I followed the step by step process for dealing with illegal Payday lenders for a loan of $700 taken out in May of 2017, I stopped paying in July 2017 with a total paid of $765. I have received a collection letter for $1200 and after sending them the request for dispute they sent me a copy of the "installment loan agreement and promissory note". I don't know what to do now, am i obligated to pay this now?
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.