PDL companies in Texas using Credit Service Organization

If a loan company is disguising their business just to escape the specific laws on them, it's definitely illegal. Your should file a formal complaint with the Dept of Financial Institutions and the AG

CashNetUSA is probably one of the only ipdls that are licensed to loan in the states they loan to consumers. I know they are licensed in my state and I found in almost all states pdls are allowed. They act as a broker, they will actually supply you the loan from a business such as a pawnshop. In my state they use more than one business to loan money to consumers in this state. And ACE is one of the worst storefronts, I know here they were run out of business for their business practices.

payday loan companies that use CSO's are licensed and state regulated. The reason they are CSO's is b/c the PDL is loan company that wants to offer loans in a certain state but will obtain a CSO liscence to act as rep to service the loan. The funds are regulated and lent by the actual CSO bank. I work for a company that uses CSO in certain states but also directly liscenced to offer payday loans in other states

[QUOTE=WHEREAMI?;158699]CashNetUSA is probably one of the only ipdls that are licensed to loan in the states they loan to consumers. I know they are licensed in my state and I found in almost all states pdls are allowed. They act as a broker, they will actually supply you the loan from a business such as a pawnshop. In my state they use more than one business to loan money to consumers in this state. And ACE is one of the worst storefronts, I know here they were run out of business for their business practices.[/QUOTE]

Are the CSO's difficult to deal with when making payment arrangements? I called and made a pay agreement with CashNetUSA and they sent me back the arrangement in writing via an e-mail. Here it is:

Dear R,

This is a confirmation email about the payment arrangements you made with our Collections Department. On 11/13/2009, $100.00 will be debited from your account. On 11/30/2009, $150.00 will be debited from your account. On 12/15/2009, $251.92 will be debited from your account.

If you have any questions or concerns, our customer support team is available 24 hours a day, seven days a week to help answer all your questions via phone, email or online chat.

CashNetUSA Customer Support
Phone:(888)801-9075
Fax:(866)326-5265
[URL="http://www.cashnetusa.com/"]www.cashnetusa.com[/URL]

Was this email not helpful enough? Please click here [URL="http://cnuservice1.questionpro.com/"]http://cnuservice1.questionpro.com[/URL] to share your comments with us.

Customer Notice: Payday advances should be used for short-term financial needs only, not as a long-term financial solution. Customers with credit difficulties should seek credit counseling.
Yarisma M

If you ask me (or the Supreme Court of the State of Arkansas), it's a bullshit attempt to get around state usury laws. Actual CSOs are places such as LendingTree or certain mortgage companies who actually find people a loan. Contracting with a bank to facilitate such "loans" is "servicing" in much the same way that Twinkies are "food". If you do not believe me please answer the following:

1-why is it that these company's "CSO fees" vary with time and principle amount in the exact way that interest does?

2-why is it that the bank, who's money is allegedly at risk, earns high credit card-like interest whereas the "CSO" earns Mafia loanshark-like interest? Are they really providing such a valuable "service" by running a website?

3-how is "loaning" money to such a "CSO" different from racketeering through the use of
a shell company?

Is a CSO still licensed if the State of Texas shows their bond has expired?

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