HELP!! What should I do in this situation??

[aktanaka]

So I made the mistake of taking out a loan with CashCall, LLC with an interest rate of 135%. Flash forward a few months and I was able to secure a loan at 35% with someone else who at the time of taking out the loan, had cut me a check for CashCall to pay off the balance of $2598 (thank god). I sent the check CMRR and got the green card back 2 days later. Today I receive an email from Cash Call stating the following:

 

Dear Customer,

 

This is to advise you that we have received your check in the amount of $2598.00; unfortunately it indicates that it is the ‘payoff’ amount on your loan. Please be advised that this amount is less than the amount necessary to pay your loan in full. Due to the precise verbiage, we are not able to post this to your account at this time. We can, however, offer you an option of one of the following solutions:

 

· Contact one of our Customer Service representatives at 877-525-2274 and arrange to pay the difference for the current day’s payoff amount.

· Email or fax a written statement, specifying you are aware that the check we have received in the amount of $2598.00 does not satisfy the payoff amount owed, that you would prefer us to post the amount to your account, and you will continue to make your monthly payments until the contractual agreement has been fulfilled (all 3 of these topics must be addressed in the body of your statement).

· If there is no response within (30) days of this written correspondence, we will return the check to the mailing address on file.

 

 

The payoff amount that is being shown as of TODAY is $3014.32, the balance on the account is $2595.86, the original loan was made in the amount of $2600.00. How the heck do I get rid of these people!! They want an additional $416 out of me (as of TODAY) after the $2598 check and I have been paying them $299/month for at least 4 months now. I made a call to the Customer Service Supervisor, Maria Orozco to discuss but of course she has not called me back as of yet. HELP!!!

[moosetracks]

On balance 2598 the interest per day is about $9.74 so that would be added to the loan balance to the day of payoff and there may be early payoff clause as well. I dont know how you are going to get out of it but I would have them post it and worry about the difference later since the int rate is so high..

[funkiehouse]

I know this won't help you but always get a payoff agreement in writing before ever sending any money to anyone. It should also include the date that the agreement is no longer valid at that price. CAs that report debts, or an open account, will almost never be reporting the accurate current balance. This is also why people are shocked to find out that a collection is sometimes 2-3 times more than whats being reported when they contact them for a PFD or do a dispute.

 

I would get a payoff amount in writing (minus the amount of the check) and take care of this now before you drown in 135% interest. You need to make them itemize what they are claiming you owe and why you owe that much more. I'm guessing there may be some kind of early payoff fee buried in the small print??? This loans are set up to trap you. Get out of it as soon as you can.

[policebox]

What state are you in? There was just a ruling that came down through the courts, in a complaint filed against CashCall by the CFPB, which basically stated that the loans made in several states were null and void, or reduces the interest rate being charged.

 

Here is a copy of the complaint: http://files.consumerfinance.gov/f/201312_cfpb_complaint_cashcall.pdf

 

It includes the states of Arkansas, New Hampshire, New York, North Carolina, Colorado, Arizona, Indiana, and Massachusetts, but may include others.

[aktanaka]

OK, I sent them 2 faxes and an email stating to credit the payment they received for April and to send me a TOTAL amount payoff that is vailid for 30 days after reciept of the letter. I also asked for an itemized statement from the company showing current balance minus the April payment, updated balance, and updated TOTAL payoff amount. What should I do now? Should I send C&D? Validation? I don't want to do a PFD since it does report to the major 3 and I want to keep that as a positive tradeline on there. I just really want something that says "heres the total amt due on 00/00/00, if paid in full, your account will be considered closed" I know that I have paid them more than the original loan balance, but most of that looks like it went to Finance Charges with very little going to the principle. ugh!

[LKH]

What state are you in? There was just a ruling that came down through the courts, in a complaint filed against CashCall by the CFPB, which basically stated that the loans made in several states were null and void, or reduces the interest rate being charged.

 

Here is a copy of the complaint: http://files.consumerfinance.gov/f/201312_cfpb_complaint_cashcall.pdf

 

It includes the states of Arkansas, New Hampshire, New York, North Carolina, Colorado, Arizona, Indiana, and Massachusetts, but may include others.

There is currently a lawsuit by the CFPB against Cash Call, but there has not been any ruling yet that I am aware of.

[bigbas101]

C&D, validation or PFD aren't for this type of situations, this is not in collections or charged off.

 

I would press HARD for the full payoff amount in writing and then pay it off ASAP. In my opinion, the sooner you're done with this outfit, the better! Count your losses and learn to never bite on one of these scams again. They are the devil.

[aktanaka]

UPDATE!!

I paid this sucker completely off, not exactly the way I wanted to, but paid off completely nonetheless. Ending balance was $392.95 + fee to use my credit card (more on this in a min) = balance $0!

 

I had room on my credit card at 22.90%interest to put the full amount owed onto it, so i did it, and got rid of CashCall. Yes I will have to pay off my CC again, BUT, 22.90% interest on a CC is A LOT better than 135% DAILY interest! So long CrapCall, I'm leaving you behind along with the weight you had on my shoulders!!!

[chugs102]

What about your other $2700 debt to NETcredit at 246% interest?

 

This should have been paid off first.

[aktanaka]

To Chugs102:

 

First of all, Thank you for your reminders, they are doing awesome for ones self esteem and self worth while trying to survive. I opened this thread in regards to ONE SPECIFIC COMPANY, CashCall. Thank you for reminding me not once but TWICE today about that NETCredit loan that is at 246%. Sadly, in the end that NetCredit loan is $5200 less interest for total pay off amount vs CashCall (Ending Payoff for the entire duration of the loan with NetCredit is $7800 vs CashCall's was over $13000).

 

Unfortunately it is people like you that shy people like me away from posting anything to these boards, YES I know what I have on my plate, I NEVER DENIED IT, but the constant badgering reminder isn't necessary. Sorry that I didn't have a high enough credit score to get a traditional loan through a bank/CU at the time. Sorry that I still don't have a perfect record like yourself, which is how you are perceived by I'm sure not only myself but others you may have "reminded" time and time again. Yes, you must be better than I am and have never been in my position ever, so therefore you must be perfect. And finally, yes Chugs102, I am working my rear off to pay off these outrageous loans as fast as I can. I thought completely paying off CashCall's $2510 + interest loan in 5 total payments was pretty awesome for me, but according to you, I guess not, I failed again in your eyes.

 

I am only 1 person in a 1 parent, 2 teenagers household, which I am sure that is something that you have NO IDEA about. You should be receiving Child Support from their father you say/think? You can't squeeze blood out of a turnip from someone who is serving a life sentence in a state prison! So thank you once again for the reminder of what I have on my plate, how imperfect I am, how wildly insane some of my choices I had to make to survive were, how horrible my credit still is, and failing to recognize just how far I have come. Is there anything else you would like to add to this? Please feel free to Direct Message me.

[chugs102]

To Chugs102:

 

First of all, Thank you for your reminders, they are doing awesome for ones self esteem and self worth while trying to survive. I opened this thread in regards to ONE SPECIFIC COMPANY, CashCall. Thank you for reminding me not once but TWICE today about that NETCredit loan that is at 246%. Sadly, in the end that NetCredit loan is $5200 less interest for total pay off amount vs CashCall (Ending Payoff for the entire duration of the loan with NetCredit is $7800 vs CashCall's was over $13000).

 

Unfortunately it is people like you that shy people like me away from posting anything to these boards, YES I know what I have on my plate, I NEVER DENIED IT, but the constant badgering reminder isn't necessary. Sorry that I didn't have a high enough credit score to get a traditional loan through a bank/CU at the time. Sorry that I still don't have a perfect record like yourself, which is how you are perceived by I'm sure not only myself but others you may have "reminded" time and time again. Yes, you must be better than I am and have never been in my position ever, so therefore you must be perfect. And finally, yes Chugs102, I am working my rear off to pay off these outrageous loans as fast as I can. I thought completely paying off CashCall's $2510 + interest loan in 5 total payments was pretty awesome for me, but according to you, I guess not, I failed again in your eyes.

 

I am only 1 person in a 1 parent, 2 teenagers household, which I am sure that is something that you have NO IDEA about. You should be receiving Child Support from their father you say/think? You can't squeeze blood out of a turnip from someone who is serving a life sentence in a state prison! So thank you once again for the reminder of what I have on my plate, how imperfect I am, how wildly insane some of my choices I had to make to survive were, how horrible my credit still is, and failing to recognize just how far I have come. Is there anything else you would like to add to this? Please feel free to Direct Message me.

 

Ranting at me about your personal problems won't resolve your issues. I never directed any negative remarks towards you.

 

You're rather quick to assume things about me. Yes, I have great credit now but at one point, I struggled with a failed business, reckless credit utilization at a young age and had to file BK7. I'm still ashamed of that to this day.

 

I'm not here to berate people. I only frequent this board to "pay it forward" for some of the tips that I've received and help newbies avoid the pitfalls of credit.

 

I wanted to redirect you from credit disputes, get you to focus on paying off the HIGHEST interest debts first and stop flushing money down the toilet. I don't know how CashCall has a higher pay off amount as you previously did not divulge that. All I know is simple arithmetic of 246% APR >> 135%.

 

Anyway, I'll avoid your threads from this point forward.

[aktanaka]

(edited)

 

I wanted to redirect you from credit disputes, get you to focus on paying off the HIGHEST interest debts first and stop flushing money down the toilet. I don't know how CashCall has a higher pay off amount as you previously did not divulge that. All I know is simple arithmetic of 246% APR >> 135%.

 

 

 

Had you said it that way, chugs102, it would have been taken very VERY differently, rather than the way that you had originally put it.

 

Thank you for shedding light into this, and in looking into it, CashCall's finance charge was $11,402.37 (total payments would have been $13,927.37 for the entire duration of the loan which was 47 payments), where NetCredits Finance Charge is $5,268.41 (total payments on 3/27/15 would end up costing me $7,878.41 and 28 payments). That is where I can assume the HUGE difference was. Dollar Loan Center is similar to NetCredit's but with about 118% APR (I dont have the docs in front of me and they aren't on their website either. I can update that as soon as I get home if you would like)

 

No need to avoid threads, clarification is all that was needed. I apologize if I offended you in my remarks.

[credithunting]

What about your other $2700 debt to NETcredit at 246% interest?

 

This should have been paid off first.

246% interest who owns this company the MOB.. loansharking.com that is ..Usury

Edited April 16, 2014 by credithunting

[nysbadmk8]

 

What about your other $2700 debt to NETcredit at 246% interest?

 

This should have been paid off first.

246% interest who owns this company the MOB.. loansharking.com that is ..Usury

 

 

 

Those In need will pay anything.

 

Ive never heard of such a thing as 246% Interest.. I would take a loan from a loan shark to pay that off first.. Holy dam

 

To the Op- Glad you got cashcall done with. Time to slay your next dragon.

[JunkBuyersWorstNightmare]

 

 

What about your other $2700 debt to NETcredit at 246% interest?

 

This should have been paid off first.

246% interest who owns this company the MOB.. loansharking.com that is ..Usury

 

 

 

Those In need will pay anything.

 

Ive never heard of such a thing as 246% Interest.. I would take a loan from a loan shark to pay that off first.. Holy dam

 

To the Op- Glad you got cashcall done with. Time to slay your next dragon.

 

 

 

Back around 2009, right before my BK, when I was living in Chicago and desperate, I called around to a few of the payday loan places in my part of town. Some of them had APRs in excess of 800%.

[nysbadmk8]

 

 

 

What about your other $2700 debt to NETcredit at 246% interest?

 

This should have been paid off first.

246% interest who owns this company the MOB.. loansharking.com that is ..Usury

 

Those In need will pay anything.

 

Ive never heard of such a thing as 246% Interest.. I would take a loan from a loan shark to pay that off first.. Holy dam

 

To the Op- Glad you got cashcall done with. Time to slay your next dragon.

 

Back around 2009, right before my BK, when I was living in Chicago and desperate, I called around to a few of the payday loan places in my part of town. Some of them had APRs in excess of 800%.

That's mind blowing

 

Sent from my SCH-I545 using Tapatalk

[JunkBuyersWorstNightmare]

 

 

 

 

What about your other $2700 debt to NETcredit at 246% interest?

 

This should have been paid off first.

246% interest who owns this company the MOB.. loansharking.com that is ..Usury

 

Those In need will pay anything.

 

Ive never heard of such a thing as 246% Interest.. I would take a loan from a loan shark to pay that off first.. Holy dam

 

To the Op- Glad you got cashcall done with. Time to slay your next dragon.

 

Back around 2009, right before my BK, when I was living in Chicago and desperate, I called around to a few of the payday loan places in my part of town. Some of them had APRs in excess of 800%.

That's mind blowing

 

Sent from my SCH-I545 using Tapatalk

 

 

I thought so. Never took them up on it.

[funkiehouse]

Wow...

[evapor8ted]

Don't pay cashcall one dime! Scammers. The loans have been invalidated in most states. Have the check stopped.

[funkiehouse]

Don't pay cashcall one dime! Scammers. The loans have been invalidated in most states. Have the check stopped.

 

Is there any link to material the OP can read about this?

[shifter]

That is where I can assume the HUGE difference was.

I would recommend researching compound interest until you really, really understand it.

 

the way a lot of these places get you is they don't talk about interest. they keep the terms in dollars that is simpler an deceive you into thinking 5200 is less than 11k, so it's a better deal.

 

but the truth is the 5200 was over 12 months and the 11k was over 4 years. unless the one has fees that are payable regardless of the timeframe you pay it off, paying on the higher interest is always going to save you money.

 

the other reason you need to research compound interest is so you never take these loans out in the future. ever, ever, ever. even 20-30% interest on a credit card will relegate you to the poor house forever. you can never get ahead no matter how hard you work. everything extra always goes to them.