****Internet Lending in all 50 states****

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Goudah2424 - in reference to your post: In the following states internet payday lenders are not legal, either because of restrictive laws, or because the state does not license companies not located in that state, but requires a state issued license to lend.

Connecticut

Georgia

Iowa

Maryland

Massachucetts

New Jersey

New York

North Carolina

Vermont

Virginia

West Virginia

I live in the state of Connecticut and have a payday loan which I am receiving collection calls. If internet payday loans are prohibited in the state of CT, how can I inform this lender of such?

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Hello,

I'm in Florida and was wondering where you state PDL's are illegal but CSO's are legal. How can you tell when you've taken an internet PDL whether or not they PDL or CSO? Also, has anyone ever heard of a gentleman by the name of Frank Otto with United Capital? He has called my place of employment regarding Payday Loan Yes.

Thanks!
Donna

I am in default on one loan from mydayloan.com. I live in sc. How long will it take for them to take action to get me for a bad check law?

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Is Cash Central a licensed pdl company???

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I went online several mon, theft by nths ago and filled out an online payday loan applicaion. I took out the loan and paid it back. Well 2 weeks ago I had a phone call saying that I owed a payday loan I never received. So I just disregarded the phone call and last week I was phoned again and this time the man said that the amount was $910. If I would fax a letter with my name and a copy of my drivers license and my credit or debit card number I could pay it. If not I was going to be charged with check fraud,like violation of theft by deception, and something with violation of banking. I never received the loan and now these men keep calling me and threating me and telling me I am going to jail. I live in TN and the company phone number is in California, can they do this?

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so what do you do when all are out-lawed and you have to go through the bank or other facilities when you need fast cash? You must have a credit score of 700 or better correct and it is way more work and money that you pay back than these "vicious payday loans"

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Are these legal PDL: Cash Advance Network, Paycheck Today, Instant CashUSA, United Cash Loans, Ameriloan, Ace Cash Services, Loan Shop & Arrowhead Investments these were all retrieved via the internet and some are old but renewed, and some are new accounts, I live in PA.

Please help

how much was borrowed, how much was paid back?

I am in Alabama have 3 payday loans and have been paying them every 2 weeks. This is killing me need HELP! I have loans with Ace express cash, M1y direct and payday loan yes. Can anyone help with Alabama. I dont want to have to close my account but this awful...I have tried to contact 2 of 3 to ask them to stop withdrawing from my account by not luck....Please HELP!

All, I have two loans..and I am in New York State. I took a loan with Nationwide Cash for $400.00...I have since paid $945.00 and they tell me I still owe $325.00....H E L P...do I have any recourse??? I have a loan with DJR Group, which was for $300.00. I have since paid back $630.00 and they say I still owe $280.00...Again HELP anyone HELP

I am confused now with CT law because someone else from MA posted and it was written that it was illegal, so does that mean that it is the same for CT. Both CT and MA were grouped in the same category.

How can I find out if certain PDL companies are licensed by my state (Indiana)? Is there a website? Can someone help me??


[QUOTE=goudah2424;325440]I've complied a list of all 50 states showing which state's require the company to be licensed by that state, and which one's allow other state's licenses.

** This is just preliminary *** There may be changes to it.

States that require internet based pdl's to be licensed by that state:

Alabama

Alaska

Arizona

California

Colorado

DC

Deleware

Florida

Hawaii

Idaho

Illinois

Indiana

Kansas

Kentucky

Lousiana

Maine

Michigan

Minnesota
Please see THIS LINK for changes in the MN law, updated on 7/7/2009 by Shazzers.

Mississippi

Missouri

Montana

Nebraska

Nevada

New Hampshire

New Mexico

North Dakota

Ohio

Oklahoma

Oregon


Pennsylvania (See article on the last page)

South Carolina

South Dakota

Texas

Utah

Washington

Wisconsin - If the online company solicited you

Wyoming


In the above states the internet payday loan company must be licensed by that state and follow that state's laws.[/QUOTE]

Do you know where I can find this?

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Im from iowa and i read that pdls are legal in the state of iowa. I have all internet pdls and im wondering what is true

I replied to your post below:
http://www.debtconsolidationcare.com/forums/showthread.php?p=787338#post787338

I recently defaulted on two Internet Payday loans. I live in Nevada and from what this company is telling me they are licensed in Delaware. I have paid double the amount in fees and partial on the principal. Lenders were:
Direct Cash Express $400 paid $530 in fees and $80 on principal
Sure Advance. $400. $530 in fees 0 on principal
They have sent me to collections with Alliance Collections Agency.
Before I defaulted I emailed them both letting them know my bank closed my account due to overdrafts and that I lost my job and needed another arrangement or settlement. They responded with no. What can I do? I can't afford to pay them back and I have paid so much already in fees. Is it legal to lend to me if they are in another state?
Please help

i replied in your other post

what does cpd mean

As far as I know, CPD is Credit Protection Depot and they work for for MyCashNow and PayDayMax.

I'm from massachusetts, I have a payloan from jvc processing. They send out an investigator that kept calling my work place and told me that I'm being charge for fradulent. Can they do that?

No, they can't. Payday loans are illegal in Mass. Go to the top of the payday loan forum and read dealing with illegal lenders.

They are using scare tactics to get you to pay.

but what happen if they have my new bank account and I have direct deposit. Can they still take money out even I tell them not to?

yes i'm afraid they can and will.you will have to either close it,or change account numbers.your bank manager is the only one to see for this,but again yes illegals can and will debit from any account they have the info on.

If a PDL company has to be licensed by the State of New Mexico to do bussines with New Mexico residents are they also require to abide by New Mexico laws regarding recovery options and interest rate ceilings? In New Mexico you can have only PDL at a time. But that didn't stop them on the internet??

As far as I know, the PDL company will have to abide by the New Mexico laws regarding recovery options and interest rate ceilings.

Are PDL internet companies licensed to loan in NH? Looking at the law I can't tell if they can be but none are listed on the banking list.

Payday lending is legal in New Hampshire. But, not all internet payday loan companies may be licensed to operate in your state. You can contact the New Hampshire State Banking Department in order to find out whether or not your internet payday lenders are legal.

I'd also like to share some thing about the payday lenders in New Hampshire. In NH, payday lenders are allowed to charge whatever interest a borrower can pay. However in NH, the various other provisions of the small loan act have to be followed by these lenders.

Quote: the following states don't require a license in their state, nor do you have to follow their laws...

Just thought I'd respond to this lest anyone risk getting in some big trouble.

Generally speaking, you have to follow the laws of any jurisdiction in which you conduct business. Of course there's always the chance that a jurisdiction might explicitly say "you don't have to follow our laws if you are engaged in the following activity..." but it is unlikely.

To that end I called all four of the states you listed. They all responded with some form of "what are you, stupid?" when asked if I didn't need a license from their state to operate online with a license from another state. Furthermore, having reviewed their actual laws regarding licensure I can find no carve out for those already licensed in another state, nor separate rules for "internet based" operations.
:confused:

On the subject of arkansas, there is a 2001 AR supreme court case that straight up says that the law that allows payday lending/deferred presentment violates separation of powers and the AR constitution.

To paraphrase: Just because you call a loan something other than a loan, doesn't mean it isn't. Likewise, just because you call it a fee, doesn't mean it isn't an assessed interest rate. As such, this is in direct violation of the part of our constitution that says you can't charge over 17% interest...

I know there are still people lending there but that doesn't mean they're doing it legitimately.

Hi everyone,

I'm new to the site, but have read several threads. I don't know if anyone is still searching for whether internet PDLs are legal in the state of Kentucky or not, but I found this information on the KY Department of Financial Institutions website:

What is a payday loan?
A payday loan, also called a deferred deposit, is issued when a financial institution (a payday lender or check casher) agrees to provide cash in the amount of the customer???s next expected payroll check for a fee. These short-term loans are required by state law to be paid in full before another one can be issued, and customers may not have more than two payday loans totaling $500 at a time. Internet payday lenders are not regulated in the state of Kentucky and are therefore illegal.

If you would like more info, the website is as follows: http://www.kfi.ky.gov/faq.htm :D

SB 3103 by *Marrero B (*HB 3112 by *Richardson, Jones S, Stewart, Fitzhugh, Brown, Pruitt, Towns, DeBerry J, Jones U, Miller L, Favors, Odom, Cobb T, Ferguson, Turner M, Moore, Sontany) Banks and Financial Institutions - As introduced, prohibits a payday lender from providing loans to borrowers via the Internet, regardless of whether the lender is located inside or outside Tennessee. - Amends TCA Title 45

does this change the standing of Tennessee?

I asked the same question to Tennessee Consumer Affairs as the question asked to Kentucky above, I borrowed said question from above, and this is the response I got. I think I understand it but if domineering with more legaleeze than me could put it in less wording than they did it would be greatly appreciated.
On Mon Oct 24th, 2011 11:29 AM CDT TDFI ConsumerResources wrote:
>Mr M,
>
>Thank you for your inquiry.
>
>Deferred Presentment Service lenders, or payday loan companies, are regulated by this Department pursuant to the Tennessee Deferred Presentment Services Act ("Act") found in Tennessee Code Annotated ("TCA") Title 45, Chapter 17. (TCA 45-17-101 et seq.)
>
>The original Act was passed by the Tennessee General Assembly in 1997. The Act stipulated that Deferred Presentment Services lenders that were licensed by the Department had to have a "brick and mortar" location inside the state of Tennessee and the transactions were dictated by the presentment of a physical check instrument that would be deferred or held for deposit until the borrower had the opportunity to repay the obligation under the terms of the Deferred Presentment, or payday loan agreement.
>
>The provisions of the original Act were recently amended with the passage of Senate Bill 1557 by the Tennessee General Assembly in early May 2011. This became law and was published in Public Chapter 205 when it was signed by Governor Haslam on May 20, 2011. Here is a link to Public Chapter 205 for your reference: http://state.tn.us/sos/acts/107/pub/pc0205.pdf
>
>Therefore, any Internet payday lender and the transactions they make would be subject to the Department?s regulatory authority, if the account was opened after the May 20, 2011 amendment date. Unfortunately, we would not have any jurisdiction on an Internet payday transaction that was opened prior to the amendment date. In those situations, it is recommended to discuss the matter with private legal counsel to determine your rights and any possible remedies.
>
>If you do not have an attorney or obtain a satisfactory referral to an attorney from your present contacts, you may want to call the Tennessee State Bar Association (615-383-7421) or, your local bar association to inquire about any lawyer referral service the bar association may offer.
>
>If you cannot afford an attorney, you may want to inquire whether you are eligible for free legal services by contacting the Legal Aid Society of Middle Tennessee and the Cumberlands. Their telephone number is 800-238-1443.
>
>Please let us know if we can be of any further assistance on this topic.
>
>
>Consumer Resources Division
>Tennessee Department of Financial Institutions
>414 Union Street, Suite 1000
>Nashville, TN 37219
>800-778-4215
>615-253-2023
>615-253-7794 (Fax)
>[cid:image001.jpg@01CC9240.3BDB93F0]
>
>CONFIDENTIAL WORK PRODUCT-DO NOT DISSEMINATE
>
>THE INFORMATION CONTAINED IN THIS E-MAIL IS INTENDED ONLY FOR THE USE OF THE INDIVIDUAL OR ENTITY NAMED ABOVE. IF THE READER IS NOT THE INTENDED RECIPIENT, OR THE EMPLOYEE OR AGENT RESPONSIBLE TO DELIVER IT TO THE INTENDED RECIPIENT, YOU ARE HEREBY NOTIFIED THAT ANY DISSEMINATION, DISTRIBUTION, OR COPYING OF THIS COMMUNICATION IS STRICTLY PROHIBITED. IF YOU HAVE RECEIVED THIS COMMUNICATION IN ERROR, PLEASE NOTIFY ME IMMEDIATELY BY TELEPHONE AT THE NUMBER ABOVE AND PERMANENTLY DELETE THE MESSAGE FROM YOU SYSTEM.
>
>RECEIPT BY ANYONE OTHER THAN THE INTENDED RECIPIENT IS NOT A WAIVER OF ANY INVESTIGATIVE PRIVILEGE, ATTORNEY-CLIENT PRIVILEGE, WORK PRODUCT IMMUNITY, OR ANY OTHER PRIVILEGE OR IMMUNITY.
>
>
>
>
>
>From: [email]chriserika94@yahoo.com[/email] [mailto:chriserika94@yahoo.com]
>Sent: Monday, October 24, 2011 10:24 AM
>To: TDFI ConsumerResources
>Subject: Internet payday lenders
>
>
>Tennessee State Information
>
>Legal Status: Legal
>
>Citation: Tenn. Code Ann. ????45-17-101 et seq.
>
>Loan Terms: Maximum Loan Amount: $500 Loan Term: Max: 31 days Maximum Finance Rate and Fees: the lesser of 15% of the check or $30 Finance Charge for 14-day $100 loan: $17.65 apr for 14-day $100 loan: 459%
>
>Debt Limits: Maximum Number of Outstanding Loans at One Time: 3 (2 per licensee) Rollovers Permitted: None (cannot renew or otherwise consolidate) Cooling-off Period: Repayment Plan:
>
>Collection Limits: Collection Fees: One $30 NSF Fee; Court Costs Criminal Action: Prohibited
>
>Where to Complain, Get Information: Regulator: Tennessee Department of Financial Institutions Address: 511 Union Street, Suite 400 Nashville TN 37219 Phone: (615) 741-2236 Fax: (615) 532-1018 Regulatory Contact: Bart Daughdrill,
>
>
>To Whom It May Concern:
>
>I have a question regarding internet payday lenders. I have visited the Department of Financial Institutions site and found some information. However, I am still a little confused.
>
>I understand that storefront payday lenders are legal in the state of Tennessee and have printed out the laws applying to them. However, there is nothing regarding internet payday lenders.
>
>I did a search on the site to see if some internet payday lenders were licensed in Tennessee. No results came up for any of them. If the case is that an internet payday lender is not licensed in the state of Tennessee, what then?
>
>Internet payday lenders are claiming they do not have to comply with Tennessee state law. They claim they comply with the law in which they are located.
>
>If they are not licensed in the state of Tennessee to fund loans, are they not in violation of some sort of law?
>
>Any help in this matter would be greatly appreciated. At the very least, it might clear up my confusion.
>
>Thank you so much for your attention in this.
>
>C.M.
>
>Sent from my Verizon Wireless Phone

I am new to this board. I have been reading through so many different posts about these PDL's. I live in TN and I am not sure what the laws are here about these PDL's. I currently have 11 of them. I am drowning in the charges. I would really like some advise on what I need to do and where I could find the laws for TN on these. Any advise would be great. Thanks.

I am in a dispute with Cash Call (loan with Western Sky prior). I am wondering if anyone has ANY information on if internet payday loans are illegal in NJ and if they know of where on the internet I can find laws, etc., so I can respond to the demand letter.

Thanks.

Payday lending is prohibited in NJ but that doesn't apply here. CashCall or WesternSky (who you actually obtained the loan from) is tribal. That's why they're illegal. Their contract is unenforceable.

WOW - really? Is there a way I can find definitive case law or something to that effect so I can CRAM it down this collection firm's throat? Or just let this play out? I have to request a DV within the next couple of days. Can someone paste a sample DV letter for me?

In NJ the Consumer Loan Act applies but rates as agreed to by contract. (N.J. Stat. Ann. tit. 17, 1 et seq)

However, criminal law sets the usury cap at 30% (N.J. Stat. Ann. 2C: 21-19)

So, if they're charging you more than 30% APR, they're breaking the law.

In your letter to CashCall, simply say that your loan is breaking the above 30% usury cap law, which is a criminal offense in the state of NJ.

Thanks OhioGal! I will include that.

How do I find out if an internet pay day loan lender is illegal? i have contacted the OFI in Louisiana and the Attorney General's office and neither are of much help. According to the OFI's website in Louisiana, pdl's are legal; however with guidelines...$350 max loan ; 60 day max pay back time; and $20 per $100 borrowed. So my question is this. If the internet company that I borrowed from broke not one, but all of these guidelines, are they then "illegal" and is all I need to repay is the actual loan amount? The companies are: 3B Financial, phone number 866-355-6817; LoanShoponline out of Wilmington, DE (or lts marketing; I have received emails from both), phone number 800-806-9971 and AAA Pay Day Loans out of Springfield Missouri...

Whereas payday loans are illegal in Ohio and any company offering short term loans must be licensed in Ohio and have an office in Ohio, It must be hard to police. As of November of 2008, Ohio passed new limits on the interest on short term loans and made the old payday loans illegal.
What I have seen, though (I am in the business that IS legal in Ohio), are loan customers who think that Ohiogal's solution applies to them when they deal with us. IT DOES NOT! My employer, along with several other companies that were in the payday loan business, closed many offices after 11/2008. The ones that remained open were and are licensed under another section of Ohio's lending laws. We now issue short term, one payment, renewable loans. These loans charge the allowable rate--25% APR along with other allowable fees and are payable in 12 to 35 days.
We are NOT illegal and you just can't simply refuse to pay your loan! Don't be utterly high and mighty and think that you can just say, "due to unforeseen difficulties,etc., etc."! Unforeseen difficulties is what brought you to us and we did our job. We LOANED you money. If you find yourself in need of a bankruptcy lawyer or a consumer credit counseling service, go for it. It's a legal and dignified way out. Get un-stupid! If short term loans (which are not for long term problems) aren't to your liking, don't bother us. But, if you do need us, show enough respect and decency to be there for us. We were there for you.

we are not advocating people not paying their loans anon...we are advocating that people get out of these illegal loans with insane charges, fees, etc.

We have no issue with legitimate lenders and often tell people when lenders are legal and need to be contacted to enter into an extended payment plan.

and by the way, cut all the moral and guilt trip B.S about "us being there for you". This is business. This is not personal, as you seem to make it out to be.

WELL, Ohiogal, I'm glad you're here! Check my posting on page 10. Your "help" is being abused by customers of brick-and-mortar, licensed, legal lenders in Ohio. I agree that internet lending is a ripoff and giving the entire legitimate industry a bad name, but one must be careful not to paint with too wide a brush. Did you simply not pay a short term loan lately? As the manager of a loan center for a large company for 14+ years, I have shown the utmost respect for the customer. It is demanded of us by our employer. How, then, do you think we feel when a customer sends a letter that basically says "I'm not paying"? I'll tell you how we feel: "What an arrogant idiot!". We have to abide by all of the laws regarding debt collection at all levels, but we DO have a right to collect. The customer knowingly signed an agreement. Take out the internet lenders!!! They are not legal in Ohio unless they are licensed in Ohio and follow Ohio's laws. Many companies, including my employer, follow the law in Ohio (and many lost their jobs when it changed in 11/2008), therefore, stop telling people to circumvent the law. Whether you like it or not, it is legal, regulated, and legitimate. if you don't use it, that's your prerogative, but don't look down your nose at those who do by giving them false advice. Liberals--they're all the same--great intentions as long as it doesn't come out of their pockets.