Texas payday loan help

Hi Lilly,
I will post your laws for you in a moment, in Texas a lot of companies are operating as CSO's and would be legal. I will need to find out about the companies for you. Depending on the company, once you close your account you would need to contact the legal companies & work out an arrangement with them...from what I can tell you have overpaid all but 2, so for the one's that are illegal (if there are any), I would report them to the BBB, FTC and Texas attorney general...

Here is some info, I will post the laws in a moment:


Quote:

Quote:

Here is some info about the CSO's:

Quote:

Hi Lilly,

Here is what I found for your companies:
Impact cash - not licensed/legal
Paycheck today - not licensed legal
Cash Advance Network - not licensed/legal
Loan Shop - not licensed/legal
GFS (global Financial?) - not licensed/legal
BIG - not licensed/legal

If my info is correct then all of your loans are illegal and you are only responsible for the amount you borrowed, you only owe 2 of them:
Impact Cash - owe $30
Loan Shop - owe $20

Once you close your account I would send all of the companies a cease & desist letter revoking your authorization to withdraw from your account and any wage assignments you may have signed, you can also advise that you want them to contact you by email/mail only and not to contact your references. If you search you should be able to find a template of the letter in some of the threads. I would also report them to the BBB, FTC and the Texas attorney general.

Hopefully if any of my info is incorrect, someone will give the correct info...

I am looking for the cease letter and wage assignment and can't find them. Can you tell me where they are located?

Thank you for your help. I am ready to get all this behind me.

Your welcome, I will search and see if I can find it, then I will post it for you.

Here is the template I used, you will need to tailor it for your needs:

[quote]To Whom It May Concern:

After doing research on internet payday loan laws in the state of Texas, I have found that your internet payday loans are actually illegal. I have also found the following laws to be true applying to payday loans in the state of Texas in general:

Texas State Information

Legal Status: Legal

Citation:
7 Tex. Admin. Code ???? 1.605; Tex. Fin. Code Ann. ???????? 342.251 et seq. and 342.601 et seq.

Loan Terms:
Maximum Loan Amount:
Loan Term: 7-31 days
Maximum Finance Rate and Fees: $10 per loan + 48% annual interest
Finance Charge for 14-day $100 loan: $12
apr for 14-day $100 loan: 309%

Debt Limits:
Maximum Number of Outstanding Loans at One Time: Not Specified ($500 aggregate loans outstanding to all licensees)
Rollovers Permitted: None (if renewal charge is less than maximum interest rate permitted; otherwise convert to declining balance installment note)

I have contacted the Texas Office of Financial Institutions and the Texas State Attorney General's Office regarding your internet payday loans and was informed they are indeed illegal as you are not licensed to lend to Texas residents. I was advised to pay what is due according to principle amount only of the loan.

The legal amount that could have been charged to my loan is the principal amount of $400.00 DOLLARS even if your internet pay day loan was legal in Texas. I have paid $240.00 DOLLARS on this loan by your debits of my bank account. To date, I have a balance remaining of approximately $160.00 DOLLARS.

I demand that any contact with me be made through US Postal mail or email only. I will need everything in writing to keep accurate records of all communication as per instruction from my state Attorney General's Office.

I prohibit you or your affiliates to contact me via telephone at my place of employment or my home telephone number. I also prohibit you from calling my references listed on my loan. Once I inform you of this, you must stop the telephone contact immediately or you will be once again breaking the laws of the state of Texas.

You are also hereby notified that I am revoking any voluntary wage assignment I may or may not have signed. I no longer authorize you, your company, or your affiliates to attach any part of my wages or contact my employer for your collection purposes.

I am revoking your right to debit my checking account any longer. You, your company, or your affiliates are not authorized to debit my checking account at all. Please be aware that I have informed my financial institution of this situation and they will also be receiving a copy of this correspondence. Any further attempts at debiting my account will be rejected by my financial institution.

Thank you,

You will need to put the amount you have paid and how much you are owed in the section that I highlighted red. Most of the companies owe you a refund so it should be easy. Remember to close your account before you send this letter out. If you need addresses you should be able to search the site for them. Most people sent the letter either by email or certified through the mail...[/quote]

I have sent out my letters via email and will send a certified. But I will officially default tomorrow on my loans. I hope this won't be too bad. I have over paid on all but 2 and only owe the $30 and $20 on those. So I pray this will be over soon.

Well I received a call for GFS (in regards to my email) and they said they only abide by UK laws and not Texas laws. They stated that they would continue to draft $40 from my account until I told them to pay it off. I told them in my letter it stated not to contact me by phone only by email and mail. She said she would note to block number (not to call per email). I don't think I am going to get anywhere with them. Any advice how to handle them?

Can anyone tell what this means or what I should do?

I have already paid GFS $855 for a $200 loan. This is what they sent me.



Global Financial Services (GFS)
1005 Terminal Way
Suite 102
Reno
Nevada 89502

October 31, 2008

Dear Ms Rodenberg

Kindly serve this email as a response to the complaint that we have received from you.

We have restricted our systems from calling your place of work and moved the file to Customer Solutions Department (CSD) to address your concern.

At the time of the sale of the loan, it was specified in the terms and conditions segment of the sales conversation (which we ensure the customer understands and agrees to) that the loan will fall solely under the jurisdiction of UK law and a verbal signature is obtained from the customer confirming their acceptance of this term.

Because the process was transacted over the telephone, neither party was required to submit any documentation concerning the agreement. Therefore, we are unable to provide this, however it may be possible to access the voice recording of the sales call. As the agreed terms and conditions are very clear in relation to fee amounts, due dates and the options you would have on those due dates. You could either repay the outstanding balance, or pay a renewal fee to defer the re-payment of the loan balance until the next scheduled pay date. According to the terms of the loan, if a customer does not contact us to pay off the entire loan balance, only the renewal fee is charged. Again, this fact would have been explicitly made known to you at the time of sale, and in emails sent to you prior to your scheduled payment date. This policy operates in the customer's favor, as the customer may not have sufficient funds to cover the entire balance. However, the customer is free to pay the entire balance without penalty at any time.

We believe that this matter can be resolved through negotiation when you contact us. Kindly be assured that Customer Solutions Department (CSD) endeavors to resolve issues in an amicable manner.

Please contact us within the next 3 business days.

A prompt response shall be greatly appreciated.

Regards,

Chris Reed, Caseworker
CSD
GFS
1877 210 9444 (Extn-5898)
1877 280 2330 (Fax)

You are a US citizen and not bound by UK law. They however , have to abide by the laws of the country they are doing business in.

Loan Shop just called from 888-265-5074 and spoke to Bonnie, I told Bonnie that I only owed $20 dollars and be happy to pay. That based on Texas laws they should not have loaned to me. She also told me I could only pay by check by phone or money gram. She would make arrangements and stop the interest but could only pay this way. I told her I would send her a money order and she got mad and said she would note my account as refusal to pay and that my personal information could be used. I don't know what that means.

Should I pay the $260? I already paid them $180.00 on a $200.00 loan. What do I do?

Help!!! I hate this feeling.

I HAVE 10 PAYDAY/CSO LOANS IN TEXAS ARE THE ABOVE LAWS JUST FOR PD LOANS AND IS THERE ANYONE THAT CAN
CONSOLIDATE THEM FOR ME MY TOTAL IS ABOUT 5000.00. I CAN ONLY AFFORD ABOUT 400.00 MONTH. I DON'T QUITE UNDERSTAND THE LAWS.

Kat,

Please list all your loans, who they are with, how much the original loan was for, how much have you paid and if they are internet or storefront loans.

Hi Lilly,

Stick to your guns, you only owe them $20. They may mark your account, but they will keep calling and eventually settle to your terms. Don't let them get to you...it took me a few months to settle with my pdl's, but it was way worth it :D

I have settled with Loan Shop and it was very easy. I did make a complaint with BBB because of the lady I spoke to. But they sent me a release stating the account is closed and no further action will take place and I will send them the $20.00 I owe and we will be done. 1 down and 5 to go.

Thats awesome :D Keep up the good work & the will be gone before you know it :D

I was looking on the BBB website and found this on GFS.. Looks like Neveda doesn't want them.

Business Contact and Profile

Name: Global Financial Services
Phone: (877) 280-3359
Address: 1005 Terminal Way Suite 102

Reno, NV 89502
File Open Date: September 2006
TOB Classification: Payday Loans, collection agencies
BBB Accreditation: This company is not a BBB Accredited business.


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Additional Locations and Phone Numbers

Additional Addresses
2533 N. Carson St
Carson City, NV 89706




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Licensing

As of April 25,2007, according to the Nevada Dept of Banking and Financing, Global Financial Services aka GFS located at 1135 Terminal Way, Reno does not hold a Collection Agency License BBB Definition:

License - A permit or accreditation required by the State, Province, County or Municipality where a company is located indicating competence or professional certification that allows the company to provide products or services related to their particular field or industry.
in the State of Nevada.
On March 26, 2007 an order to "Cease and Desist within the state of Nevada" was sent to this company, via certified mail, by The State of Nevada Dept of Business and Industry Financial Institutions Division.


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Customer Complaint History

When considering complaint information, please take into account the company's size and volume of transactions, and understand that the nature of complaints and a firm's responses to them are often more important than the number of complaints.

BBB processed a total of 90 complaints about this company in the last 36 months, our standard reporting period. Of the total of 90 complaints closed in 36 months, 31 were closed in the last year.

Well Impact Cash sent me an email stating they would settle with the $30.00 to cover the balance I borrowered. So that is 2 down and 4 to go... Making progess but I think the last 4- BIG, GFS, Paycheck Today and Cash Advance Network aren't going to be that easy.

I did put a complaint in with BBB for GFS and probably will with Paycheck and Cash Advance Network.

Thats great lilly, you are really working through them... :D

Ok Paycheck Today and contacted me and wants to settle for $290. I have already paid them $300. What should I do?

Also Cash Advance Network as also asked to settle but have not given an amount.

Please advise.

I would resend them an email with the initial letter and advised that you have already overpaid & want the account marked paid in full.

My family ran into some major financial issues due to two deaths of immediate family members and a child who has major health issues. I had 4 pdl out that I can't pay. They are starting to harass me. The three companies are thinkcash, zip 19, payday one and mycash.com. Any help would be greatly appreciated.

Ok, apparently Cash Advance sent my defaulted loan to Account Receivable Management of FL. A mister Don Porter @ 877-726-8505 ext 209 wants to settle the loan. He said I owed $400.00 but would settle for .70 cent on the dollar making it $290.00. He said that they use to be United Legal Corp but now they are legal company now as Account Receivable Management of FL. I told him that I had just sent Cash Advance Network an email and was corresponding with them but he claimed they sold it to them to handle now. What do I do? I am suppose to call him back tomorrow with a a good faith payment that I can put on a Prepaid Visa Card.
I think this is also going to happen with Paycheck Today.
Help!!!

Ok..an Adam Smith with heavy accent called just now and the number on caller ID was 415-880-5599 which is Ca and the number he left to call back was 336-308-4125 which is NC. He said it was time sensenative that I call back with Attorney information and if he did not hear back then he wished me good luck. Then he turned around and called back again. I just let it all go to voice mail.

What to do....

Ignore it, that sounds like the infamous United Legal scam that is going around. They can't do anything but call you...

What about this?? what should I do?

Ok, apparently Cash Advance sent my defaulted loan to Account Receivable Management of FL. A mister Don Porter @ 877-726-8505 ext 209 wants to settle the loan. He said I owed $400.00 but would settle for .70 cent on the dollar making it $290.00. He said that they use to be United Legal Corp but now they are legal company now as Account Receivable Management of FL. I told him that I had just sent Cash Advance Network an email and was corresponding with them but he claimed they sold it to them to handle now. What do I do? I am suppose to call him back tomorrow with a a good faith payment that I can put on a Prepaid Visa Card.
I think this is also going to happen with Paycheck Today.
Help!!!

I also have 4 internet payday loans and 1 storefront payday/cso do these laws apply to these as well? I owe about 3000. can you please help me too. I also want to close my bank account, but not sure if I will get in trouble or not. Please help

Hello,

Is it true that original creditors such as a payday loan place must respect cease and desist letters in Texas?

Thanks!

How do i go about finding the place that shows if they are licensed or not i have about 6 or 7 out and i have been reading on here what i can do about it i have defaulted on all of them and am in the process of just paying them off one at a time but from what i have been reading i might not have to pay it all off. Can anyone help me out with this.. Thanks

I had a loan with Purpose Money after being laid off last year the loan with into default and then collection. It appears on my credit report belonging to Jefferson Capital, but I was contacted a couple weeks ago from National Recovery Services who is a client of Jefferson Capital that threaten to send it to the DA office so I made arrangement and for two payment. The first payment was debit from my account and the second debit I placed a stophold on it.
If a company is no longer in operation how can a collection or Attorney Debt collector continue to pursue for charge off?
Texas Resident

I noticed under texas law that payday loans can only be renewed once a month? I get paid twice a month and hve been renewing my loans every payday. i cannot tell you how much i have spent over teh last 3 years on payday loans to this place. i finally quit paying them last payday and got here by researching my rights. so since i give them 200 a month in intrest on a 500 dollar loan twice a month, is this legal? I use Advance AMerica.

I have a pdl with my cash now... it is an internet pdl, for $370 they have turned it over to a collection agency, Delanor Kemper, out of Atlanta GA, they have called me harassing me saying they say they have a claim against me for Bank Fraud and Theft by Deception, and that I need to get in contact with them immediately, (which I know is a scare tactic) they call several times a day, I have the DV, and C&D letters typed up and ready to send out, also I check my credit report and they have reported negative on my credit report for this. So where do I go from here?

Dispute it on your credit report to see if they answer the CRA.

I live in Texas and my husband had surgery in November and I had to resort to payday loans to get by. I am financially unable to continue with my payments as scheduled. I would like to know if they are legally operating in the State of Texas and what my choices are (get an attorney to contact them for arrangements, etc.) I have one online: CashBack Payday Advances ($400.00 payback $500 - 684.375% apr) and I have 3 local store loans: NCP Finance Limited Partnership (Advance America - $700.00 payback $842.05 - 822.98 apr); Cottonwood Financial Texas, LP (The Cash Store - $625.00 - payback $752.80 - 533.11% apr); East Texas Lenders, LP (Swift Cash - $1000.00 payback $1,206.60 - 314.2%). Are these loans legal and what are my options if I'm unable to pay. I give them checks dated for my next payday every time I have paid on them.

i hqve 4 pdl's i dont know what states they are in, but do they follow texas laws since i am here or do i follow thestate laws ehere they are at

i hqve 4 pdl's i dont know what states they are in, but do they follow texas laws since i am here or do i follow thestate laws ehere they are at

They have to be licensed in Texas and follow Texas Laws.

What are the names of the PDLs? How much did you borrow and how much have you paid back?

I HAVE A PAY DAY LOAN WITH ACE CASH AMERICA FOR $800.00 IT IS NOW UP TO $1235.29 BECAUSE IT HAS BEEN IN DEFAULT SINCE 2007. I HAD A INVESTIGATOR CALL ME AND HE STATED THAT IN HARRIS COUNTY I COULD BE CHARGED WITH THEFT BY CHECK AND IF THIS IS NOT PAID OFF IMMEDIATELY HE WILL PERSUE WITH THE CHARGES. CAN I REALLY BE CRIMINALLY CHARGED FOR THIS MATTER.

No and TX garnishment laws are tough and they can not garnish on this type of debt.
Debt is a civil matter not a criminal one.
Was this a store front or internet?

I HAVE 4 PAYDAY LOANS(TOTAL OF $2600 OR MORE) THAT I AM CURRENTLY PAYING. THE FINANCIAL BURDEN IS MAKING IT HARD FOR ME TO PAY MY HOUSEHOLD BILLS. ARE THERE ANY FREE PROGRAMS TO HELP ASSIST WITH CONSOLIDATION OR IS THERE ANYTHING THAT I CAN DO TO PAY THESE LOANS OFF B/C THEY ARE PUTTING ME MORE AND MORE IN DEBT.

Sheila please list the names of the PDL companies and the amounts paid to each so far. Also please let us know if they are internet or sotrefront loans.

so when you all are talking about what you have paid, are you talking about the "interest" each time or extra money in addition to the interest. I have been paying on a storefront for over a year making interest payment in the total amount of $404.00 a month. I have not been able to make extra payments. I had to put a "stop pay" on my checks through the bank and am now wondering if they are going to make arrangements or file on me through the jp's office!!!

Lily wanted to check and see how things are going?

I closed my bank account with the credit union and opened another with with the same bank.. i have some time b4( ~ a week) my loans go into default. here's a list and the principal of want i owe, i know it's bad but it was the only way i could pay my tuition balance off to graduate from college. I fear that even closing the account the ach debits will be paid. although i read the fine print of my discloser and it stated that i could call and ask to stop payment
paydayone.com 850.00
checkngo.com 475.00
unitedcashloans.com 75.00
cashnet.com 550.00
firstcash.com 339.68
i'm in the state of texas
thanks

how can you find out if a payday loan co is legal or illegal?

Check with your state's Dept of Financial Institutions.

I too am having trouble with payday loans and their representatives harrasing me at work. They have even gone so far as to call my HR department and ask that I be terminated for not paying my bills on time. I have also been placed on probation at work for getting too many "personal business" phone calls. What can I do? I want to pay my loans but dont have enough money to do so. Can anyone offer any advice? Can I be sent to jail for this?

someone help! i am in a bit of a pickle. I live in texas and about a year ago i was in hard times and took out a payday loan. that led to i think 7 payday loans all of which i defaulted on. i was simply out of money. i had two checking accounts closed because of this and owe the bank plenty of money as well. will i go to jail for this? can they process me under texas bad check laws?