Are payday loan companies a new version of the mob? I’ll let you, the reader decide after digesting this post. If you follow this blog you know that 12 million Americans will take a payday loan this year. This is a fact. The question is how are they being asked to pay it back? In a perfect world you would pay your payday loan back according to all the terms including the time frame that was mutually agreed upon by you and the creditor. Unfortunately for the consumer, the enormous interest rate charged by these companies makes it almost impossible to repay the loan that you’ve taken the way it’s supposed to be paid back. What do you do when you don’t have the money to pay back your loan?
Most people call the creditor and try to make arrangements. There are still people that don’t call the creditor and try to dodge the debt. Unfortunately that’s not possible. We have been told by many borrowers that payday loan companies are like pit bulls when it comes to Payday Loan collection. That’s true of many companies in many industries. They want their money back. From what we’ve been told, there are parts of rural America where laws seem to mean nothing. On September 20th 1977, then President Jimmy Carter signed the fair debt collection act into law. This law was written to protect consumers from unscrupulous collectors. Unfortunately, All creditors do not abide by this Federal Law.
Sources tell us that there are many payday loan companies in rural America still knocking on people’s doors asking for money. That there are still people calling and threatening to put borrowers in jail for not paying their loans back on time… There are creditors in the payday loan business that are threatening to take benefits like Social Security from debtors, garnishing these Federal benefits and putting these people in dire Financial circumstances. People need to know what this law is and how it protects them https://ballotpedia.org/Fair_Debt_Collection_Practices_Act
The bottom line is this. You can’t be threatened with many of the things that you are being threatened with. Click on the link above and read the law. Strong-armed mob techniques that went out of style in the 1950s and the 1960s cannot be brought back to collect on payday loans that are delinquent because of the exorbitant interest rates being charged. When you’re in this situation payday loan consolidation can help.
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