Chapter 13 and Payday Loans

[PinkTinker78]

Has anybody had any problems with the payday loans in their chapter 13.
I have about 5 loans that I got online and they are all illegal in my state and the interest they charged me was way over my state limit. What is the trustee or courts going to say about having to pay them back. Will I have to include them and if so what amount will they make me pay to them. I'm assuming most of them are probably not even going to file a claim anyway since they are not even legal.

[Tbornetun]

Definately include them, there is a box to check stating that you dispute the debt. Wait to see if they file claims.

[rrockinggramma]

in a chapter 13 all creditors have the right to file a claim. I had payday loans and they never filed a claim in my case. One company even took me to court and doubled the amount I had to pay them back plus all their fees etc. A 1000 loan mushroomed to over 6000 but they never filed a claim, never got paid a dime, and are now discharged.

Whether illegal or not, you have them and you have to notify them and they have a right to file a claim.

[deerme]

Make sure you include them. I also had about five of them when I filed. All were included and none of them filed a claim.

[deerme]

I think the interest they charge is what should be illegal!

[PinkTinker78]

I'm wondering what they will make me put down for the balance. I'm assuming it will be the principal deposit minus what ever payment they debited from my account. I had one online payday lender deposit $250 in my account and two days after defaulting they sent me an email saying I owed $430. I guess I shouldn't even really worry about them because once I list them they are not even going to file a claim. Half of them won't even give me an address and one I just found out is not even located in this country.

[Nicollette]

I'm wondering what they will make me put down for the balance. I'm assuming it will be the principal deposit minus what ever payment they debited from my account. I had one online payday lender deposit $250 in my account and two days after defaulting they sent me an email saying I owed $430. I guess I shouldn't even really worry about them because once I list them they are not even going to file a claim. Half of them won't even give me an address and one I just found out is not even located in this country.

I'm just curious to know if you don't mind telling, which online payday loan lenders are you dealing with? I listed a bunch of them in my plan, and none of them filed claims to be paid. I would really like to know who the lender is that is bases in a different country? I was dealing with one that was in Malta.

[knucklecurve]

Hope you don't mind me jumping in here, but I have a question about payday loans and Chapter 13 BK. Since most are opened or refinanced within 15-30 days of a pay day, is there a danger these loans could be interpreted as "abusive" (i.e. borrowing money or buying items knowing you will be filing BK)? I am filing next month and have two outstanding payday loans (FWIW I wasn't knowingly filing bankruptcy when I opened them). My lawyer says to stop paying both and include them in the BK...I just want to understand why they won't be potential problems...

[rrockinggramma]

well payday lenders will make your life "ell until you have a case number. The one I mentioned above tried to tell me that I couldn't include them in my filing blah blah blah. Well that wasn't the case at all. So you can stop paying them but BEWARE if you have it deducted from your account automatically they are very deceptive. You practically have to CLOSE the account to stop the debit. Or your really have to let your bank know to not let that go through (stop payment on an ACH with no check number is sometimes hard to stop) In my situation I had written a paper check to the place so it was easier to control (except they never cashed it and when we dismissed and refiled they cashed it legally in the inbetween times and really caught us off guard.)

[PinkTinker78]

The ones I am dealing with are Green Light Funding, Cashadvancenow.com, PDL Loan Center, Star Cash Processing and Star Advance (this one is located in a different country). I've had them for over a month and some I've had over a year but I just keep refinancing. My Attorney told me stop paying on them as well. These are pretty much illegal in my state but I have to list them anyway and I know they won't file a claim. Most of them won't give me an address anyway.

[MSbklawyer]

The biggest problems we have with the internet-based payday lenders is getting them to abide by the stay and stop calling the debtor/client. They are invariably physically located in Bumf*** Bangladesh somewhere and we can't even get a full mailing address for them. They routinely tell clients that the bankruptcy, for some off-the-wall reason, doesn't even apply to them and they continue to hound the clients. Aside from being telephone pests, they are completely impotent in their collections because they know that once they file a suit in the U.S. that they are subjecting themselves to our jurisdiction. The easiest solution is to have the client change their phone number.

You can also have a lot of fun with them on the phone -- the foreign ones who can barely speak English. One of my more outgoing clients who was for all the world a clone of Larry the Cable Guy and even talked just like him, told them all kinds of crazy things like since Obama had been elected all debts of US citizens to foreign companies had been cancelled; he made very flirtatious (bordering on raunchy) comments to the female collectors and made homosexual suggestions and overtures to the men. They quit calling him. He did not have to change his number. That's funny right there, I don't care who you are!

[PinkTinker78]

I filed chapter 7 back in 2006 and included some payday loans in that one. I still get calls from them to this day telling me I owe them money. Just a few weeks ago I had a guy with a very deep foreign accent calling me at work about 3 times a day referring to himself as Officer Peter Bell from from the Dept. of Justice telling me I had a case agaisnt my name and social. When I finally decided to call him back after about 10 messages he said it was from a payday loan I had in 2005 and they had a fraud case against my name. I was like, really..against my name??? He couldn't even pronounce the words he was trying to say. Once I told him it was included in my bankruptcy he got quiet and I hung up on him and he hasn't called since. I guess he thought I was going to be one of the gulliable victims that would run to the neareast western union and send him $1000.

[Dagg25]

I'm just curious to know if you don't mind telling, which online payday loan lenders are you dealing with? I listed a bunch of them in my plan..........You can also have a lot of fun with them on the phone -- the foreign ones who can barely speak English. One of my more outgoing clients who was for all the world a clone of Larry the Cable Guy and even talked just like him, told them all kinds of crazy things like since Obama had been elected all debts of US citizens to foreign companies had been cancelled; he made very flirtatious (bordering on raunchy) comments to the female collectors and made homosexual suggestions and overtures to the men. They quit calling him. He did not have to change his number. That's funny right there, I don't care who you are

[MSbklawyer]

When I finally decided to call him back after about 10 messages he said it was from a payday loan I had in 2005 and they had a fraud case against my name. I was like, really..against my name???.

My name am Abdul Swanmklribiniham, I am with Department of Justice in de capital of Washington V.D. I am call to tell you dat I have fraud case against you name. Your name best look out!

[rrockinggramma]

LOLOLOLOLOL I so needed a laugh today. LOLOL that was GREAT!!!