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I'm in texas and about to default on my loan with cashcall. My loan agreement is with western sky and I have more than paid off the principal. However cashcall is who debits my account. Is there anyway to settle this note with them as western sky is not liscenced in texas.

Thank you for any advice.

If your loan agreement was with Western Sky and they are not licensed in TX, then you need only repay the principal balance of the loan. If you've already paid that, you owe nothing further. If you've overpaid it, I would ask for a refund of the overpayment.

Close your checking account and then send the unlicensed lender letter to them.

They're going to argue tribal law with you but TX law prevails.

Sub: #1 posted on Tue, 06/14/2011 - 20:24

OhioGal1 OhioGal1
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Thanks Ohiogal! Do you have a sample of the unlicensed letter? Cashcall is not a pdl, so how do I word that? The laws I have seen pertain to pdl's

Sub: #2 posted on Tue, 06/14/2011 - 20:55


What do you mean it's not a pdl?

I've reviewed the TX database for both PDLs and CSOs and I do not see CashCall or Western Sky with a license in the state.

Can you explain please?

Sub: #3 posted on Tue, 06/14/2011 - 21:23

OhioGal1 OhioGal1
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I may be mistaken, but I thought cashcall was a cso and not a pdl company. Also I believe I read somewhere that cashcall was licensed in TX.

Thank you for your help!

Sub: #4 posted on Tue, 06/14/2011 - 21:37


It looks like this Western Sky loan is an installment loan.

They are not licensed in TX as a PDL or a CSO from my research. The usury laws in TX apply to "authorized lenders" so, if they aren't authorized, you'd not pay any interest. If they are, you'd pay only the amount allowed by TX law. I can't find anything that shows they are authorized to lend in TX but I will keep digging.

I've done some research and, it seems to me that you can be charged interest and an administrative fee on your loan. (max 18% APR, admin fee depends on amount borrowed)

I'm not sure what the terms of your loan were, how much you borrowed, how much you've paid, term, fees, etc., but, you've probably overpaid.

Can you share more details with me? If you like, you can also contact the OCCC of TX for their direction. They will be able to tell you right away if WS is licensed.

By the way, CashCall isn't licensed anywhere except CA but, your contract isn't with them so, I don't think it matters that they're processing the transaction.

Sub: #5 posted on Wed, 06/15/2011 - 02:17

OhioGal1 OhioGal1
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I so appreciate your help. My original loan with western sky was for 2600.00. To date I have paid 3100.00. Per the terms it's roughly 275 dollars for 37 months. Can pay off early with no penalty. The agreement is governed under the Sioux nation and per their verbiage not governed by us law.

Sub: #6 posted on Wed, 06/15/2011 - 03:33


I'm surprised that Cash Call changed their name (not really, I suppose). I dealt with them, about 5 years ago. They are really difficult to deal with. The % was really high!! I'm sure it's the same way now. They are not a PDL. As illegal as they are, I wondering how they are still doing business.

Sub: #7 posted on Wed, 06/15/2011 - 04:25

sdchargers_63 sdchargers_63

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Then my original comment applies. They are not a licensed/legal lender. You only have to repay the principal amount borrowed. You've overpaid. Ask for a refund. You can use the template in this thread, just tweak it to fit your situation.

Again, they'll argue tribal law. Just keep in mind that, if they don't have to abide by our laws, we don't have to abide by theirs either.

Sub: #8 posted on Wed, 06/15/2011 - 22:34

OhioGal1 OhioGal1
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Thanks Ohiogal.

How do I tailor it since they are not a PDL and an installment loan? Any direction on where to find installment loan laws to add to the letter?

Sub: #9 posted on Thu, 06/16/2011 - 02:24


You don't need to comment on loan laws. You need to simply tell them that they have no license to lend in your state, which makes your contract unenforcible. Tell them you're willing to repay the principal, which is only fair, but you would like a refund of the overpayment you've made. Tell them you revoke authorization for ACH debit transactions and any wage assignment. Also, tell them that you will be reporting them to the OCCC, the TX Attorney General and the FTC for making loans in your state without a license to do so. And then do it.

You're going to have to close your account and open another one. Do that before you send your letter.

Sub: #10 posted on Thu, 06/16/2011 - 03:11

OhioGal1 OhioGal1
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