2007-08-31 08:16:50 · 13 answers · asked by trina s 1 in Business & Finance ➔ Personal Finance
I used to work at a payday advance company so have a little knowledge about them. The first thing you need to do is to close that checking acount (open a new one if you wish...they can only collect from the original account). If you can't pay, they'll try running your check through the bank and if the account's closed they can't get it from there.
Tell them what's going on and ask if they have a payment plan you could do. Not all of them are the same...some keep the checks there and keep trying to collect from you, others will (after a period of time) send your information to a 3rd party collection agency. Being in collections is never good, but most likely they'll be able to do payments of some sort.
As for those calling names and such because someone may have to use a payday advance, obviously you've never been in that situation. Yes, some of the people end up there because they're living beyond their means. HOWEVER, there are those that are just trying to make it from paycheck to paycheck and if an emergency comes up, that may be the only option. Most banks (none that I've found) will not do a loan for the small amounts that you can get a payday advance for (typically $50 - $500). Also, many people who use the advances cannot get a loan at a bank whether it be for bad credit rating or whatever.
2007-08-31 08:32:01 · answer #1 · answered by terlynn_1370 5 · 0⤊ 1⤋
The Consumer Federation of America has a site all about payday loans you may find helpful:
http://www.paydayloaninfo.org/index.cfm
Here is a summary of their advice for dealing with several payday loans:
1. Don't take out anymore payday loans.
2. Contact the lender and tell them you need to work out a play for paying smaller amounts for a period of time. If they refuse, contact your state regulator for assistance. Alabama, Alaska, Florida, Illinois, Michigan, Nevada, Oklahoma and Washington require lenders to work with consumers on developing extended repayment plans.
3. If you can't afford to pay back the loans right nor, stop the lender(s) from taking money directly from your paycheck. If you signed a "voluntary wage assignment clause" when you took out the loan, write to the payday check lender and revoke that clause. You can also check out the URL above for more information about preventing automatic debits from your account.
Basically, you need to get in touch with the lenders as soon as possible and tell them you can't pay them back. Then arrange terms for when you can pay them back, or negotiate to see if they will accept a smaller amount. Whatever you agree to, make sure they PUT IT IN WRITING and DON'T give anyone access to your checking account.
Hope this helps.
2007-08-31 08:39:00 · answer #2 · answered by Meg S 1 · 0⤊ 1⤋
Payday loans are hell. I was very stupid about two years ago, and I got caught in "Payday Loan Hell". I had 4 loans, and I couldn't pay. I din't know what to do. I went to each place; I confessed my sins to them. It was not easy. Ientered into agreements to repay and I worked on them. One place got tired of my small payments and they took me to court, but all the rest of them worked with me to repay. I'm still working to repay two of them. I'll never be that dumb again. Predatory lending is a very hurtful thing and it is meant to be. Please get some advice and a good friend.
2007-08-31 08:28:33 · answer #3 · answered by fiftyone 2 · 0⤊ 1⤋
The payday loan store will most likely procecute you for writing them a hot check. If its a large amount you owe them, it would most likely be a felony.
Why would anyone use one of those payday loan places?
Way to go.
2007-08-31 08:22:51 · answer #4 · answered by Anonymous · 0⤊ 2⤋
Try to get a "Signiture Loan " from your bank. To pay off the payday loans
2007-08-31 08:20:50 · answer #5 · answered by south of france 4 · 0⤊ 1⤋
You can extend the loans for another 2 weeks for around $15 at most places.
2007-08-31 08:41:12 · answer #6 · answered by ○•○•Cassie•○•○ 6 · 0⤊ 2⤋
Call them ASAP and tell them. Try to negotiate with them in person if you can.
I would additionally suggest finding adequate help in financial discipline as to not let this happen again. But that's a different question.
2007-08-31 08:22:15 · answer #7 · answered by Anonymous · 0⤊ 1⤋
For help visit this
2015-04-27 18:16:24 · answer #8 · answered by Cobby 1 · 0⤊ 0⤋
Quit living beyond your means!
2007-08-31 08:20:55 · answer #9 · answered by wish I were 6 · 1⤊ 2⤋
sale every thing and buy a slow boat to china!!!
2007-09-03 11:39:20 · answer #10 · answered by Anonymous · 0⤊ 0⤋