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Help with illegal lender letter

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I am trying to do letters to the illegal companies:

MTE
United Cash Loans
One Step Cash
PayCheck Today

I am a little confused though and don't think this sounds like it is the right letter. Remember, I live in PA so even those these companies are illegal, pdl's are legal in PA.

Here is what template I am using, any help would be appreciated:

Paychecktoday
515 G SE
Miami, OK 74354-8224
paychecktoday.com
voice 1-866-756-0600
fax 1-800-671-0131 or 1-866-344-9701

After doing research on internet payday loan laws in the state of PA, I have found that your internet payday loans are actually illegal. I have also found the following laws to be true applying to payday loans in the state of PA in general:


Pennsylvania State Information

Legal Status: Prohibited

Citation:
Check cashers are specifically prohibited from making payday loans under Check Cashing Licensing Act of 1998, § 505(a). Otherwise, consumer discount company act applies. 7 Pa. Cons. Stat. Ann. § 6201 et seq.

Small Loan Rate Cap
$9.50 per $100 per year discount or 24% per year

Where to Complain, Get Information:
Regulator: Pennsylvania Department of Banking
Address: Market Square Plaza, 17 N. Second Street Harrisburg PA 17101
Phone: (717) 214-8343
Fax: (717) 787-8773
Regulatory Contact: Jim Keiser Administrator of Non-Depository Institutions

Your company should actually not issue loans to PA residents at all as you are not licensed in PA

I have contacted the PA Office of Financial Institutions and the PA State Attorney General’s Office regarding your internet payday loans and was informed they are indeed illegal in PA and was advised to pay what is due according to principle amount only of the loan.

The legal amount that could have been charged to my loan is the principal amount of $XX even if your internet pay day loan was legal in YOUR STATE. I only owe $XXX to have this paid in full as your company has exceeded the maximum loan amount and has exceeded the maximum finance rate and fees. I am willing to pay the amount of $XXX to pay the principle amount of the loan only, as advised by my Department of Financial Institutions and my state Attorney General's office.

I demand a physical address to mail payments to, as you are no longer authorized to debit my bank account. You must provide me with a physical address to mail my payments. I will not Money Gram or Western Union any payment. If no physical address is provided for me to mail payment to, no payment will be made.

I demand that any contact be made through US Postal mail or email only. I will need everything in writing to keep accurate records of all communication as per instruction from my state Attorney General's Office.

I prohibit you or your affiliates to contact me via telephone at my place of employment or my home telephone number. I also prohibit you from calling my references listed on my loan. Once I inform you of this, you must stop the telephone contact immediately or you will be once again breaking the laws of the state of YOUR STATE.

You are also hereby notified that I am revoking any voluntary wage assignment I may or may not have signed. I no longer authorize you, your company, or your affiliates to attach any part of my wages or contact my employer for your collection purposes.

I am revoking your right to debit my checking account any longer. You, your company, or your affiliates are not authorized to debit my checking account at all. Please be aware that I have informed my financial institution of this situation and they will also be receiving a copy of this correspondence. Any further attempts at debiting my account will be rejected by my financial institution.

I must also inform you that I have filed complaints with the Better Business Bureau, the Federal Trade Commission, and my state Attorney General's Office.

I expect a response from your company no later than DATE, regarding this matter. This response may only come via US Postal mail or email. No telephone contact is permitted.


YOUR NAME
SSN


Cc:
Better Business Bureau
Federal Trade Commission
YOUR STATE State Attorney General
YOUR STATE DFI


This letter just doesn't sound like it would be the right one for PA residents. It's very late, 2:00 AM so maybe I'm losing it.

Thanks again for your help,

Diane




Make sure you insert your state in the areas which say "Your State", also remove the part that says they aren't licensed in the state of Pa because of the loophole. Whet ever state a pdl is licensed in, is the state law you have to abide by. I know that sucks but it's just the way it is. :?

Sub: #1 posted on Fri, 08/15/2008 - 16:55

Shazzers Shazzers
Moderators Cum Industry Expert
(Posts: 17342 | Credits: 1592.85)

Quote:
Remember, I live in PA so even those these companies are illegal, pdl's are legal in PA


MTE is not licensed anyplace, so they are not legal in PA.

Sub: #2 posted on Fri, 08/15/2008 - 18:32

Unregistered


Diane, Good catch...it is different for PA residents because of the licensing issues. Try using these changes as guidelines. I posted the original paragraph and then the changes under it...Feel free to change my wording, I was trying to giv you an idea of what the paragraph sould sound (read) like.


Quote:
Your company should actually not issue loans to PA residents at all as you are not licensed in PA



Change to.....

Quote:
Your company should actually not issue loans to PA residents at all becuase you are not licensed in any state.


And

Quote:
I have contacted the PA Office of Financial Institutions and the PA State Attorney General????????s Office regarding your internet payday loans and was informed they are indeed illegal in PA and was advised to pay what is due according to principle amount only of the loan.


Change to...

Quote:
I have contacted the PA Office of Financial Institutions and the PA State Attorney General????????s Office regarding your internet payday loans and was informed that you are operating illegally in PA and was advised to pay what is due according to principle amount only of the loan.


And this paragraph....

Quote:
The legal amount that could have been charged to my loan is the principal amount of $XX even if your internet pay day loan was legal in YOUR STATE. I only owe $XXX to have this paid in full as your company has exceeded the maximum loan amount and has exceeded the maximum finance rate and fees. I am willing to pay the amount of $XXX to pay the principle amount of the loan only, as advised by my Department of Financial Institutions and my state Attorney General's office.


Change to....

Quote:
Due to the fact that you are not licensed anywhere, the legal amount that could have been charged to my loan is the principal amount of $XX . I only owe $XXX to have this paid in full . I am willing to pay the amount of $XXX to pay the principle amount of the loan only, as advised by my Department of Financial Institutions and my state Attorney General's office.

Sub: #3 posted on Fri, 08/15/2008 - 18:41

RoxyNY RoxyNY
Moderators
(Posts: 4178 | Credits: 133.13)

Hooray Roxy!! Very good advice! :)

Sub: #4 posted on Fri, 08/15/2008 - 20:00

Shazzers Shazzers
Moderators Cum Industry Expert
(Posts: 17342 | Credits: 1592.85)

I would kiss you guys if you were here. How did you get to know so much.

Diane

Sub: #5 posted on Fri, 08/15/2008 - 20:07

Unregistered


Thanks Shazzers...


Diane, We are happy to help. We have been there and have survived the insanity. And I for one have had some really great teachers on this fourm. You learn a lot when you go through this mess. :lol:

Sub: #6 posted on Fri, 08/15/2008 - 22:02

RoxyNY RoxyNY
Moderators
(Posts: 4178 | Credits: 133.13)

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