I made the mistake of taken loans out with these two companies. I have a loan with Spotloan for $800 and with My Back Wallett for $600. I recently discovered that these loans are illegal in the state of NJ. I still owe principal on these which I am willing to pay in installments that I can afford; but these companies are refusing that option. I was looking to see if anyone had any advice on how to proceed.
It does appear with the recent settlements by Western Sky that the tribal defense by these companies is no longer going to be valid.
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.