PDL problems in TX
Date: Thu, 03/17/2011 - 08:34
Ace Cash Express - 2 loans saying I owe $1200 and $1300. Tried to pay off one and take another...then 1st one was returned now both default with no payments made on them. This was back in Dec, threats starting to come in now. I know they have gotten almost 600 in payments.
Check-N-Go - $1,035.04 Thought I paid some on this one, not sure...original loan was for 800.
CashBanc - Saying I owe something like 600. Original loan was 500, They never took out full amount, kept rolling it over took different ammounts5 times. Paid them $575 so far and sent them a nasty email saying I would settle with them when they paid me $150.
SeaSide Trust, LLC - original 300, same as CashBanc on rolling it over. Took at least 3 payments out before they started getting returned. paid total of $270 saying I owe 420 more
All were internet loans, but with ACE I did the paperwork etc on line, and picked up cash in a store. Not sure how that affects things. Also on the emails I get from ACE and Check-N-Go they add this disclaimer at the bottom of the email....is this legit?
Notice Pursuant to the Fair Debt Collection Practices Act
Because Check 'n Go is the original and current creditor of the debt described above such that Check 'n Go is not a "debt collector" within the meaning of the Fair Debt Collection Practices Act (the "Act"), the Act does not apply to Check 'n Go's attempts to collect the debt. Without waiving our right to maintain that the Act does not apply to our attempts to collect the debt, Check 'n Go - as a courtesy - hereby provides you the following written notice (the "Notice") pursuant to the Act.
This letter is an attempt to collect the debt described above. Any information obtained will be used for that purpose. Unless you, within 30 days after your receipt of this Notice, dispute the validity of the debt, or any portion thereof, Check 'n Go will assume that the debt is valid. If you notify Check 'n Go in writing within such 30 day period that you dispute the debt, or any portion thereof, then Check 'n Go will obtain verification of the debt or a copy of the judgment against you and will mail a copy of same to you. Upon your written request within such 30 day period, we will also confirm with you the name and address of the original and current creditor, namely, Check 'n Go.
Once you file Chapter 7 bankruptcy and get automatic stay then t
Once you file Chapter 7 bankruptcy and get automatic stay then the creditors/collection agencies can't take any legal actions against you. After you have filed bankruptcy, your non-exempt assets will sold off to repay your debts. As far as email is concerned, it seems quite legitimate.
Actually I did some more homework and found that in the State of
Actually I did some more homework and found that in the State of Texas the Texas 1 goes further than the Federal law to include any attempts to collect a debt, not just a professional debt collector, so at least here in Texas their little blurb about it not applying to them is BS. In texas they MUST follow the same laws as everybody else. Excerpt from the state AG site below....
Federal Fair Debt Collection Practices Act
Texas statutes cover actions by anyone trying to collect a consumer debt. The federal Fair Debt Collection Practices Act applies only to collectors working for professional debt collection agencies and attorneys hired to collect a debt.
https://www.oag.state.tx.us/consumer/debt_collection.shtml
After further review I am starting to wonder about CSO's and the
After further review I am starting to wonder about CSO's and the ability to legally operate in TX. Yes a CSO only has to "register" with the State of Texas, but not have a license. But even with that, the company actually issuing the loan through the CSO would have to have a license in the state to legally offer a loan through the CSO in the state correct?
Not to mention, the whole CSO scam in TX is ridiculous, a company offering PDLs in other states supposedly acts as a CSO in Texas and charges the SAME rates in TX as it does in states with no regulations, but just calls it different names. instead of high intrest, it's written as CSO fees. The the supposed lender is getting a tiny % rate on the loan. What type of loan company is going to offer a 3% intrest on a PDL and allow the CSO to charge $300 (the typical intrest+fess charged by a PDL in other states) unless it's the same company hiding in different names to by pass the law.
"Because Check 'n Go is the original and current creditor of the
"Because Check 'n Go is the original and current creditor of the debt described above such that Check 'n Go is not a "debt collector" within the meaning of the Fair Debt Collection Practices Act (the "Act"), the Act does not apply to Check 'n Go's attempts to collect the debt."
Wouldn't this basically be an admission that the whole CSO and supposed 3rd party is a scam to circumvent the laws in Texas? I mean, how can they be a 3rd part and the orginal owner of the debt at the same time? People I spoke with in the AT office agree....contacted a lawyer who has dealt with ACE Cash Express and other PDL's in the past.....thinking maybe class action suit here in an attmpet to completely overhaul Texas law's and maybe run these guys out of the state. Anybody got any advice/input on this?
None except I want to be in on the class action suit! LOL!
None except I want to be in on the class action suit! LOL!
I doubt it would work, but when/if I hear I ever start something
I doubt it would work, but when/if I hear I ever start something I'll let folks here know.
Ongoing research update. There are at least 4 bills in the state
Ongoing research update. There are at least 4 bills in the state house right now to take away the right of a CSO to offer loans. This will basically force PDLs operating under the guise of CSO from being able to illegally offer loans in Texas any more. If people like ACE and Check N Go continue to operate IF these pass they will have to follow the laws already in place regulating PDLs. If you live in TX contact your state legislature reperesentatives and get them to hurry up and pass House Bills 212,410,656,661. These will stop CSO's from circumventing the laws of the State of Texas and force them to be regulated as PDLs once again.
Well Seaside and CashBanc didn't like my emails. Seaside still t
Well Seaside and CashBanc didn't like my emails. Seaside still trying to get 420 from me and won't respond to my emails. Haven't tried calling them yet. CashBanc on the other hand is now trying to get over $1000 more from me, and after a heated discussion where I was trying to explain how they were operating illegally in Texas and I owe them nothing more, the "supervisor" said she was forwarding it to her manager and will continue calling me, as i was explaining any time they call from this point on I was going to file additional complaints with the FTC, BBB, and the texas Attorney General she hung up on me.