Resolve illegal payday loans in NC

Did you give your bank a copy of the ACH revocation?? By law it is your legal right to revoke any ach debit and the bank cannot process a debit that has been revoked.

I've used those steps. My next step is to file a complaint with the State Attorney General. I did however receive a letter from Loan Shop Online yesterday saying that my account was paid in full and that they will no longer try to contact me. But this was AFTER they tried to debit my account one last time, causing it to be in the negative!

According to my bank, there is no such thing as an ACH revocation. They've told me that my best bet was to contact the PDL companiess and tell them that I do not give them permission to debit my account and try to work out some sort of payment arrangment with them. If they are unwilling to cooperate (which so far, most have been unwilling to do so) then I would have to file a claim with the fraud department! I've tried and the only thing they would do for me is reverse the charges and refund the NSF fees!

I'm not sure if any of you have been given this run around with Bank of America, but if so, what did you do to get all of this to end?!

I'm starting to think that perhaps I should file a complaint with the BBB about my bank!

Who the hell told you that?? A manager?? ACH revocation is covered by Reg E of the FDIC!! ?? 205.10 Preauthorized transfers. FEDERAL LAW Get back in there

http://www.fdic.gov/regulations/laws/rules/6500-3100.html#fdic6500205.10

[QUOTE](c) Consumer's right to stop payment--(1) Notice. A consumer may stop payment of a preauthorized electronic fund transfer from the consumer's account by notifying the financial institution orally or in writing at least three business days before the scheduled date of the transfer. [/QUOTE]

Please register with the forum!!!!

Update...so I've received an email from Loan Shop Online saying my loan is paid in full and that no one would try to contact me from their company. I've also received an email from GreatPlains saying they'd accept my 3 monthly payments of the principal only and at which time the loan would be paid in full. I later received an email from IPL Today stating I'd need to verify my account in order for them to discuss it via email. I checked my bank account and noticed IPL increased their ACH debit by $25. I've been trying to close my bank account since Monday 7-30 and have been unable to do so thanks to these PDL's continually trying to debit my account. I've also tried to submit an ACH revocation.

Apparently, Bank of America has never heard of it because they're telling me that the only thing I can do is a stop payment which at this point is useless considering the payment won't be stopped if the company changes their debit amount by a penny! Stop payments are for exact amounts and exact names of the company!

Is there some law somewhere that specifically says that I have the right to revoke ACH transactions from being debited from my account in those EXACT words or something to that effect, so that I can show it to my bank?!

I also found out today that the only way I could stop any transaction from being debited is to do a fraud hold but because at some point I authorized these companies to debit my account and a few of them I still owe money to, it isn't considered fraud. Even though I've already explained to the bank that it is in fact fraud since they are illegally operating in the state of NC!

I'm beyond frustrated with my bank!

Quote:

After awaiting an email from IPL, I chatted with someone via their live chat function. Here is a transcript of our conversation

08:08:55 AM [Angie] Hello, my name is Angie. Could you please verify your email address and the name of the lending company so that I may retrieve your account information?
08:09:08 AM [Me] (email address removed) IPL Today
08:09:36 AM [Angie] Could you please verify the last four digits of your social security number?
08:09:42 AM [Me] (removed)
08:12:21 AM [Angie] Thank you. One moment please.
08:12:52 AM [Angie] How may I assist you today?
08:15:19 AM [Me] August 7th I sent a letter to your customer service department informing you all of the illegality of payday loans in NC. I also revoked any ACH debit authorizations as well as any wage assigments I may or may not have signed. On the 9th I received a letter from someone by the name of [email]Ann@pdlsupport.com[/email] asking me to verify my information so that she could discuss my account via email. I've yet to hear back from her. I called the customer service department and they're claiming there's no record of me even having an active loan with their company. Which is strange considering when I log onto the website I get my loan information as well as the fact that money has been coming out of my account since the first debit was processed back in June
08:16:59 AM [Angie] I am not sure why your account could not be located. I have located your account.
08:18:19 AM [Angie] Your ACH revocation will be forwarded to the correct department.
08:19:35 AM [Me] I'm also demanding a refund for the overpayment I've made on the loan. Because it's illegal in the state of NC, I'm only required to pay the principal which was $500. So far I've paid $800
08:20:15 AM [Me] Also, on the loan before my most recent loan, I paid a total of $700 for a $400 loan
08:21:45 AM [Angie] The contract was completed via the World Wide Web. The governing law which you agreed to by your legal e-signature is based in Caribbean State of Nevis. With that being said when you applied for and agreed to the terms of the loan it would have behooved you to read the complete contract you were agreeing to. You are a citizen of the state of North Carolina. However, the contract was not made in the state of North Carolina.
08:22:11 AM [Angie] A refund of the payments you have made is not an option at this time.
08:23:01 AM [Me] and I'm not a resident of the Caribbean state of Nevis...if you all don't have to follow my state law since you're not a resident of this state, why should i have to follow your state law? My state law prevails because I'm a resident of this state. I demand my account be written off as paid in full!
08:23:41 AM [Angie] That is unfortunately not an option at this time.
08:23:48 AM [Me] why is it not?
08:24:03 AM [Angie] The law governing the contract is the law which prevails.
08:24:05 AM [Me] you've gotten more than the principal of the loan. I've more than paid for it
08:24:17 AM [Angie] The balance stands correct according to the contract of the loan.
08:24:17 AM [Me] well according to my state law, that contract is null and void!
08:24:45 AM [Me] I disagree with that statement because there should be a negative balance indicating you all owe me a refund
08:24:48 AM [Angie] The contract is a legally binding contract.
08:25:19 AM [Me] are you operating out of the caribbean state of nevis at this very moment?
08:25:51 AM [Angie] My location is not relevant to the validity of the contract which you signed for this loan.
08:26:08 AM [Angie] If you wish to pay off, a payment of $617.50 is due.
08:26:11 AM [Me] sure it isn't. I'm still demanding my account be written off as paid in full
08:26:20 AM [Angie] The account will not be written off.
08:26:28 AM [Angie] Is there anything else I can assist you with at this time?
08:26:32 AM [Me] I'm not setting up a payment arrangement especially if it doesn't involve you all issuing me a refund
08:27:10 AM [Angie] A refund will not be made at this time.
08:27:11 AM [Me] I will be filing a complaint with both the BBB and the FTC. I've already filed one with my State Attorney General
08:27:25 AM [Angie] As I stated, your ACH revocation will be forwarded to the correct department.
08:27:50 AM [Angie] Could you please resend that email to me at [email]angieu@efinancesupport.com[/email]?
08:28:13 AM [Me] I don't want you all contacting me anyway other than via email. You are not to call my place of employment, my cellphone or any references listed on my loan
08:28:34 AM [Me] Perhaps you can get in touch with [email]Ann@pdlsupport.com[/email] and have her forward you a copy
08:28:57 AM [Angie] I have inquired of the email from her and she cannot locate the email.
08:29:06 AM [Angie] Could you please resend it so it can be processed appropriately?
08:29:16 AM [Me] sure
08:29:23 AM [Angie] I have notated your account of your request to not be contacted by phone.
08:30:20 AM [Me] ok

They are obviously unwilling to work with me. I've already filed a complaint with my AG office and am in the process of filing a complaint with the FTC. I've read payday loan complaints filed with BBB and I've pretty much came to the conclusion that they're pointless.

My bank is crediting me the last $200 that IPL has taken out of my account until they come to a conclusion as to whether or not they have a legal claim to the money. If in fact they are in favor of the company, I'd have to repay them the $200.

Was anyone able to resolve an illegal payday loans with IPL...they're crazy if they think I'm going to pay $1417.50 for a $500 loan!

Ignore their crap. Send your revocations via there online contact page and copy it or send it to the email they provided. There customer support is trained to argue with you.

These offshore lenders are not going to give you a refund unfortunately.

So much has happened since my last update. I finally received a letter from my AG's office regarding my complaint against IPL Today, they also sent a copy of the letter to IPL Today. Since informing them of their illegality in NC, they've tried to debit my account 4 times even AFTER their customer service department assured me my ACH revocation would be forwarded to the proper department!

BOA claims ACH revocations are only for businesses and that the only option for a "regular consumer" would be to either close the account or do stop payments which IPL has proven to be worthless since each time, they've changed each debit amount.

So I filed a fraud claim with BOA. Unfortunately I didn't have a copy of my contract but I forwarded a copy of the letter the AG sent as well as a copy of IPL's APR and Fees disclosure with a certain section highlighted stating "your payday loans will never be assessed any additional undisclosed fees or changes to your APR." Now I'm awaiting the results of my claim. Thankfully the account is completely closed and any other debit attempts IPL Today makes will be returned!

Greatplains Lending agreed to a payment plan but when I asked where to send the payments, they never responded. I've contacted them twice since and have yet to receive a response...where do I go from here?

That's ridiculous. Your bank is really pissing me off. I work for a bank (credit cards) and I have to tell you, you need to go above your bankers head. They are a bunch of lying pieces of crap to tell you that, worse than the payday lenders. they are breaking the law... federal law might I say, as soaplady posted above, the FDIC regulation E holds that any consumer may revoke an ACH authorization. Get on the phone with bank of America corporate (704-386-5687 should work) or email the CEO. If you email the CEO it gets sent to an executive liason which will call you back. All the big banks have this. You are entitled to EVERY SINGLE overdraft fee refunded AS WELL as a compensation from the bank in the amount of at least 250 dollars for the crap you've been going through at your branch.

As for the lenders, the ones that aren't responding to you, forget it. If great plain doesn;t want their money, too bad for them.

You should also file a complaint against BOA with the FDIC, OCC and the FRB. It's BS what they're doing.

I've considered filing a complaint with the FDIC and BBB against BOA. It's ridiculous how much they've given me the run around! So far they've refunded everything. Including the overdraft fees. I'm still awaiting the results of my claim. If it's denied, I will most definitely file a complaint!

The Office of the Comptroller of the Currency and the Federal Reserve Bank are the regulatory agencies that you should also complain to.

When sending in payments for the principal due on my account, I know that I should send either a cashiers check or money order but I was wondering should I send it certified mail with return receipt or would certified mail suffice?
Thanks

I am new to this forum, and in a fight of my own. But I had to chime in. BOA seriously has me scratching my head on this. When I approached my bank, US Bank, they were totally on my side with this...now grant it, I brought in my revocation letters and phone number for the Colorado AG showing complaints had been filed. They put a hard stop on my account, to where nothing could come through...NOTHING. They even confirmed I could open another account with their bank, and I would be fine.

Makes me sick, when you are battling both ends of the stick. This forum is daylight for me...and I want to help along the way too.

Best of luck with your bank and your fight to get what is right.

I finally received a letter from BOA regarding my fraud claim against IPL Today. They said that my credit is now a permanent credit! I'm finally finished with both IPL and BOA!

Thanks again for all of your help!

Great for you. Glad it all worked out!

Wonderful news! Glad to see BOA is finally figuring things out. :)

Just when things were working out, I finally got an email from 247 Greenstreet in response to a letter I sent August 7th. They said that they would cease all communication and collections while my account is under investigation. They also pointed out that in the loan agreement, it says that Northway Financial Corporation Ltd. is a financial institution licensed and regulated in accordance with the Euorpean Union (EU) Directives...whatever that is. And as such, the laws of the Republic of Malta not the state of NC applies to its terms.

They went on to say that they can not reimburse me for previous loan fees but are willing to remove all fees from my outstanding loan and are prepared to set up a repayment plan for the outstanding loan principal in the amount of $340.

I've re-loaned with this company for a total of $3770 (including my most recent loan) and have thus far paid a total of $4218.20 towards the principal and fees.

How should I respond to this email?

Dear 247

" Northway Financial Corporation Ltd. is a financial institution licensed and regulated in accordance with the Euorpean Union (EU) Directives"

Well that is all fine and dandy for you. However as you well know, you are not licensed in MY state of North Carolina or any other state in the US. I do not live in Malta nor have I visited Malta or even Europe for that matter and thus I am NOT governed by your laws. The only laws that apply to me are the laws of the state of North Carolina which state that payday loans are prohibited. Should you choose to place me into collections I will dispute the validity of this debt as the contract I signed is null and void.
So you will do yourself a favor and mark my account as paid in full. I will not pay you another dime. Nor do I wish to ever hear from you again or anyone who represents you.

Govern yourself accordingly

Has anyone ever had to appear in court for these companies?

Never heard of anyone sued by an illegal lender, nope.

Hi my name is Kayla i am also from NC and i have 3 payday loans i am trying to deal with. Just read this and thought i would let you know im doing the same thing. I have closed my bank account and sent the companys the ACH revocation letters but i havent heard back from them. I have also contacted the AG office and spoke with some guy but he assured me that the companies would not take it to court because they cwould not be able to justify a reason for sueing me being the loans were illegal. He said they use all kinds of scare tactics to try to get you to pay them more money but not to fall for it and to stand your grounds. I was terrified when i had people callin me everyday at work non stop. One day i had someone calling here everytime i hung up they called right back. But i am proud to say i followed the steps someone posted on here and i feel so much better. But do not let them fool you into thinking they can actually take you to court especially for a small amount of money and illegal lending. Im sure the judge would throw it out anyways.