I have switched jobs and cannot afford to pay longer

Hi whiskey n da jarro and welcome to the site. First, we need to know what state you live in and what the payday loans are. Are they internet or storefront and how much do you owe and have paid already. It sounds like you caught this in time. Closeing your checking account is tricky but can be done to help you. Please check back today and someone with more advise will be here to answer and help you. In the meantime, please click on the "free consultation" button that is just to the right of this post for more help.

Please read this prior to closing your checking account.As Luke pointed out it can be tricky. Also Please post the info that Luke asked for , so we can begin to help you with this,

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Before you close your bank account due to payday loans eating away at your paycheck, please read this.

Some banks have a policy regarding ach transactions that allows them to force open closed accounts if any ach transactions go through within a certain time frame after the account is closed. This can leave you owing a legal bank $1,000's and reported to chexsystems, instead of owing barely legal (or not at all legal) payday loan companies. Not a good thing. Ask your bank what their policy is on ach transactions on closed accounts before you close the account. It's best to go in person and talk to a branch manager.

If your bank does have this policy, tell them your situation. Don't be embarrassed. Take letters with you showing that you have revoked authorization for each of your payday loan companies to debit your account. Tell the bank to put your account on deposit only, an ach block, or a hard hold before they close the account. Your bank can do one of those, don't take no for an answer. This will prevent any payday loan ach's from reopening the bank account.

It'a always best to close your bank account. Leaving it open gives ways for the payday loan companies to continue to take money out. These companies have many different dba's, so blocking them won't work. They will also produce paper checks and run them through your account. Closing the account is the best way to prevent these companies from taking money out of your account.

Some state laws do allow for prosecution if you close your bank account, but that is usually in cases of fraud. But it's always best to check with your state's attorney general or department of financial institution before you close your account. You want to make sure you are not causing more heacaches!