California is one of them. So yes I do believe they are supposed to be licensed in Cali to lend in Cali.

As for CashNetUSA, they tend to be licesened. I had trouble with them because the laws had changed in my state and they weren't quick enough to follow them. But since they are licensed they can follow legal proceedings to get their money back. Call and talk with them, it may take a couple of tries to get someone who is willing to work with you, but explain your situation and how you are having trouble paying and want to work out a payment plan.

You will have to do the same with storefronts because for the most part they are licensed as well. I know you said you couldn't find the info about some of them. Try to call them and ask them what their business name and license number is. If they are licensed they'll be happy to provide it. If they give you trouble, then be suspcious.

And follow Tiffany's advice, look them up on here, search them over the web, try to take in as much info around here as possible. And we'll keep you updated on what to do next....

poko-You are correct, they need a license in Cali to lend in Cali ( I live here)...CashnetUSA and CashCentral are legit in California.

I don't know much about storefronts, because I only got into trouble with internet, but I'm curious as to how much the storefront takes from you each paycheck and how much do they say you still owe?

Shay-You are in Lousiana right? When I saw "La" I thought Los Angeles... :?
FYI, here are the Payday loan laws for Louisiana here (just select your state),
http://www.debtconsolidationcare.com/paydayloan/explain-pdls-laws.html

volleyballmom, yeah I am in La. I didn't think about Los Angeles until I saw the Cali comments.

I found the store front pdl licenses. Like Tiffany said, they were licensed under another name. I am pretty sure I can get the store front pdl companies to work with me, since I have been dealing with them for so long. Pokogeo, I have 3 store front loans. I borrowed $350 from one company and $300 from another, I pay $50/paycheck per company to renew them. The other company, I borrowed $300 and I pay $45/paycheck to renew it. None of the money I pay goes towards principal, so I own $400 for one, $350 for one and $345 for the third.

My biggest concern is, if I contact the internet companies and ask for a payment plan or something, they will freak out and attack my bank account, trying to get their money out before I close the account or anything. Has anyone successfully made payment plans with internet companies, without having to close your bank account? I will consider that (closing my account) as a total last resort. I am also trying to work on my credit score and I was wondering if any of these pdl companies report to the credit bureau?

Hi Shay. I can only speak for myself, but I called all of my internet pdls and tried to make arrangements prior to closing my account and nothing happened to my money. They refused arrangements, but they didn't attempt to debit before the due date for renewal. Wait, Mycashnow did make arrangements with me to send in the money via moneygram, and didn't bother with future debit attempts...but in retrospect, I should have NEVER made arrangements with them for more than the principal amount, as they are illegal, too. I think credit protection depot, (their d/b/a) is not even located in the U.S.
I can tell you this...if you do not successfully make arrangements with the companies, please close your bank account. They will continue to make attempts to debit your account, and then you become indebted to a very legal bank!

I sent letters and made calls to make arrangements for my internet pdls, and found that one or two of these companies were still trying to make debit attempts over a year after I closed my bank account, so I don't trust anything they agree to or say.

I personally didn't attempt to make "arrangments". Mine were all illegal companies. And, they did hit my account over and over and over. And they also put through electronic checks. They will do anything to get "thier" money if they know that you're about to "default" with them. Hell, they were still hitting a closed account months later and trying to put through electronic checks. They won't stop. My advice is always to not say a word to your pdls until AFTER you have your bank account situation under control. Because they will pounce on it and try to get whatever they can out if they have any idea that you're about to "default". Just my personal advice. Others do it differently. No one is wrong. But as tiffany posted, they continued to hit her closed account and they continued to hit my closed account. If your account is open/active, they're going to have a field day.

Cannr is absolutely right. They will keep trying to hit your account if you default with them...whether it is closed or not. That is why it is so important to get that account closed. Whether you decide to make arrangements or not is up to you, but do not keep your account open. They will go nuts and you will be out alot of money! AND get it closed prior to default. This way you don't have any bank fees to worry about. :-)

I totally agree... I actually closed my account before I sent out letters or made calls to the pdls, thanks to the great advice on here, and I was so glad I did that. I hate to even imagine the amount of overdraft fees I would have racked up if I had left the account open.

I just found out that my cash now is based in Granada. How in the heck do I find out the laws there?

shay, it does not matter what the "law" is there. Let's just say "illegal".

This is from the BBB website.

my cash now
207 1425 Marine Dr
North Vancouver, BC V7P 1T5
Telephone: (866) 392-2274

This company has an unsatisfactory record with the BBB

Company cannot be located

Thanks cannr. I went to their site and under "Disclosures," I found this:

GOVERNING LAW.
The transactions related to loans will be deemed to have taken place in the offices of Mycashnow.com??????? Inc. and according to the laws of Grenada, regardless of where you may be viewing or accessing this site.

I didn't think that made much sense. When these loans are deemed illegal, how do yall handle them? Do yall just pay off the amount that you borrowed or do you pay a little more (for interest) or do you just fight the entire debt?

Also, can someone please tell me if internet loans are illegal in Louisiana? I have read the La state laws, but I don't see where internet loans are addressed.

Thanks a million to everyone giving advice on this site. I have been reading all the payday loan threads and I am amazed that so many people got caught in this trap. At one time, I thought I was the only one with all these loans and I was embarrassed to admit I was in trouble. Thanks to yall, I am ready to face my problem head on!

Okay, shay. Here's the low down. Yes, they put that stupid paragraph on their loan papers. You can use them to wipe up dog crap. Sorry, but it's true. You are not governed by the laws of some little bitty tiny island in the middle of the ocean. When dealing with illegal loans, the majority of people pay back the amount that was deposited only. No more. No illegal fees. Seeing as how a person received the funds and did use them, they pay back the amount received. Too bad these pdls fight tooth and nail and claim a lot of crap to get those illegal fees. Some people don't pay them at all when finding out they are illegal. Here goes the whole legal/moral issue. Legally, you don't have to pay an illegal debt. Morally, you should pay back the amount borrowed. Either way, the pdls are not happy. I'll tell you that now. It's especially hard to decide what to do when you find that a pdl is located overseas. Not even in the US. And they are the worst ones to deal with. They will kick and scream and threaten. Good Lord. As far as finding out where your state stands regarding internet loans, I would contact your state Department of Finance or the state Attorney General. I contacted mine because I knew store fronts were legal, but were internet? So I sent an email to my state Department of Finance. I found out that internet loans are illegal and considered an illegal debt. Now, I would have been clueless unless I asked them myself. So you should try to contact someone at your state agencies and ask them that question. Hell, all I did was ask "are internet loans legal in our state". Short and sweet. Got a reply the same day. News to me!

Choice of law contracts generally do not stand up in court. A business cannot pick and chose what laws it wants to follow.

I attempted to close my checking account, but I was told that in order to do so, I have to be on the positive side (I was overdrawn). The woman at the bank told me they could do a NFS closure, but I wouldn't be able to open another account at any other bank until it was paid off. So now, I have 2 checking accounts (I opened a new one before I attempted to close my old one and had my direct deposits changed to my new account). I am now stumped as to how to proceed. Do I send out the cease and desist letters to my loan companies or do I try to get money into my account and hurry and close it? I guess I could close it now that I have a new account opened, but that really isn't the way to clear this up without damaging my credit. My bank will pay up to $500 overdrafts, but that's $500 I will owe the bank (plus overdraft fees). I sent out a letter to the Office of Financial Institutes two days ago, and I am still waiting to hear a reply as to what I should do with the internet loans. I feel I am on the right track, but since I can't close my first checking account, I feel I will be put further in debt when the loans come due again.

shay, what does your bank mean a "NSF Closure"? What does that mean? I understand your account is in the negative. Okay, so they can not close it. However, can they put a block on it so that NOTHING goes through? Nothing at all. A hard debit block? A hard hold? A freeze? Something so that these debits do not hit your account and cause NSF fees? Is that what she was talking about?

Cannr, I think it means that the bank will close the account "with cause". i remember when I had my overdrawn account , the only way I could close it was of course to pay the O/D which is what I did, Otherwise the bank would close it due to NSf, but it would be listed on chex as 'closed with cause'

So does that mean it would be CLOSED without being forced open again due to pending debits?

Yes. I am sure that if an account is closed with cause the closing bank will not reopen it. It is a dead issue. But I think I read that Shay has opened a new account. Once the chex system report hits her new bank , they will close that account. You know that banks usually check for 3 to 6 months on new accounts just to be sure that another bank did not get burned by them

Ah...crap. Shay? We need you to come back! :wink:

From the way it was explained to me, kashzan has hit it on the head. The account would be closed, but I wouldn't be able to open another account with any other bank. I didn't ask if my other account would be closed, but I fear it would be. What I am gonna try to do, is pay out the overdrafs on my "old" account and then close it, but that might take a cpl more weeks, which will give my pdl companies time to try to get more money, which in turn, will run up overdraft fees. HELP!!!

I think at this point you can ask your bank if they can put a hard block on any ach debts. That way you wont run up anymore fees. I think most banks will do this for you. I believe that you have aready made arrangements for your pay check.

shay, you need to get your "old" bank to put a block on it. You need this block put on. Yes, the pdls will continue to hit it causing you lots of NSF fees. We don't want this. I'd hate for anything to happen down the road with your "new" bank. Crap. This bites. See if you can get your "old" bank to put the block on it. Explain the whole "unauthorized companies taking out unauthorized debits". Don't say payday loans. Just say "unauthorized". They need to block them.

First thing in the morning, I am gonna call my "old" bank and see if they can make my account deposit only until the overdrafts are paid off (I found out today via telephone that my account is $200 overdrawn). Once they are paid off, I am gonna close the account. When do I start sending out the letters to the online loan companies? Also, I have a loan though ThinkCash, which I was told is not a pdl. I need to continue paying them, and I need to notify them of my new account info, but I am afraid they will somehow leak this to my pdl companies. Is it possible for pdl companies to "attack" my new account eventhough I have not authorized them to do this?

shay, do try to get your old bank to put a block on it. Tell them you'll pay off your $200 (God love them). Get that account straight before sending the pdls anything, even an email. If they catch wind that your account may be closed/closing, they're going to pounce on it and try to get every penny they can. So if you can at LEAST get a block on it (with the assurance from the bank that NOTHING will go through), you can send out your letters to the pdls. Until the bank account is set, say nothing to them yet. As far as Think Cash - yes, it is an installment loan rather than a pdl. Unfortunately. That bites. However, if you contact them (and I think others have done this) and tell them you no longer have an active bank account (tell them your bank closed it due to NSF fees), I believe they will take other payment arrangments. If they state moneygram/western union, don't do it. That's an extra fee for you. If they say debit/credit card, that's fine. You can always go out, get one of those pre-paid debit cards, put ONLY the amount of the payment on it and give them that as your debit/credit card number. This way they only get the exact dollar amount of the payment and there is no way to trace the number back to any account that you have.

Thanks cannr, I didn't even think about a prepaid card (I have one already). After I contact the bank and get things straight with them, I will let yall know. Thanks for the advice. I have no idea what I would do without yall.

I just saw that I spelled my name wrong. Guess the stress and lack of sleep is getting to me, lol.

shay, that's okay! We know who you are! Please keep me posted as to how it's going. I'm glad you already have one of those pre-paid cards. That's the way to go if these places want payment. Keep us informed! :wink:

I called my "old" bank today and was told the only way I could stop the "unauthorized" ach debits from coming out of my account, is to put a stop payment on each one (at $26/company). I know these places use several names, so that would be close to impossible. The bank manager advised that the stop payment would keep them from taking any amount out of my account, which is a good thing. I told her my fear that I would get more overdraft fees tacked on if they continued to pay the ach debits, but she really didn't seem concerned (I am paying them money, why would she be concerned). So, as of now, I have the two accounts, one of which now has $400 in overdraft dues (they seemed to have paid the pdl companies eventhough I didn't have anymore money in my account)! I can probably pay about $300 of that next week, but once I do, then more pdls will go through. I am really getting aggravated with this whole scenario, but I have no idea what else to do. I thought I was making progress, but now I feel like I am going in circles.

shay, no. You can't just put a "stop payment" on these companies. They will use different names. They will also not just attempt an ACH debit, they will put through an electronic check. Your branch manager is insane. I know your account is negative. However, there is no reason they can not put a block on your account. This way your idiot bank can't keep "paying" these and charging you NSF fees, which is what your branch manager wants to do. No. They can put a block on it. Hell, I had a block on mine. Total hard debit block. You need to hound the hell out of this person. Ask the manager for the corporate office telephone number. This is insane. All they're doing is allowing more NSF fees to build up on your account for you to pay back. No. Call the corporate office if the manager will not cooperate further. Do not hesitate to tell them that you will make a complaint against them. This is not acceptable. It can be done. It has been done. They are just not doing it. I know I'm making it sound "easy". But it's not. But you've got to be a friggin hound about it. My bank knew the sound of my voice on the phone. I didn't even have to state my name. I emailed the hell out of them. I contacted the corporate office. This is totally insane of them. Please, do not give up on the bank. Harrass the crap out of them. You're already paying them NSF fees, so what's to fear? Let them know that you mean business. And I mean it, call the damn corporate office and get them involved. And let your branch manager you are doing just that.

Shay I had the same problems with my bank. I called corporate and everything. They finally closed the account after I threatened to get the state involved.

Good advice, pyb! :D This is why I say tell the branch manager right to their face you want their corporate office telephone number. And do not hesitate to mention that you have no problem with filing a complaint. It might wake them up just a little bit and they might concentrate on something other than getting NSF fees from you.

My bank tried to get me to do the stop payments for a fee, but then told me I couldn't do it because I was already in the red. So after a while I finally told them to do the full block/hold/nothing comes out deal, which they said okay as long as my direct deposit will still come in and bring my balance back to positive. Sometimes banks are just as bad trying to get as much money from you as they can!

I finally got someone who cared! I called customer service (I was told that the branch manager was in as meeting) and I finally spoke with someone who closed my "old" account over the phone. She set up a payment arrangement where I would pay $100 every two weeks, until my balance was paid off (it's now at $563 because they paid something else). I will call my new bank tomorrow to make sure that nothing has changed with it. Now that this has been done, what is my next step?

Okay, shay. Your bank account is taken care of, right? Nothing is going to be able to force it back open? Nothing will go through? If this is the case, this is where the fun begins. We get to send letters to your pdls. Let me go back and read everything and see where we stand with what pdls.

By the way, congratulations on getting someone to work with you at your bank! :D I'm sorry! I just focused on the next step without saying "good job"! Now, do you have your storefronts taken care of? Have you contacted them at all? Because they need to be contacted and some type of payment arrangment made. And here is what I have for your internet loans. Verify to make sure it's still correct.
Internet loans:
MyCashNow $500 borrowed paid approx. $438
Cash Central $300 borrowed paid $225
East Side Lenders $300 borrowed paid $360
CashNetUSA $300 borrowed paid $45

I'm not sure if this has been addressed but CashNetUSA tends to be legal.... you might need to work a deal out with them as well....

Pokogeo, thanks for the info. I will contact them to see if I can make a payment arrangement.

Cannr, sorry for the delay, but I had to get all the correct payment/balance info together.

Here it is:

Cash Central paid out Friday (10-12-07).
MyCash Now borrowed 500, paid 568.03, balance 449
EastSideLenders borrowed 300, paid 360, balance 390
CashNetUSA borrowed 300, balance 202.50, paid 101.25

Thanks for the assistance.

Shay, what do you mean Cash Central paid out Friday 10/12/2007? Do you mean it's paid in full? my cash now you have overpaid. You don't owe them $449. Eastside Lenders you have overpaid. You don't owe them $390. CashNetUSA, since they are licensed, are probably doing it the right way. Now, what do you mean about Cash Central? The others I mentioned, you do not owe that balance. You have already paid the principle plus some.

Since my Cash Central loan was due Monday and I couldn't get another extension, they took the money out of my account(I went to their site and it says I don't have a loan with them). So we can take them off the list. I also talked to the managers at the store front loan offices and we are going to work out a payment plan so I can pay them out.

I understand that I have overpaid my cash now and East Side Lenders, but according to them, I have just been paying interest because I was making the "extension" fee. How do I get it in THEIR heads that they are paid in full?

shay, they will argue with you back and forth regarding the state laws. They say they go by their state law (even though I have yet to see them produce a license to operate legally); however, you go by your state law. And here is what they need to get in their heads: ROLLOVERS PERMITTED: NONE. This is stated in the state pdl law for your state posted here on this thread. They will go back and forth with you regarding this. However, keep emailing them (God, don't talk to them on the phone) your facts over and over and over again. It gets to be an email game after awhile. But I just kept repeating the same thing over and over (until they tired of me). What I borrowed, what my state law said, what I overpaid, they are unlicensed/illegal, that I overpaid, and that I wanted a refund. Now, can't say as they've cooperated in any way at all. However, you have to keep it up. You are right. They are full of it. It's that simple. But they will keep arguing with you. Just keep making your same points over and over again via email with them. Yes, they are hard-headed.

I just found out that Cash Central did not get through to my account. They updated their site (saying I had paid in full), before they attempted to get the money out of my checking account. I checked their site again, and it seems I own $395 (I borrowed $300, I am not sure how much I paid them back though). I will find out tomorrow how much I have paid so far. I also have to find out how my account got $500+ overdrawn without them going through!

Do yall have the letters that I am supposed to send out on this site or do I compose them myself? If I am to compose them, what do I need to have included in them and how soon do I send them out? My pdl companies are expecting a payment Friday. Thanks again.

Shay . did any PDLs go thru to overdarw you?
They may have put thru the debit under a different name

shay, like kash said, check with your bank and find out what caused your account to be 500 overdrawn. It sound like they let SOMETHING go through. Maybe your Cash Central? Are you sure they didn't pay it? Something went through. Make sure you check with your bank and find out exactly what happened. The way I was understanding it is that your "old" account would no longer let anything go through. We need to make sure they won't let anything through. Especially since your pdls are going to try to hit again on Friday. We must be sure they can not get their debits. I can pm you a letter for your pdls. However, in order to pm you a letter, you must register. Once you are registered, we can pm back and forth. This is "private message". You can get a letter pm'd to you. Can you go ahead and register so that you are a member and we can do this? But, I really want you to check with your bank (can you look on line?) and find out what's going on.

I spoke to one of the tellers at my "old" bank and she assured me that the account is totally closed. It appears that my account got overdrawn by loans that had come due and were paid, then I paid bills and all that caused my account to be overdrawn. It all happened before I closed the account. She assured me that they would not let anyting go through (I told her I wouldn't pay for anything over the $563, so I am sure they won't let any of the loans through).

This morning I received two calls from (I assume) Cash Central. It was an 877 number, however they didn't leave a msg on my voicemail. When I tried to call the number back, it just rang and rang.

Today I sent off emails to Cash Central, my cash now and East Side Lenders. It was funny, when I went to their sites to get their email addresses, all except Cash Central said my loan was paid in full. I guess it's going to take a few days for them to realize that my bank account has been closed. I should play their game and print out the page saying that I am paid in full, then when they come back saying I still owe, fax them a copy of their own page, lol. Now I guess I just wait to see how long it takes them to contact me. The only two I am going to work with are Cash Net USA and Think Cash (installment loan).

Thanks to everyone for your assistance. I wish there was some way we could put these payday loan companies out of business! Maybe if the AG's offices get enough complaints, they will do something.

shay, good for you! And, actually, I like your idea of printing out the pages stating your loan is pif! Love it! :D