should I close my bank account

Hello cincavccc, you're correct, N J doesn't have payday loan laws, but they do have a cap on interest rate that can be charged (30%), and you were WAY over charged! You need to send a complaint to your Attorney General asap! Here is a link about closing your bank account, that you really should read.
http://www.debtconsolidationcare.com/paydayloan/close-account.html

NJ NJ Dept of Banking and Insurance
http://www.state.nj.us/dobi/ PDL not allowed, violates NJ usury law
?2C:21-19. Civil limit is 16%, criminal is 30%
NM Title 12, Ch 2, part 10

New Jersey State Information

Legal Status: Prohibited

Citation:
Consumer loan act applies but rates as agreed to by contract. N.J. Stat. Ann. tit. 17,???? 1 et seq. However, criminal law sets the usury cap at 30%. N.J. Stat. Ann. ???? 2C: 21-19. A check cashing licensee cannot cash or advance money on a postdated check. N.J. Stat. Ann. ???? 17:15A-47.

Small Loan Rate Cap
30% per year

Where to Complain, Get Information:
Regulator: New Jersey Department of Banking and Insurance
Address: 20 West State St. Trenton NJ 08625
Phone: (609) 292-5360
Fax: (609) 292-5461
Regulatory Contact: Ludi Hughes Assistant Commissioner
Regulator????????s Website
Complaint Form
Complaint Instructions
Online Resources:
Personal Finance Information