Multiple Payday Loans :( Help?
Date: Thu, 06/03/2010 - 12:17
i'm hoping to get some advice on how to handle multiple payday loans that I took out to pay a portion of my tuition (I have bad credit, and couldn't get a real loan). Now I'm in a situation where my bank account is severely overdrawn, and I'm expecting all of these companies to try to withdraw money. The hole just keeps getting bigger and I feel like there's nothing I can do to plug it. I'm really desperate at this point and would appreciate ANY advice at all.
Here's the rap sheet:
I live in Southern California.
All of these are Online payday loans.
East Side Lenders
Original Loan Amount: $375.00
I’ve Paid: $162.50
Current balance: $422.50
Elastic
Original Loan Amount: $500.00
I’ve Paid: $100.00
Current balance: $393.75
Salaryfast
Original Loan Amount: $200.00
I’ve Paid: $390.00
Current balance: $274.00
Check 'n' Go
Original Loan Amount: $255.00
I’ve Paid: $0.00
Current balance: $315.00
Big $ky Cash
Original Loan Amount: $500.00
I’ve Paid: $360.00
Current balance: $520.00
Can anyone advise me on how to take care of these? Your time and help is very much appreciated. This has been a hard lesson learned.
Hi there, hang on a minute while I do a little research!
Hi there, hang on a minute while I do a little research!
Internet payday lenders are required to be licensed in your stat
Internet payday lenders are required to be licensed in your state, click the link below to view your payday loan laws:
paydayloaninfo.org/stateinfo/CA.asp
Click the link below to see your payday loan licensee data base:
You can type in the name of the lender, if they don't come up, they aren't licensed:
http://www.corp.ca.gov/FSD/licensees/default.asp
CLICK HERE to find out how to deal with illegal lenders.
Shazzers you are amazing. I can't express how grateful I am for
Shazzers you are amazing. I can't express how grateful I am for your help! Of the 5 PDLs, only 1 seems to actually be licensed according to the search results.
I know my next step is to secure send each PDL an email/letter, but I have a question about my bank. I called and let them know I need a hard debit block because I am revoking ACH authorizations. The branch manager recommended closing my account since the PDLs have my account number, and to open a new bank account if I stop by a branch, but that I should also file a Fraudulent Activity Report. Should I go ahead and file?
Phew, I feel a lot better already.
So my bank basically said they can only do a hard hold, because
So my bank basically said they can only do a hard hold, because I did authorize those PDLs so a Fraudulent Activity Report can't be put through. They also said because my account was negative, they can't close it. At least for right now nothing can be taken out or deposited...
Which brings me to my next question. For 3 of the unlicensed PDLs, I haven't paid off the entire principle. For one unlicensed PDL, the Salaryfast one, I've paid $74 every two weeks for several weeks now apparently, and I've paid them a total $390 for the original principle of $200, but still somehow owe $274. Since I haven't paid off the principle on the other loans, is Salaryfast the only PDL I can file a complaint against?
Quote:Originally Posted by Donna TaylorSo my bank basically said
Quote:
Originally Posted by Donna Taylor So my bank basically said they can only do a hard hold, because I did authorize those PDLs so a Fraudulent Activity Report can't be put through. They also said because my account was negative, they can't close it. At least for right now nothing can be taken out or deposited... Which brings me to my next question. For 3 of the unlicensed PDLs, I haven't paid off the entire principle. For one unlicensed PDL, the Salaryfast one, I've paid $74 every two weeks for several weeks now apparently, and I've paid them a total $390 for the original principle of $200, but still somehow owe $274. Since I haven't paid off the principle on the other loans, is Salaryfast the only PDL I can file a complaint against? |
Even though you haven't paid them the amount you borrowed you can still file complaints, the point of the complaint is these lenders are issuing loans without a license, and they are charging interest rates and fees not permitted by your state law.
As far as your bank is concerned, it doesn't matter if you authorized these lenders access to your account, that was before you knew the law, you have the right to revoke ACH's at ANY time, and the bank MUST adhere to it, see the law below regarding EFTA:
[QUOTE]Electronic Funds Transfer Act
907. Preauthorized transfers
(a) A preauthorized electronic fund transfer from a consumer's account may be authorized by the consumer only in writing, and a copy of such authorization shall be provided to the consumer when made. A consumer may stop payment of a preauthorized electronic fund transfer by notifying the financial institution orally or in writing at any time up to three business days preceding the scheduled date of such transfer. The financial institution may require written confirmation to be provided to it within fourteen days of an oral notification if, when the oral notification is made, the consumer is advised of such requirement and the address to which such confirmation should be sent.
(b) In the case of preauthorized transfers from a consumer's account to the same person which may vary in amount, the financial institution or designated payee shall, prior to each transfer, provide reasonable advance notice to the consumer, in accordance with regulations of the Board, of the amount to be transferred and the scheduled date of the transfer.
[Codified to 15 U.S.C. 1693e]
[Source: Section 907 of title IX of the Act of May 29, 1968 (Pub. L. No. 90-321), as added by title XX of the Act of November 10, 1978 (Pub. L. No. 95-630; 92 Stat. 3733), effective May 10, 1980][/QUOTE]