2006-10-03 03:29:31 · 8 answers · asked by linda d 3 in Business & Finance ➔ Personal Finance
You will not go to jail for that. Debtor's prison's were eliminated in the 18th century. You do however face being sued for the loan + interest + court costs + possibly attorney fees. Depending upon the state in which you live, you could end up with a wage garnishment, (25% of your take home pay in most wage garnishable states until the judgment is paid) also your bank account(s) could be frozen, and property liens could be filed if you own a home.
Not to mention these delinquent loans will show up on your credit report and will completely wreck your credit, so that when you go to buy a car, house, or get any kind of loan, your interest rates will go through the roof, because you'll be a high risk borrower.
Do yourself a favor, pay off the loan. Then try and stay away from these types of lenders if at all possible. The interest rates you pay are ridiculously high.
2006-10-03 03:43:37 · answer #1 · answered by Jonny Ringo 2 · 0⤊ 0⤋
They will attempt to deposit your check into your bank. If the money is there, they will get it, if not then the bank will chage you a fee every time they try to get it out. And now that they do electronic deposits, it can hit daily, causing you charges daily, until they decide to quit or until you put money into the account. You can be charged with check deception and arrested for writing a bad check that you don't have the money to cover. They can take you to court to recover the fee's and a court cost of several hundred dollars is usally added to the total. This will go on your credit record and will hender any other loans you might try to get in the future.
The best bet is to bite the bullet and go pay them off. And dont take out another one if you dont plan on paying it back.
2006-10-03 03:39:38 · answer #2 · answered by kimmi_35 4 · 0⤊ 0⤋
You will not go to jail, however, it will greatly complicate other areas of your life. You would be facing wage garnishment, stiff financial penalties, and the inability to ever get a bank account until you can catch up with the fees that compound daily.
2006-10-03 03:34:31 · answer #3 · answered by Joe K 6 · 0⤊ 0⤋
They will garnish your wages. You may have signed papers that agree to a voluntary garnishment. If you did, they won't have to take you to court first.
2006-10-03 03:36:37 · answer #4 · answered by BoomChikkaBoom 6 · 0⤊ 0⤋
It would be cheaper and much more simple to contact them, tell them you are struggling, and work out an arrangement.
Don't let it get really bad, okay?
2006-10-03 04:02:05 · answer #5 · answered by mickeyg1958 4 · 0⤊ 0⤋
Why wouldn't you pay?? you made an agreement
2006-10-03 03:40:04 · answer #6 · answered by Shiv 4 · 0⤊ 0⤋
I think you can go to JAIL!!!!!! So pay up!!!!!
2006-10-03 03:36:56 · answer #7 · answered by ChicaLoca 3 · 0⤊ 0⤋
if you let it get that far they can file i believe theft charges upon you
2006-10-03 03:31:18 · answer #8 · answered by just divorced 2 · 0⤊ 0⤋