Kentucky Pay Day Laws

The Dept of Finance in your state will be able to give information about the companies licensed in your state.

You can try this link http://www.accounting.eku.edu/ and see if it helps. If you are sure of paying more than the permissible rates as per your state laws, dispute with them in writing. You can also give a legal touch if the company fails to respond you. Be aware that no company can take more than the fixed rates as per the state laws. Dispute the charges with the company and claim for a refund. Do everything in writing for proof of records.

Gallopy, there is a template letter on my blog for settling with internet lenders:

http://pollyandsay.yesdebtfree.org

Gallopy, this link shows every consumer finance company who is licensed to lend in KY:

*edit http://fi.ky.gov/scr/ifs/default.asp?div=cs
I keep messing up that link!

edit* that did not work. go to the licensing link and put a * in the search text, then scroll down to consume finance, and then click 'currently licensed' and click submit, that will give you a full list.

Pollyandsay,

I have sent out three letters. I'm waiting on replys. I do not see where Sonic is licensed in Kentucky, so I might just close out my checking account to deal with them. I have gotten a debit stop from everyone else so far. I'm still working on them.

Gallopy, from what I have heard of Sonic, they are real jerks, so you may as well go with that route. From what I have heard Sonic is not licensed anywhere! Please share all positive results you have with the forum!

Sonic says that I'm bound to the contract by Idaho laws, even though I reside in Kentucky.

The loan agreement you electronically signed is bound through Idaho State Law.

Gallopy, they would be quite wrong. I'd do as Polly suggested and close your account, open a new one. If you do so with the same bank make sure that incoming debits won't cross accounts, and also let them know that this company may try to get to your money any way they can...and that they are no longer authorized to do so.

the agreement is bound by idaho state law, however jurisdiction of the loan applies to the state in which the loan occured. Since you are in Ky, it's Ky law that applies no matter how hard they try to convince you otherwise.

Gallopy, on the letter on my blog there is some federal case law which squashes the notion of governing law. You should be thankful that Sonic is trying to bind you to Idaho law rather than Scottish law as they used too! I will look up Idaho law for you and post a link in a minute...I betcha they aren't following that either:)

Brittany,
The contract that you signed disclosed that we are an Idaho state based company and we give loans from the state of Idaho. Please refer to the next insert from your loan agreement that you signed:

Governing Law: Notice: This transaction shall be deemed to be made in the State of Idaho and Idaho Law shall govern all aspects thereof. The licensing agency that regulates this transaction is the: Idaho Department of Finance, 700 West State Street, Boise, Idaho 83720, (208) 332-8000. You acknowledge that your loan application was sent by you to our office in Idaho and that we approved your loan and disbursed the proceeds to you from the state of Idaho. You agree that this loan agreement was made in the State of Idaho and the terms of this Agreement shall be interpreted and enforced in accordance with the laws of the state of Idaho without regard to principles of conflicts of laws. You further hereby agree that we may file suit against you in the State of Idaho to collect the balance due on the Loan and for that purpose you hereby consent to personal jurisdiction of the courts of the State of Idaho & agree that the laws of the State of Idaho will apply to the dispute. In lieu of filing suit we may elect to arbitration set forth below.

No matter what state you live in you have a debt with our company that must be paid back. If the debt is not paid back we can and will turn your account over to our legal department. They could possibly garnish your wages and report negative credit activity to all three major credit bureaus. All we need are suitable arrangements. If that $40 cleared you need to pay the remaining $220. Please respond with arrangements.

Regards,
Kristen

Here s the link to Idaho law.

http://www3.state.id.us/idstat/TOC/2804604KTOC.html

Seriously, lil Ms. Kristin knows darn well they are supposed to licensed in every state that they intend to loan in. She is blowing hot air. Stay strong and don't let her push you around! Check you pm too!

Sonic has made a settlement with me to get it taken care of. No more interest and paying off rest owed. I can deal with this.

I faxed my letters for paid in full to Pay Day Ok and haven't heard from them. I've paid almost a $1,000.00 on a $500.00 loan since October of 05. Enough is enough. I have not heard back from Zip Cash, but I've had that loan as long as I've had Pay Day Ok's, so it is almost the same. Mr. Cash is letting me do a payment arrangement to pay off the balance, and I still have not heard from One Step Cash.

it's funny how all of these online PDL's keep settling when state licensing and governing law is brought up.

Here is what I just got from Pay Day OK. I did this before I used the letter template. I have paid over this loan by more than $300.00 after I got my figures straightend out, but now it's taken care of. This site has educated me so much regarding payday loans.


We understand you no longer wish to do business with us. We will close your loan and consider your obligation to Payday Ok satisfied.

Thank You,

PayDay OK Account Service Team
accounts@ paydayok.com



-----Original Message-----
From: "Piper, Brittany \(DOC\)"
Received: 7/6/2006 6:47 PM
To: accounts@ paydayok.com
Subject: RE:


I know that all payday lenders must be licensed in the state that they are lending the money at. You lended to me, in Kentucky, therefore, I know that you have to have a license in Kentucky and even though you are in DE, you must abide by Kentucky's laws also. Also, the max payment that can come out of a payday loan in Kentucky is $15.00 per $100.00 borrowed. I have paid this account over the $500.00 borrowed by about $300.00. I have requested that this account be paid in full. I will send you another letter outlining my claims if you would like. I know you have settled with other customers and put Paid in Full on their accounts. E-mail me back.

Brittany J. Piper[/quote]

Hurray!! good news!! congrats Gallopy :)

i bought a car from a dealer and he is carring the note,now my question is when im late he charges 50 dollars twice a month because im paying bi monthly,if i make a payment he takes late fee of 50 dollars out and then im late again .now im 3 payments behind of 306 dollars and late charge on that of 280 . i cant catch uo is he doing wrong charging this much late charges