Alright so I overspent over the holidays and I needed some help on rent in January and did a Payday loan.
Here are the details required...
1. What state do you live in??
2. Who did you borrow from?? Full name of lender.
American Web Loan
3. How much did you borrow?
4. How much have you paid?
Payment arrangement is twice a month - 1st and 15th
I made the first payment on 1/15/2015 and I wanted to make sure that it was logging everything correctly on my online account with them. So I log into my account and it still shows an outstanding balance of $700. I call them to ask what's up, why it's not showing up and I'm told that the $210 was for interest only. So I'm figuring okay, a payment or two of interest, it's a payday loan, I should know better. So I ask the lady, when is this loan due at the current payment arrangement (two payments a month for $420 total per month), she tells me September.
I almost dropped my phone right there. Hung up with her as I didn't know what my options are.
So in review, I loan $700 and pay back $3490.
That can't be legal can it? I mean...what...I don't even know who to turn to for advice on this. Is that not what predatory lending is? I mean, I had to talk with these guys on the phone prior to getting the loan, if anywhere in that conversation they told me I'd be paying back $3500 on my $700 loan I would have laughed at them.
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