CashNetUSA

katie, what did you borrow and what did you pay? Are you going by the law of the state the pdl is located in?

I am going by the state I am located in. I borrwed $1400 and paid 1625.00...they are licensed in my state

katie, hang on. I'm going to ask for assistance from one of our members who is more knowledgeable than myself regarding CashNetUSA. Hang tight and you will see a response! :wink:

I think you are reading Nevada's laws a bit off.

In Nevada there is no limit to what they can charge you as far as interest. In fact, they can charge you whatever they want and it would be legal.

BUT - After you default on the loan, they can only charge you prime plus 10%.

So you may have been looking at the after default part. But that wouldn't apply to the normal loan. And it wouldn't be an after the fact thing, like once you default saying well, I've paid over that so mark me PIF. The prime + 10% only starts after you default, and nothing you've paid previously counts towards it.

yes, this is after default when I read the pdl laws for nevada. I am only in default for the interest, but have overpaid the amount of the initial loan by $225 and do not want to pay any more.

What exactly have you paid so far? When you defaulted, what was the balance?

According to the way they would figure it, I owed all of the initial loan, as I had rolled over as many times as I could. So it was $1625 in rollovers that I had paid and nothing on the principle if that makes sense.

Yes, that does make sense. Unfortunatly, they are calculating correctly then. You would owe the whole principle, plus the fee, and then the interest would start accruing on that amount.

I guess what I do not understand is if it was in fees/interest rollovers, they got paid back the entire initial amount I borrowed and then some, so how does it ever end?

That's the problem with payday loans.

The thing is, when you paid the fees, that never went to principle. So when you defaulted, you still technically owed the whole principle plus the fee. Plus other fees for NSF and such.

This is the problem with payday loans. You can pay for years and never even come close to paying it off. That is why they call them predatory lenders. They are meant to trap you in a cycle of debt.