I went to a PayCheck advance company a few months ago because I needed some money until payday. I didn't have the money to pay it back and the check bounced. I have made payments on the check since then but I still owe $100. They left me several messages over the last few weeks to call, but today they left a detailed message on my voice mail that my roommates have access to and heard. On the answering machine they left the amount I still owe, the amount the check was in the beginning, and the date that it bounced on. Do I have them on any sort of violation of any law?
Isn't this still third party disclosure? The phone is not in my name, and even if it was, I thought they could only leave a message to call.
Wow. In October, On Msn money, there was almost a similar post about a collection agency leaving a detailed message on a guy's answering machine. He sent them a nasty letter, and they wrote back stating that: They had no way of knowing that his mom and brother often listen to his answering machine messages. Especially when only his name is said on the opening message (greeting). They basically blew him off....... Great, now I can't find the thread anymore over there..... ;-(
Ok..please post if you find the article. So...does anyone know if I have them on anything? This has embarrassed me like you wouldn't believe with my two roommates.
I'm looking, and I promise, if/when I find it, I will post. LKH is right of course. I am guessing that they figured that since you wouldn't return their calls, they would go ahead and tell you what the call was about.
I just can't believe that they can do this legally...I know there has to be something out there that I can get them on. I could always send an intent to sue on FDCPA violations. This company probably wouldn't know that they aren't bound by that act. Maybe I can get them to pay me something out of fear.
You could try to scare them, but I would hate for it to backfire on you. Say they call your bluff and tell you to 'sue them'. I'm not being mean, I'm just wondering ;-)
Paycheck advance places are usually full of violations. Some places to look are: 1) your states usury laws-interest rates. 2) charging interest over the amount or longer than provided for in your note. 3) Charging "membership" or other fees-must be added into the interest rate calculation. 4) Dunning letter-threaten bad check prosecution. Can't do this with post-dated checks-which is what you gave as security. ( post dated checks do not meet the "intent" requirement as they are assumed to be written when funds are insufficient) 5) Failure to give advance notice of intent to ACH or deposit your check. Radi8
FYI, don't let them intimidate you with threats of prosecution - I bet there isn't a DA alive who'd prosecute a bounced post-dated check for the intent reasons Radi8 mentioned. If they so much as mention criminal liability, that's extortion.
Yep...several have been prosecuted for this exact thing. Details on Edelman,Combs&Latturner website www.edcombs.com Also, ACH withdrawals are never prosecuted as "uttering and publishing". There is nothing "published". Most states "bad check" laws do not cover electronic checks-the laws usually predate this being a common occurence. Radi8
1) Federal law exempts some banks and credit issuers from state usury laws. Thats why Providian can legally charge you 30% interest. Federal law perempts state law so they can charge pretty much whatever they want within the federal exemption. 2) I have taken out a few payday loans. I have never defaulted on one, but I have read the note and it provides that they cannot charge you anymore interest than what is in the note. 3) I do not know what you mean by "membership fees," but if they do require such a fee, I do not see how that is a violation if you agree to it. 4) I never heard of this either. Negotiable instrument law as I understand it does not recognize post-dated checks as such. My understanding is a bank can cash a check no matter what the date as long as it is not "stale" (i.e. 90 days past the date on check). IN fact, you do not even have to date the check and the bank can cash it. When you right a check, you certify to the payor that you have the money. With a payday check company, its in the contract they will not cash it before a certain date, but since you defaulted, under their Contract, they were allowed to cash it. 5) All my payday advance notes stated that the company would present the check for payment on or after the payment date. If thats in the contract, they have every right to present the check without further notice. I do not know about a FDCPA violation for leaving a message. I think they are entitled to, but I am not sure.
Ok, now that I re-read your post, and see the OC is the one who contacted you, there is no violationa s the FDCPA does not apply to an OC.
oops # 4 should read "write a check"..... also now that I think about the Payday loan place I got my loans from would always make me put the current date, not the pay date, so there would be no post-dated check.
BEWARE most of these check cashing places make you sign an arbitration agreement. It's in the fine print. You might not be able to do anything to them.
State usury laws are preempted by federal law if the federal law exempts a certain kind of lender from state usury laws (i.e. credit cards). Any state law in conflict with that federal law does not apply and the federal law applies. Louisiana's usury rate is 12%. If that usury rate applied, I'd have a huge class action suit against Providian now wouldn't I? Also, most states exempt pay day loans for usurous rates.
