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I have 3 loans with mycashnow.com discountadvantage.com and cashtransfer.com are they illegal in MA state.

what should I do to get out of this loan? can afford to pay them anymore, I dont want to close my account?

dont know if my bank will stop ACH. my bank is Bank of America.




Internet payday lenders are not legal, either because of restrictive laws, or because the state does not license companies not located in that state, but requires a state issued license to lend.
Quote:
Massachusetts State Information

Legal Status: Prohibited

Citation:
Small loan act applies. Mass. Gen. Laws Ann. ch. 140 ???? 96 et seq.;209 Mass. Code Regs. ???? 26.01. Check cashers are specifically prohibited from making loans unless licensed under the small loan act. 209 Mass. Code Regs. ???? 45:14(8).

Small Loan Rate Cap
23% plus $20 administrative fee upon the granting of a loan

Where to Complain, Get Information:
Regulator: Massachusetts Division of Banks
Address: One South Station Boston MA 02110
Phone: (617) 956-1500
Fax: (617) 956-1599

Sub: #1 posted on Wed, 08/27/2008 - 09:46

Shazzers Shazzers
Moderators Cum Industry Expert
(Posts: 17342 | Credits: 1592.88)

I am going to post a list of procedures to hopefully help you figure out where to begin.

First of all, you are only obligated to pay back the principal amount you borrowed from an unlicensed/illegal Internet Payday Lender. All of the lenders you have are obviously illegally lending to Ma residents.

What should you do?
Close your account asap, if you are unable to close your account, go into your bank and ask to speak with the Branch Manager, tell him/her you need a hard debit block placed on your account immediately! Explain that you are revoking ACH authorizations from unlicensed/illegal companies, and have learned these companies are notorious for ignoring revocation, therefore it is important to BLOCK any withdrawal attempts on your account to protect your interest. This is your privilege, do not accept no for an answer. The following link will provide you important information regarding closing accounts. CLICK HERE

What next?
AFTER your account is secure send each pdl (the unlicensed and illegal) an email similar to THIS (please scroll down to locate letter template). Tailor this letter to your needs, and try to write it with the same basic concept in your own words. You will need to research and locate email addresses/physical addresses if you don't already have them, I suggest that you type the name of the pdl (example: "oneclickcash address") in the search box in the upper right hand corner of this forum. You may also search for addresses HERE at the Better Business Bureau.

File complaints: Most of the time, you can file a complaint online with the following, I encourage you to follow through with doing so, you will need to search the Internet for your state Attorney General's website, however, here are links to file complaints for the FTC, Online complaints: Federal Trade Commission., and the BETTER BUSINESS BUREAU.

Keep in mind that you may not receive a response for days, or even weeks, or, you may receive harassing and threatening phone calls. I have found the best way to deal with this is not to respond or reply, simply hang up.

Side note: If you have paid an illegal/unlicensed payday lender above and beyond the principal amount you borrowed, it might be a good idea to demand a refund and a paid in full letter/receipt. You may or may not get one or both. It still doesn't hurt to include that tidbit in your letter. :)

Sub: #2 posted on Wed, 08/27/2008 - 09:49

Shazzers Shazzers
Moderators Cum Industry Expert
(Posts: 17342 | Credits: 1592.88)

I think all your internet payday loans are illegal. You can follow the steps as suggested in http://www.debtconsolidationcare.com/paydayloans/purpose- money.html#390351 .

Sub: #3 posted on Wed, 08/27/2008 - 12:08

phoenix phoenix
Moderators
(Posts: 1445 | Credits: 275.44)

I closed my account and open a new one. told the bank manager that I took a loan on internet and charge me crazy interest, therefore is illegal for them to take money from my account. did I say it wright ??. she said to me is a fraud?? will I get in trouble??

and what should i do from now on?

Sub: #4 posted on Thu, 08/28/2008 - 07:30

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