National Pay Day Response
Date: Fri, 01/15/2010 - 10:48
OK, I sent them the letter via e-mail and fax stating that their loan to be is illegal per the form letter template found on this site. I can past it here is you would like but rest assured it is almost word for word what was suggested in dealing with an "illegal pay day loan".
Today I received a very well crafted response which I have enclosed.
Devidia II Ltda.
NationalPayday.com
Apdo 291-7150
Turrialba, Costa Rica
15 January 2010
Dear Mr. H****r,
We would like to formally address your most recent email received on 13 January 2010. At this time, we would like to take the opportunity to clarify your check advance agreement with NationalPayday.com.
In response to your questions regarding licensing and contract venue, Devidia II Ltda DBA NationalPayday.com is a Costa Rican corporation licensed in Costa Rica with offices operating in Costa Rica.
Because all customers avail themselves to Costa Rican law when entering into a check advance agreement with NationalPayday.com, the Pennsylvania jurisdiction is not applicable.
The ???lex loci celebrationis??? (the law of the place where a contract is made) determines the formal validity of a contract which is key to specific contract venue law. The Hogue-Kellog principle provides even more clear-cut evidence regarding the controlling venue for a contract. This principle commands that a contract is deemed to be executed where the final act is done which is required to make it a binding contract.
Please note that the contract transaction was not binding until NationalPayday.com reviewed the application information received from the customer in order to make a decision as to whether we should enter into the agreement. Therefore, the final act to make the transaction and contract binding was in NationalPayday.com???s jurisdiction (Costa Rica), not the customer???s.
Please see Hogue-Kellog Co. Inc., v G.L. Webster Canning Co., Inc. 22 F3rd 384, 385 (4th Cir.1927).
NationalPayday.com customers enter into an unsolicited transaction with a Costa Rican company that maintains offices, employees, servers, and all other crucial elements of the business and transactions taking place in Costa Rica, which includes contract venue, rather than the location of the customer (Pennsylvania in this case) where nothing is deemed to have taken place.
Please see Zippo Manufacturing Company vs. Zippo Dot Com, Inc. 952F Supp 1119, 1124 (W.D. Pa. 1997).
All customers who choose to conduct a relationship with NationalPayday.com are required to consent to avail themselves to internal Costa Rican laws, which all customers do so unsolicited and willingly. If a customer refuses to do so, no advance is granted. Furthermore, this disclosure is indicated on both the website and the contract.
The website specifically states:
???All aspects and transactions on this site will be deemed to have taken place in our office in Costa Rica, regardless of where you may be viewing or accessing this site.???
The check advance agreement specifically states:
??? GOVERNING LAW: Both this agreement and the application is considered to be executed at our offices in Turrialba, Costa Rica, and this transaction and agreement with us shall be governed by, construed, and enforced solely in accordance with the internal laws of Costa Rica.???
Again, because NationalPayday.com customers avail themselves to Costa Rican law when entering into a check advance agreement with NationalPayday.com, a Costa Rican corporation, the Pennsylvania jurisdiction does not apply.
You also mentioned issues specifically about state-specified interest rate caps and limits. Please note that these caps do not apply to the transaction you originated with NationalPayday.com simply because the transaction is not a loan but a check advance agreement. Allow us to clarify for you.
Customers who enter into a check advance agreement with NationalPayday.com are charged a fee per $100 advanced. This is a fee, not interest. Because there is no interest, just a loan fee per $100 advanced, there is no ???accrue??? element to this transaction. If a customer defaults on their check advance agreement, there is no charge based on the time the advance has been outstanding. The fees charged include the initial loan fee and any applicable NSF or returned payment fees.
Additionally, there is no compounding interest. It is important to remember that any unpaid fees within an interest scenario would compound in the ???interest??? calculations with any unpaid charges and added to the unpaid balance. In a check advance agreement with NationalPayday.com, there is no compounding interest on any unpaid balances at anytime. This is a very important detail, as there is no compounding interest on any unpaid balances, usury would not apply to this transaction because it is a fee. The same principle applies to when your bank charges you an overdraft fee to cover a check or debit charge when there are not enough funds to cover the amount in question.
Be reminded that you were advanced funds based on your next paycheck from your employer. Regardless of whether your next payday was 5 days away or 16 days away, the fee remains the same. There was no interest charged therefore laws governing interest do not apply.
We are happy to work with you on a payment arrangement to settle your final balance that suits the both of us. We have reviewed your account in more detail and can propose the following to you:
1 ??? We will waive the 25% fee on your current advance, thus reducing your total balance from $125 to $100.
2 ??? We will freeze the 25% fee from being added in the future.
3 ??? We can work out a payment plan to settle your final $100 balance, or you may pay it in full on your upcoming due date which is 1/26/2010.
Respectfully,
NationalPayday.com
Notice of Confidentiality: All content and information included and/or attached in this electronic mail transmission is considered to be confidential and is intended for the addressee only. All content is considered to be NationalPayday.com???s exclusive copyrighted property. Any unauthorized reproduction, distribution, publication, or disclosure is expressly prohibited without the express written consent of the company. If you believe this e-mail message has reached you in error, please notify the sender by replying to the transmission. Please delete this message without disclosing or copying it.
So,
a) I am not going to pay them any more since I have already paid them will in excess of the principle that I owed them (I was in the process of paying this down).
b) My bank account is already closed so they cannot get any additional funds from me.
c) My question is, what should my response be to them.
d) Can anyone address any of the legal BS that they have stated in their response to me?
Dean
Today I received a very well crafted response which I have enclosed.
Devidia II Ltda.
NationalPayday.com
Apdo 291-7150
Turrialba, Costa Rica
15 January 2010
Dear Mr. H****r,
We would like to formally address your most recent email received on 13 January 2010. At this time, we would like to take the opportunity to clarify your check advance agreement with NationalPayday.com.
In response to your questions regarding licensing and contract venue, Devidia II Ltda DBA NationalPayday.com is a Costa Rican corporation licensed in Costa Rica with offices operating in Costa Rica.
Because all customers avail themselves to Costa Rican law when entering into a check advance agreement with NationalPayday.com, the Pennsylvania jurisdiction is not applicable.
The ???lex loci celebrationis??? (the law of the place where a contract is made) determines the formal validity of a contract which is key to specific contract venue law. The Hogue-Kellog principle provides even more clear-cut evidence regarding the controlling venue for a contract. This principle commands that a contract is deemed to be executed where the final act is done which is required to make it a binding contract.
Please note that the contract transaction was not binding until NationalPayday.com reviewed the application information received from the customer in order to make a decision as to whether we should enter into the agreement. Therefore, the final act to make the transaction and contract binding was in NationalPayday.com???s jurisdiction (Costa Rica), not the customer???s.
Please see Hogue-Kellog Co. Inc., v G.L. Webster Canning Co., Inc. 22 F3rd 384, 385 (4th Cir.1927).
NationalPayday.com customers enter into an unsolicited transaction with a Costa Rican company that maintains offices, employees, servers, and all other crucial elements of the business and transactions taking place in Costa Rica, which includes contract venue, rather than the location of the customer (Pennsylvania in this case) where nothing is deemed to have taken place.
Please see Zippo Manufacturing Company vs. Zippo Dot Com, Inc. 952F Supp 1119, 1124 (W.D. Pa. 1997).
All customers who choose to conduct a relationship with NationalPayday.com are required to consent to avail themselves to internal Costa Rican laws, which all customers do so unsolicited and willingly. If a customer refuses to do so, no advance is granted. Furthermore, this disclosure is indicated on both the website and the contract.
The website specifically states:
???All aspects and transactions on this site will be deemed to have taken place in our office in Costa Rica, regardless of where you may be viewing or accessing this site.???
The check advance agreement specifically states:
??? GOVERNING LAW: Both this agreement and the application is considered to be executed at our offices in Turrialba, Costa Rica, and this transaction and agreement with us shall be governed by, construed, and enforced solely in accordance with the internal laws of Costa Rica.???
Again, because NationalPayday.com customers avail themselves to Costa Rican law when entering into a check advance agreement with NationalPayday.com, a Costa Rican corporation, the Pennsylvania jurisdiction does not apply.
You also mentioned issues specifically about state-specified interest rate caps and limits. Please note that these caps do not apply to the transaction you originated with NationalPayday.com simply because the transaction is not a loan but a check advance agreement. Allow us to clarify for you.
Customers who enter into a check advance agreement with NationalPayday.com are charged a fee per $100 advanced. This is a fee, not interest. Because there is no interest, just a loan fee per $100 advanced, there is no ???accrue??? element to this transaction. If a customer defaults on their check advance agreement, there is no charge based on the time the advance has been outstanding. The fees charged include the initial loan fee and any applicable NSF or returned payment fees.
Additionally, there is no compounding interest. It is important to remember that any unpaid fees within an interest scenario would compound in the ???interest??? calculations with any unpaid charges and added to the unpaid balance. In a check advance agreement with NationalPayday.com, there is no compounding interest on any unpaid balances at anytime. This is a very important detail, as there is no compounding interest on any unpaid balances, usury would not apply to this transaction because it is a fee. The same principle applies to when your bank charges you an overdraft fee to cover a check or debit charge when there are not enough funds to cover the amount in question.
Be reminded that you were advanced funds based on your next paycheck from your employer. Regardless of whether your next payday was 5 days away or 16 days away, the fee remains the same. There was no interest charged therefore laws governing interest do not apply.
We are happy to work with you on a payment arrangement to settle your final balance that suits the both of us. We have reviewed your account in more detail and can propose the following to you:
1 ??? We will waive the 25% fee on your current advance, thus reducing your total balance from $125 to $100.
2 ??? We will freeze the 25% fee from being added in the future.
3 ??? We can work out a payment plan to settle your final $100 balance, or you may pay it in full on your upcoming due date which is 1/26/2010.
Respectfully,
NationalPayday.com
Notice of Confidentiality: All content and information included and/or attached in this electronic mail transmission is considered to be confidential and is intended for the addressee only. All content is considered to be NationalPayday.com???s exclusive copyrighted property. Any unauthorized reproduction, distribution, publication, or disclosure is expressly prohibited without the express written consent of the company. If you believe this e-mail message has reached you in error, please notify the sender by replying to the transmission. Please delete this message without disclosing or copying it.
So,
a) I am not going to pay them any more since I have already paid them will in excess of the principle that I owed them (I was in the process of paying this down).
b) My bank account is already closed so they cannot get any additional funds from me.
c) My question is, what should my response be to them.
d) Can anyone address any of the legal BS that they have stated in their response to me?
Dean
Sorry, the above was from me and I was not signed in. Looking fo
Sorry, the above was from me and I was not signed in. Looking for advice before I reply.