ChecknGo, CashNetUSA problems!! Please help!
Date: Sat, 11/26/2011 - 16:28
Thanks in advance for any help you can offer to a very upset person in Texas --
I have a loan with a balance of $1700 with CashNetUSA. I was sick of paying $350 every two weeks to let it roll over, so I finally did not put in for an extension and let the entire amount attempt to be taken from my account. I have a $500 overdraft limit on an account at Woodforest, and from what I can see, it attempted to go through and then Woodforest denied it (this all just happened yesterday) because the amount was well over $500.
I have an installment loan with ChecknGo. It's for a total of $2900, but if I continued paying on it, I will have paid almost $5000 to them. I realized the ridiculous of this, and also made sure I didn't have enough in my account to handle the once a month payment of $650. The ACH for that was also rejected yesterday and was sent back to them.
All that I have done so far is send letters through certified mail to both loan companies today stating that I cannot pay the amount and am willing to make a payment plan with them. I also quoted the Fair Debt Collections practices and requested that they not contact me at work, only at home or via email or regular mail. Additionally I stated that I was revoking the ACH authorization to them.
What else do I need to do? My bank said they can do an ACH block but only for a certain company and a specific amount (and it costs $35 for each). Would I be wasting what little money I currently have by doing this? Can't the companies just come in under a different DBA name and/or amount and get around the ACH block?
I am going this week to stop my next direct deposit that will go through in two weeks so they can't get to my paycheck at all. I am stopping all my automatic bill payments so nothing else comes out of that account, and I have acquired a prepaid debit card so that when I do make payments to the loan companies, they will come from that with an amount that I can control.
I am terrified and haven't slept all week. What is my next step? Do I also email and/or fax them the letter that I sent certified? Do I call them Monday morning and try to set up a payment plan of some kind? It's A LOT of money that I owe. I know that they don't like to do payment plans of less than four payments total, but I can't handle that, particularly for Checkngo. Since it's a legal installment loan with them, what is my best recourse? My biggest worry is honestly not getting sued but having them contact me at my job! That could cause me to lose my job.
Thank you SO MUCH for any help!
Update on Nov. 28: I emailed collections at CashnetUSA and stated that I realized I could not pay the refinance charge or the full balance. I offered a payment plan to them to spread out over four payments -- two in Dec. and two in Jan. The Dec. payments are low and then the Jan. ones are higher in order to meet the full balance owed. They took my prepaid credit card info and said that they would deduct the agreed upon amounts on the dates I offered. And then, of course, said to contact them for a new loan when I was done paying them!
As for the Checkngo installment loan, I am still anxiously awaiting an answer from anyone on this forum, please!!! I fear that since they are legal in my state and I signed the horrid agreement, I will owe them $5000 for an original loan of $1800. I can't possibly pay that off any time soon, so if anyone else has had this same problem, please advise quickly. I wanted to use info from this site to get me prepared before contacting them. THANK YOU!
Update Dec. 7
Checkngo contacted me two days after my default (Nov. 29) on the installment loan. They wanted a payment that day, but I was adamant I had no money to give them at all until at least mid-January. The manager got on the phone and was very polite and offered an extended payment plan for my Nov. 25 payment (something like $150 at some point in Dec. and then they would figure out the rest in Jan.). This would prevent them from calling my work or home, and I would still be in "good standing" with them, and when I "got back on my feet" in Jan. I would then contact them for how to work out the rest of the extension.
I said I wanted to just default and deal with collections, but they said collections would need me to commit to a payment each month starting this month (and it would be significantly more than $150) or they would start having to keep contact with me. Checkngo did say that they would note that I was not to be called at work, and they also said that they had to honor my ACH revocation and could not go back in my bank account to get any payments, that I would have to make a payment through a prepaid credit card (like one you get at Wal-Mart). SInce I have next to nothing at this with which to negotiate with a collection agency, I agreed to make a small payment at the end of Dec., gave them a prepaid card number for a card that currently has about $3 on it, and then I'll figure it out from there. I am currently investigating what will happen if I go into default and what my options are for payback and will let you know as it unfolds.
Since that contact on Nov. 28, I have had no further phone calls, emails, or anything from them.
Again, if anyone wants to guide me on this, please feel free to post or comment. Thanks!
I have a loan with a balance of $1700 with CashNetUSA. I was sick of paying $350 every two weeks to let it roll over, so I finally did not put in for an extension and let the entire amount attempt to be taken from my account. I have a $500 overdraft limit on an account at Woodforest, and from what I can see, it attempted to go through and then Woodforest denied it (this all just happened yesterday) because the amount was well over $500.
I have an installment loan with ChecknGo. It's for a total of $2900, but if I continued paying on it, I will have paid almost $5000 to them. I realized the ridiculous of this, and also made sure I didn't have enough in my account to handle the once a month payment of $650. The ACH for that was also rejected yesterday and was sent back to them.
All that I have done so far is send letters through certified mail to both loan companies today stating that I cannot pay the amount and am willing to make a payment plan with them. I also quoted the Fair Debt Collections practices and requested that they not contact me at work, only at home or via email or regular mail. Additionally I stated that I was revoking the ACH authorization to them.
What else do I need to do? My bank said they can do an ACH block but only for a certain company and a specific amount (and it costs $35 for each). Would I be wasting what little money I currently have by doing this? Can't the companies just come in under a different DBA name and/or amount and get around the ACH block?
I am going this week to stop my next direct deposit that will go through in two weeks so they can't get to my paycheck at all. I am stopping all my automatic bill payments so nothing else comes out of that account, and I have acquired a prepaid debit card so that when I do make payments to the loan companies, they will come from that with an amount that I can control.
I am terrified and haven't slept all week. What is my next step? Do I also email and/or fax them the letter that I sent certified? Do I call them Monday morning and try to set up a payment plan of some kind? It's A LOT of money that I owe. I know that they don't like to do payment plans of less than four payments total, but I can't handle that, particularly for Checkngo. Since it's a legal installment loan with them, what is my best recourse? My biggest worry is honestly not getting sued but having them contact me at my job! That could cause me to lose my job.
Thank you SO MUCH for any help!
Update on Nov. 28: I emailed collections at CashnetUSA and stated that I realized I could not pay the refinance charge or the full balance. I offered a payment plan to them to spread out over four payments -- two in Dec. and two in Jan. The Dec. payments are low and then the Jan. ones are higher in order to meet the full balance owed. They took my prepaid credit card info and said that they would deduct the agreed upon amounts on the dates I offered. And then, of course, said to contact them for a new loan when I was done paying them!
As for the Checkngo installment loan, I am still anxiously awaiting an answer from anyone on this forum, please!!! I fear that since they are legal in my state and I signed the horrid agreement, I will owe them $5000 for an original loan of $1800. I can't possibly pay that off any time soon, so if anyone else has had this same problem, please advise quickly. I wanted to use info from this site to get me prepared before contacting them. THANK YOU!
Update Dec. 7
Checkngo contacted me two days after my default (Nov. 29) on the installment loan. They wanted a payment that day, but I was adamant I had no money to give them at all until at least mid-January. The manager got on the phone and was very polite and offered an extended payment plan for my Nov. 25 payment (something like $150 at some point in Dec. and then they would figure out the rest in Jan.). This would prevent them from calling my work or home, and I would still be in "good standing" with them, and when I "got back on my feet" in Jan. I would then contact them for how to work out the rest of the extension.
I said I wanted to just default and deal with collections, but they said collections would need me to commit to a payment each month starting this month (and it would be significantly more than $150) or they would start having to keep contact with me. Checkngo did say that they would note that I was not to be called at work, and they also said that they had to honor my ACH revocation and could not go back in my bank account to get any payments, that I would have to make a payment through a prepaid credit card (like one you get at Wal-Mart). SInce I have next to nothing at this with which to negotiate with a collection agency, I agreed to make a small payment at the end of Dec., gave them a prepaid card number for a card that currently has about $3 on it, and then I'll figure it out from there. I am currently investigating what will happen if I go into default and what my options are for payback and will let you know as it unfolds.
Since that contact on Nov. 28, I have had no further phone calls, emails, or anything from them.
Again, if anyone wants to guide me on this, please feel free to post or comment. Thanks!
Welcome texaslynn9, This is just to acknowledge your question.
Welcome texaslynn9,
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