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Illegal Loans on Credit

Date: Wed, 01/04/2012 - 15:24

Submitted by Rocky Racoon
on Wed, 01/04/2012 - 15:24

Posts: 57 Credits: [Donate]

Total Replies: 8


As you may have seen from my other numerous posts, I have some payday loans that I have found out (thanks to this site) are illegal. I have already overpaid on them, closed my checking account, sent the letters etc.

In one of my first posts, I did inquire as to whether these would show up on my credit report if they are considered unpaid by the company who lent the money. The reply that I got was that they are not supposed to report to the credit bureaus if they are illegal so I can try to get them removed if that does happen. The thing is, I've had incorrect information on my credit report in the past and its a PITA to get it removed. I'm wondering if anyone on this forum has ever had an illegal pdl or subequent collection reported on their credit and if so, what steps did you take to remedy it. I'm trying to stay strong in this because I know that I've already overpaid on these illegal loans and if anything, I should have money coming to me but I am trying to keep my credit score intact and I reallyh don't want some dumb pdl collection showing up and wrecking it.


As far as I know illegal pdl company can???t report to the credit bureau. If they do it, then it is a wrong activity. In this scenario, you can file a complaint against them to the SAG or FTC. Since you have overpaid them, ask them for the refund. Negative items remain on your credit report for 7 years from the date of your first default. After 7 years it will automatically be removed from your credit report.


lrhall41

Submitted by Tyler on Wed, 01/04/2012 - 21:36

( Posts: 269 | Credits: )


I realize that illegal payday lenders are not supposed to report to the credit bureaus (I think I stated that in my post). My question (and maybe I wasn't clear) is whether anyone here has had an illegal pdl reported to their credit. If so, were you able to get it taken off and if you were able to get it taken off, how did you go about doing so?

I appreciate the answers and I appreciate all of the help that I've gotten from this forum. I am on my way to being pdl free for 2012 I'm just concerned about my credit.


lrhall41

Submitted by Rocky Racoon on Thu, 01/05/2012 - 11:42

( Posts: 57 | Credits: )


Hi Rocky,


Unfortunatley i have had a collection agency for a pdl post on my credit report and i have been trying to remove since 2009. One collection agency has bought two of my outstanding pdls and has posted it on my credit report with all three major agencies 4 times on each. They have the 2 pdls listed with different account numbers. They even report monthly as past due. I have just disputed it again and i am hoping it works this time.

It is my understanding that they couldn't report since i live in NJ and PDL's are illegal in my state but just like all their other actions they never follow the law! I still get harrassing calls from them at it has been 3 Years!


lrhall41

Submitted by hbcbuyer on Fri, 01/06/2012 - 13:55

( Posts: 8 | Credits: )


Hi Rocky,

My loans were with United Cash Loans and the Loan Shop both sold to Capital Accounts. Like i said it has been going on since 2009. The problem is that is takes 30 days at least to get them removed and then they are back shortly after reporting me 4 times. It has really hurt my credit score.


lrhall41

Submitted by hbcbuyer on Mon, 01/09/2012 - 06:13

( Posts: 8 | Credits: )