Exciting News--Great Results

Amazing!!! Congrats!!!

Hi Miki, That is awesome can you share the letter that you wrote to PayDay One? How much did you borrow and how much did you repay? How long did it take you from start to finish? I am tackling one PDL at a time and it is very very scarey!

YEAHHHHH... Good job. There is hope for us

YAY for you!!

All, this is the letter I wrote to both PaydayOne and Magnum Cash Advance, changing only the dollar amounts in each one. As I said, I decided to try honey instead of vinegar first by NOT demanding that my account be marked paid in full. I cannot tell you how much I have paid these companies as I have done so many roll-overs on each that I can't even compute the dollars I've spent. It is the standard letter I found on this web-site with a few changes:

By the way--The total balance on Paydayone was $1,100 + and Magnum Cash Advance was $800. I am still waiting for an answer from Magnum, but I can tell you I am not expecting it to be so nice. Since I defaulted two weeks ago, I have only heard from them once.

After researching the payday loan laws and internet payday loan laws in the State of Tennessee, I have found your payday loan and internet payday loan activities to be illegal. The following laws apply to payday loans and internet payday loans in the State of Tennesee in general:
Maximum amount of loan: $500 (my loan with PaydayOne currently has a principal balance of $950.00)
Term of loan: 31 days
Maximum rate of Finance and Fees: $30 or 15% of the face value of the check
APR : 459% (you are charging me an APR of 586.61%)
Maximum number of outstanding loans: 3
Number of permissible rollovers: NONE (you have allowed 4 rollovers on every loan I have had with your company)

I hereby revoke any and all ACH debit authorizations with your company from debiting any of my personal accounts, per Federal Law, Regulation E Section 205.10 Preauthorized Transfers. I have closed my account with Green Bank to protect my interest in this matter, per instructions from the Tennessee Dept of Finance and the Tennessee State Attorney General???s office. I also revoke any and all wage assignments I may or may not have signed with your company. I no longer authorize you, your company, your affiliates to attach any part of my wages or contact my employer for any collection purposes. I have notified my employer about this matter, so any attempts to do so on your part will be rejected.

I demand that all contact be made through US Postal Service at the address I provided or by the e-mail address at the top of this letter. I will only accept information in writing so that I can keep accurate records of all communications as instructed by the Attorney General???s office, State of Tennessee. I prohibit you or your affiliates to contact me via telephone at my place of employment. I also prohibit you from calling any references I may have given on my loan application.

The legal amount that you could have loaned me was $500 at any given time. The maximum APR you could have charged me was 459%, which means every loan with you has been over-paid in interest by 127.61%. I can demand that this loan be marked paid in full and demand a refund of all the interest I have over-paid. However, I am willing to make a settlement of $500 with your company. Please send me a physical mailing address where I can mail this payment.

I do not wish to go on the internet and print negative information about your company. My desire is to resolve this peacefully and amicably. Please abide by my requests for written communication via USPS or e-mail only and send me a physical address to mail payments. If you do this, I will not file any complaints with the State Attorney General in Tennessee, I will not file any complaints with Better Business Bureau, and I will not file any complaints with the Federal Trade Commission. However, the first time you or your affiliates contact me by phone, or contact my employer or references in any way, I will file complaints with all of the above.
I would like a response from your company no later than 7 days from the above date of this letter regarding making a payment arrangement for the $500.00. This response may only be by USPS or by e-mail to No telephone contact is permitted.

Sincerely,

the same for me mikki, i borrowed $700 from paydayone and i've paid $366 thus far and i got an email from them yesterday saying the consider my loan paid in full, i agreed to pay the princple though. i also had one with magnum cash advance , i borrowed $300 and had made 3 payments of $123.32 already so i requested a refund of the amount over $300 and i sent a letter to them as well, i got my response email from them yesterday stating as follows:

We are in receipt of your fax dated July 2, 2010 and it was forwarded to the lender. This response is offered on behalf of the lender, ICA. International Cash Advance, Inc. (ICA), doing business as Magnum Cash Advance, is a British Virgin Islands (BVI) corporation. No solicitation or advertisement was offered in Kentucky by ICA. Customers must seek out ICA on the internet and apply on "their" web site. The choice of law governing your loan, The BVI, was clearly displayed on the web site and in the loan agreement you executed.
The electronically signed contract clearly states, "All applications, transactions, and credit decisions will be deemed to have taken place in BVI, regardless of where you may be viewing or accessing this site. Borrower is responsible for complying with any local statutory obligations that may exist in their state or area with respect to any transactions with ICA dba Magnum Cash Advance. If we approve your application, the disbursement of funds will be in compliance with ICA policy and headquarters in the BVI. Our transactions are governed by laws of the BVI. The laws of the British Virgin Islands governing consumer loan agreements may differ from the laws of [FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][COLOR=#000000][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial]Kentucky[/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/COLOR][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][COLOR=#000000][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/COLOR][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][COLOR=#000000][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial]. If you do not want to enter into a consumer loan agreement subject to the laws of the BVI, you should apply for a loan at a provider located in [/FONT][/FONT][/FONT][/FONT][/FONT][/COLOR][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][COLOR=#000000][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial]Kentucky[/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/COLOR][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][COLOR=#000000][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/COLOR][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][COLOR=#000000][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial]. All aspects and transactions on this site will be deemed to have taken place at our location in the BVI. This transaction shall be governed in accordance with the laws of the BVI without regard to its conflicts of law principles, regardless of the order in which the parties agree. The Agreement shall be deemed executed at our location in the BVI as designated herein. Your acceptance of our service confirms your prior acceptance of this Agreement and to jurisdiction located within the BVI.[FONT=Arial][FONT=Arial][FONT=Arial]"
[/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/COLOR][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT]ICA is familiar with the template letter available on the [URL="http://debtconsolidationcare.com"]debtconsolidationcare.com[/URL] web site. Regardless of these facts, the lender has no desire to expend non-productive effort by offering its services to customers that do not recognize the value of an installment loan or revolving line of credit that resolve a short term cash crisis on a moment's notice. Therefore, the director of operations for ICA has agreed to consider your loan from 5/4/2010 as paid in full. The remaining balance has been credited and your account is no longer active and has been closed. [COLOR=#000000][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial]Your request for a refund was not approved based on the fact that the terms, conditions, and jurisdiction governing this transaction were fully disclosed to you, along with Truth in Lending disclosures when you signed the contract. [/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/COLOR][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial][FONT=Arial]

Sincerely,
Management

Call Center Services, Inc.
Call Center Services, Inc. is an independent outsource call center provider. CCS assumes no role in establishing client policies, policy statements, or internal affairs.[/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT][/FONT]

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this is the letter i used

[COLOR=#333333][SIZE=3]After doing research regarding Internet payday loan laws in the State of Kentucky, 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 Kentucky in general:

Kentucky State Information

Legal Status: Legal

Citation:
Kentucky Rev. Stat. Ann. 286.9.010 et seq.

Loan Terms:
Maximum Loan Amount: $500
Loan Term: 14-60 days
Maximum Finance Rate and Fees: 15% per $100 + $1 database fee
Finance Charge for 14-day $100 loan: $17.65
APR for 14-day $100 loan: 459%

Debt Limits:
Maximum Number of Outstanding Loans at One Time: Two ( $500 aggregate loans outstanding to all licensees)
Rollovers Permitted: None (cannot renew; rollover, or consolidate)
Cooling-off Period: None

Collection Limits:
Collection Fees: One NSF fee (if disclosed)
Criminal Action: Prohibited

Where to Complain, Get Information:
Regulator: Kentucky Office of Financial Institutions
Address: 1025 Capital Center Drive, Suite 200 Frankfort KY 40601
Phone: (800) 223-2579
Fax: (502) 573-8787[/SIZE][/COLOR]
[COLOR=#333333][SIZE=3]Regulatory Contact: Gary Davis, Branch Manager


I hereby revoke any and all ACH authorizations with your company from debiting any of my personal accounts, per Federal law, Regulation E Section 205.10 Preauthorized transfers. I have closed my account with the Kentucky Telco Federal Credit Union to protect my interest in this matter, per instructions from The Kentucky Department of Finance. I also revoke any and all wage assignments I may or may not have signed with your company, 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 have notified my employer about this matter so any attempts to do so on your part will be rejected.

I demand that any contact 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 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.

Due to the fact that Internet payday loans must be licensed in the state of Kentucky to be a legal and binding contract, your company should NOT issue loans to Kentucky residents at all. I am requesting that you send me your license number, which enables you to offer loans to Kentucky residents.

The legal amount that could have been charged to my loan is the principal amount, even IF your Internet payday loan were legal anywhere in the U.S. I am willing to pay the principle amount of the loan only, however, this is only if you provide me with a physical address where I can send payments.

I must also inform you that I will be filing complaints with the Better Business Bureau, the Federal Trade Commission, and the Kentucky Attorney General's Office.

I expect a response from your company no later than 5 days from the above date regarding this matter. This response may only come via US Postal mail or email. No telephone contact is permitted.

Sincerely,[/SIZE][/COLOR]
[COLOR=#333333][SIZE=3] [/SIZE][/COLOR]
[COLOR=#333333][SIZE=3] [/SIZE][/COLOR]
[COLOR=#333333][SIZE=3] [/SIZE][/COLOR]
[COLOR=#333333]
CC:
Better Business Bureau
Kentucky Attorney General
Federal Trade Commission[/COLOR]

when i had over paid with mangum cash so i changed this paragraph to state as follows:

[COLOR=#333333]The legal amount that could have been charged to my loan is the principal amount, even IF your Internet payday loan were legal anywhere in the U.S. My loan was in the amount of $300 and I have already paid in excess of that amount. I am in turn requesting a refund of the amount in excess. This payment can be made to me by check or it can be directly deposited into the Kentucky Telco Federal Credit Union checking account number ending in 9XXXX, which was provided on June 29, 2010[/COLOR]
[COLOR=#333333][FONT=Times New Roman][/FONT][/COLOR]
[COLOR=#333333]but as stated in post before, the responded with paid in full and closed the account. i sent it out july 2, and got he response yesterday.[/COLOR]

TO SHAZZERS

YOU ARE AWESOME, you have helped me a great deal. i'm trying to deal with pdl yes now and they are horrible.

WOW that is awesome badgurl, you were able to get PIF's as well!!!!! Had you closed your bank account when you sent the letters out or had you tried to place a block on them? Congrats Awesome!

To ballplayersmom

thanks, on june 29 right after i got my paycheck direct deposited, i withdrew my money and closed that account all the pdl's were to go thru starting that next day. I have 8 pdl's out and they ate up my paycheck. Then that friday i got those letters faxed, emailed, and mailed for the ones i found physical addresses for. And i'm getting responses this week. I called the department of financial institions in ky and they rep told me, " i can not advise you to , or tell you to close your account," but i interjected and said i already have and he was like thats the first step. And i found this site and went from there.

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Well, I haven't gotten a response in writing from Magnum yet, but I went online and it appears that my account is no longer active. Should I just sit back and wait for them to contact me or should I resend my letters to see if I will get a response?As a side note: I have one PDL company who keeps insisting that the laws of the Bahamas are governing my PDL. Should I continue the fight that they are wrong and my KY laws govern or should I just ignore them and see what happens next?

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You're all very welcome, I am just paying it forward, please do the same, that will be my thank you. :)