BK and Payday Advance Companies

[Dante]

My disability check is direct deposited into my acct next Wednesday, the payday advance companies have post dated checks for Wednesday. That's when I go in and pay interest only on the loans.

How fast can they put my checks through? Should I put a stop payment on all of them? I plan to close my checking account on Wednesday anyway.

I'll be starting the paperwork next week for my Chapter 7.

Can someone please help me with some advice?

Overwhelmed in Arizona.




D.

[Keebler]

I had it happen before where direct deposits on the same day as withdrawls happened in reverse order and resulted in a bunch of fees. When I looked, the account balance was positive but the fees had also been charged.

The same circumstances have happened before and been fine so I don't think the bank did it on purpose and I believe them when they say it was just a matter of timing -- only hours between the withdrawls and deposits.

There's no way to be sure what will happen on Wednesday with your situation and it would be best to do something in advance.

I think you should consider a stop-payment on those checks to keep them from being withdrawn. Without that, there's no way to be sure you'll have time to go to the bank and withdraw your disability check.

Another problem is the bank might not let you close your account quickly enough to avoid paying those checks. I've had banks pay checks and drive my account balance negative when I had no money instead of bouncing the check like they should have.

[MajorMike]

Even if your checking account is closed, the money will come out and overdraw your account, taking your paycheck with it. The bank allows withdrawels ( automatic ) for 30 days from the date you close it. Usually payday loan companies don't ask for a specific check number so you can't put a stop on it. They will just take the money, ( trust me, I've seen it happen with friends )
Out of curiousity, aren't you supposed to take a payday loan knowing you'll pay it back the next paycheck???

[Dante]

Gosh thanks Mike. Wasn't this supposed to be a kind forum? Of *course* I knew that. However when you're on disability and 1) The ex cuts you of finanically, 2) the former fiancee' cuts you off, well gee you're SOL. No assets, no anything Mike. You get desperate. I'm pretty overwhelmed Mike...yep we've all been there, yes we are there. But damn I don't need this from you.

[NASCAR20FAN]

I work for Citizens Bank here in Pittsburgh. I'm not sure about your banks policies on overdrawn accounts, but if we have an account the is negative, it cannot be closed by the customer unless they are a victim of fraud of ID theft. Now, with that being said, you should make ever effort to pay back the money you owe to the PAYDAY advance company. In most cases if you close an account and they try to debit that account, it is possible that you could be reported to Chexsystems and you will not be open another account at another bank until the all monies due and fees are paid. My advise, do what ever you need to do to keep you account from being charged off!!!! It would be easier to pay that money now then to have to go through all that hassle in the future.

P.S.
Mike maybe blunt, but he's 90% right on this one (depending on your banks policies he may be 100% right). No onw is trying to give you a hard time just trying to help!!!

[scottsnewlight]

Hey Danta, i have some thought but i sent them through you private messages ( mail ) on this site, check it out,

[Dante]

Anytime one posts in a public forum such as this, there will be the negative as well as the positive. Everything of course, is taken into account and while I do have a very thick skin, this time I don't. I came to this forum because I was happy to see that it is a very supportive community. There are ways to talk to someone, yes people can be blunt, sugar coat things? No. Kinder attitude? Yes. IMHO, the matter is closed. Thank you all for your opinions.

[MajorMike]

Dante, you wanted our help. We can't sugarcoat the truth. Did you want me to be nice and lie? The reason I asked the question about the payday thing is because I did not know how it worked. I honestly thought you HAD to pay it on the next payday and that you couldn't even take it if you didn't have the money for it on that payday. Don't be so sensitve. We all are here for each other and I was really trying to help.

[qwertysue]

Mike--I took your message the same way that Dante did....Seriously, this is not the place to be judgemental or act all holier than thou and then try to backpeddle.

Dante--try searching the forums for Payday Loans--there are quite a few threads, and maybe you'll run across a similar situation.

.

[epiphany]

Dante, I think Mike was asking that question because you said you were going in and paying the interest only---I actually had the same question. I didn't know you could do that.

I could see where you could take that wrong, but I don't think that's how Mike meant it.

In any case, you should open a new checking account somewhere else quickly, before the current account goes into the neg and reports you into Chexsystems.

EP

[NASCAR20FAN]

Mike--I took your message the same way that Dante did....Seriously, this is not the place to be judgemental or act all holier than thou and then try to backpeddle.

Dante--try searching the forums for Payday Loans--there are quite a few threads, and maybe you'll run across a similar situation.

.

This has just gotten to weird for me. There are a couple things we all need to keep in mind.

1) Most of use do not know each other personally, so why would you take anything said personally.

2) If Mike (or anyone else for that matter) replies on a thread it's because they really want to help the person asking the question not hurt them.

3) All we can do is offer opinions or personal experience. How you handle you personal situation is up to you.

I survived by BK with the help of alot of people on this forum, that's why I'm back after a break. If anything I've been through can help someone, I will offer it up.


Please let's not take anything personally, this is a very stressful time for those who are filing, waiting for thier 341, and waiting for discharge. Let's not increase that by assuming that you are being attacked.

THE 20 FAN

[MajorMike]

Mike--I took your message the same way that Dante did....Seriously, this is not the place to be judgemental or act all holier than thou and then try to backpeddle.

Dante--try searching the forums for Payday Loans--there are quite a few threads, and maybe you'll run across a similar situation.

.

What is wrong with you people?? Holier then thou???
I'm not backpeddling whatsoever, Ms. Querty! I have NO idea how PD loans work!! I never thought you do it if you didn't plan on it coming out on your payday.....or paying just the interest. Thanks for the attack though.

[MajorMike]

Dante, I think Mike was asking that question because you said you were going in and paying the interest only---I actually had the same question. I didn't know you could do that.

I could see where you could take that wrong, but I don't think that's how Mike meant it.

In any case, you should open a new checking account somewhere else quickly, before the current account goes into the neg and reports you into Chexsystems.

EP

Thank you Epiphany! That is EXACTLY what I meant!

[MajorMike]

This has just gotten to weird for me. There are a couple things we all need to keep in mind.

1) Most of use do not know each other personally, so why would you take anything said personally.

2) If Mike (or anyone else for that matter) replies on a thread it's because they really want to help the person asking the question not hurt them.

3) All we can do is offer opinions or personal experience. How you handle you personal situation is up to you.

I survived by BK with the help of alot of people on this forum, that's why I'm back after a break. If anything I've been through can help someone, I will offer it up.


Please let's not take anything personally, this is a very stressful time for those who are filing, waiting for thier 341, and waiting for discharge. Let's not increase that by assuming that you are being attacked.

THE 20 FAN

Thank you Fan....!