Are there any legal consequences for not paying back a payday advance loan?
Question by butterflybaby20082000: Are there any legal consequences for not paying back a payday advance loan?
I took got a payday advance loan from cashnetusa.com I believe it was and It was due to be paid today. I had the intentions to pay it and now i dont have the money to. They tried to take the money out of my checking account and it was denied, leaving me with a fee from my bank because it was returned. I closed my bank account to keep this from continuing. What can they do if I am unable to pay this back? And in about how much time would they take these actions?
Best answer:
Answer by Facety Jeff
They can sue you for the money plus interest, they can have the court order/enter a judgement against you to pay them back all the money, interest + legal fees. If they are very nasty they will wait until the amount goes to above the smalll claims court limit then take you to big court and sue you for more, they can alternatively sell your credit to an annoying agency who will call you day and night, show up at your work, and tell everyone you know that you owe them money (including your boss, family, friends, etc). They can also go back and investigate yoour loan application and if they find any false information on it they can give it to the police and charge you for fraud if either they or the police find you lied, they can ruin your credit, this can also increase your cost of other credit cards or cause you to loose credit altogether. In some states it is a crime to write a check with nsf or insufficient funds so that alone could be enough to land you 90-180 days in jail. they can nail you for fraud if for example you realy do not have a job or your pay check is not what you said it was or if you misrepresented things on your application.
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They may try to debit your account again, even though you closed it, which could cause more fees for you.
They will start to call you incessanty at home and at work. They will call your references if you gave any. They want their money. Period.
In the end, they can choose to sue you.
Are online payday loans even legal in your state?