Defaulting on a payday loan in Texas
Date: Thu, 11/20/2008 - 10:33
I live in the state of Texas.
I took out a payday loan on September 18, 2007 with Cash Stop, a storefront company.
The loan was for $500.00 and a payoff amount of $603.97.
This may not be important, but they had me give them 3 different checks: 1 for $100.00, 1 for $250.00, and 1 for $253.97. I don't remember their exact explanation for this, but I do remember they said it was to protect me...???
As of 10/15/08, I have paid them $1353.85.
I just can't pay this anymore. My payment was due yesterday, 11/19/08, and I did not go in and pay it.
They are already calling and stressing that their lender is not a member of CFSA??, and that they will press charges.
I closed the bank account that the checks were written on several months ago, because I had to default on several other payday loans. But I kept paying on this one for some reason.
I do not want a lawsuit on my hands, but I'm not going to pay them another dime if I don't have to.
What can you tell me about Cash Stop, and what would you advise me to do?
Any advise would be greatly appreciated.
I took out a payday loan on September 18, 2007 with Cash Stop, a storefront company.
The loan was for $500.00 and a payoff amount of $603.97.
This may not be important, but they had me give them 3 different checks: 1 for $100.00, 1 for $250.00, and 1 for $253.97. I don't remember their exact explanation for this, but I do remember they said it was to protect me...???
As of 10/15/08, I have paid them $1353.85.
I just can't pay this anymore. My payment was due yesterday, 11/19/08, and I did not go in and pay it.
They are already calling and stressing that their lender is not a member of CFSA??, and that they will press charges.
I closed the bank account that the checks were written on several months ago, because I had to default on several other payday loans. But I kept paying on this one for some reason.
I do not want a lawsuit on my hands, but I'm not going to pay them another dime if I don't have to.
What can you tell me about Cash Stop, and what would you advise me to do?
Any advise would be greatly appreciated.
You have to follow the payday loan laws of Texas: - Quote:Leg
You have to follow the payday loan laws of Texas: -
Quote:
Legal Status: Legal Citation: 7 Tex. Admin. Code ???? 1.605; Tex. Fin. Code Ann. ???????? 342.251 et seq. and 342.601 et seq. Loan Terms: Maximum Loan Amount: Loan Term: 7-31 days Maximum Finance Rate and Fees: $10 per loan + 48% annual interest Finance Charge for 14-day $100 loan: $12 apr for 14-day $100 loan: 309% Debt Limits: Maximum Number of Outstanding Loans at One Time: Not Specified ($500 aggregate loans outstanding to all licensees) Rollovers Permitted: None (if renewal charge is less than maximum interest rate permitted; otherwise convert to declining balance installment note) Cooling-off Period: Repayment Plan: Collection Limits: Collection Fees: Not Specified Criminal Action: Not Specified Where to Complain, Get Information: Regulator: Texas Office of Consumer Credit Commissioner Address: 2601 N. Lamar Blvd. Austin TX 78705 Phone: (512) 936-7600 Fax: (512) 936-7610 |
