questions about Payday loans

I received this reply from Castlepayday. What should I do?

Thank you for your email. We are sorry to hear that you are unhappy about your recent experience. Our reputation is important to us and, as such, we are willing to consider the circumstances surrounding your request in order to determine the appropriate action. Having reviewed your complaint in detail, we would like to mention a few points of issue before commenting on a resolution.

We would like to point out that when you were presented and signed the Loan Agreement (which fully discloses the terms as well as the payment options) on January 2, 2013 at 10:24 AM, it was your responsibility to read the terms and conditions.

Please be advised that Red Rock Tribal Lending, LLC (D/B/A Castlepayday.com) is a Tribal enterprise, wholly owned and operated by the Lac Vieux Desert Band of Lake Superior Chippewa Indians, a federally-recognized Indian tribe and sovereign government (“Tribe”). Because the Tribe regulates its own consumer financial services pursuant to Tribal law, state licensure or regulation is unnecessary and inapplicable to the Tribe, and, by extension, Red Rock Tribal Lending, LLC.

Notification was sent to your email address (XXXXXXX) at the time of funding approval, as well as prior to each and every due date, in which specifically details in bold the auto renewal policy that is about to occur and the payment options available. You have submitted your complaint from this same email address therefore, confirming you have in fact received the approval and renewal emails mentioned above.

Our records indicate that your current balance is $1718.75. This includes the Principal amount of $1375.00 plus the Finance Fee of $343.75.

Having stated the above, we understand that many people are experiencing difficult times. So, while we are not obligated to do so, and in full and final settlement of your grievance and any claims you may wish to assert against us, we will agree to the amount and schedule below. Once all the agreed upon settlement payments have been successfully paid, we will waive the remaining balance on your account. Agreeing to this settlement will freeze any interest or fee amounts currently outstanding.

Current Amount Due: $1718.75

Proposed Settlement: $1031.25

Your Savings: $687.50

Number of settlement payments: 4

Payment Schedule:

04/05/2013 $257.81

04/19/2013 $257.81

05/03/2013 $257.81

05/17/2013 $257.81

Payment Method: ACH

Although we do accept Money Orders and Cashier’s Checks, we strongly recommend that you select ACH transfer to prevent any issues that may result from an untimely or lost payment sent through the U.S. postal system. Please notify us if you would like to use a payment method other than ACH.

To finalize this settlement option, please reply “I AGREE” in the subject heading of the email. You hereby voluntarily authorize us to initiate automatic debit entries to your Bank Account in accordance with this Agreement. Only upon receipt will settlement be made.

Thank You,

Support@ CastlePayday.com
1-888-945-2727

Also, after sending complaint to BBB & Federal Trade commission, Advancemetoday withdrew full payment from my account yesterday. ($1178). They sent me an e-mail on Thursday reminding me of payment due ($278), but apparently after receiving complaint, they decided to withdraw full amount! Now I really have a mess!

I just talked to PA Dept. of Banking. She said that I agreed to the terms of loan. She couldn't advise me what to do. Said it was up to me to decide if I paid enough. I sent complaints to the Attorney General's Office, and Federal Trade Commission. I haven't been to bank yet, but plan to do that this afternoon or tomorrow. My next payments are due this Friday, 3/22/13.
Lady at PA Dept. of Banking said these companies say because they are not in PA they are not bound by PA laws?