Can I be arrested for not being able to payback a payday loan?
I received a call today from someone and she told me that I had to payback two payday loans that I took out. She told me that if I didn’t pay them back today that it will handed over for a judgement and that I would be arrested at my job. She also told me that you can only get a online payday once and that it was the government that loaned me the money. When I asked her would I be arrested she would never say those words all she wold say is that there will be a disturbance at my job. Is this true? I also checked my loan documents and nowhere did it say that I there was a limit to how many loans you can take out. I think she was just saying those things to scare me but I don’t know because I would be very embarrased if I was arrested at my job.
Tags: arrested, being, able, Payday, paybackRelated posts:
- I need a guaranteed personal loan for people with bad credit. Not a payday loan either, any suggestions?
- How do I find out if a Payday loan company is using illegal practices?
- Online Payday Loan Scam, Again “Cooper Law Firm”…another voicemail.
- 2 weeks late on a payday loan and they said they are contacting my payroll dept?
- Can I be prosecuted in the state of Arizona for an unpaid payday loan?
Thankfully, there is no such thing as debtor’s prison. You may want to take a look at the following resources to know your rights under the law.
No thy can’t come to your job and arrest you for that, geez, tell them you wish to make payment arrangements , put it in writing send it certified, if they decline then tough for them, you offered to pay they did not want it, even if you pay $1.00 a week you are making an effort to pay , they want it all NOW! yes you are obligated to pay it back.
I doubt it but they can hurt your credit rating.
You won’t be arrested, but you will be served with a warrant by an official of the court (Sheriff) to appear in court and it could happen at work. The payday lender can garnish your wages or place a lien against anything you own if you don’t pay the money back. If you go to court, you will have to show that you don’t owe the money. If you can’t, or if you don’t show up, there will be a judgement entered against you that will exist on your record until it is paid. Interest is charged by the court, so the longer you take to pay it back, the higher the balance is going to be. The judgement can keep you from ever getting another loan, to buy a car or a house, for instance.
Try to contact the company and make arrangements to pay the loans back at an amount your can afford. And don’t take out any other payday-type loans. They’re a bad deal.
I am going through the exact same thing. They were also mad at me for taking out 2 loans at the same location. They are the ones who gave the loans. Why are they mad at me? They cannot take you to jail over a loan. You need to set up a payment agreement that will work for you and not them. As long as you are paying on it on time then you should be OK. If you don’t pay they could garnish you check when you get paid. Also if they feel that you aren’t paying them enough each month; they could garnish your check. Good Luck
They can file a claim at the police department for a bad check, signed a check when you took the loan or made a debit payment online. Yes it is called fraud. If you read the newspapers people are arrested and taken to court for cashing bad checks, or insufficient funds. Read the fine points in the contract you took for those loans, and that you signed. Happens all the time. Yes you can be charged, yes you can be arrested, yes you can be made to pay the charges, and additional penalty charges, court costs, etc.It is called theft.
Yes, technically, I think they could arrest you, but it’s doubtful - they will probably take other measures first. They probably would come to your work and make a big fuss and embarrass you as much as possible. That’s the whole purpose of collections - to make the debtor’s life so uncomfortable that they will do anything to pay off the debt and be left alone.
If you have the money, pay off the loans pronto and save yourself the grief. If you don’t have the money, then call them back and ask to set up a mutually agreeable payment schedule, so you can show them that you are trying your best to pay the money back, even if it’s just a few bucks each week.
The collector is in direct violation of the Fair Debt Collections Practices Act. They are not allowed to threaten actions they can’t actually take. Even if you could be arrested for failing to pay (you can’t), the collector could not be sure where you would be arrested. Stating that the government made the loan was another lie. The don’t do payday loans or anything that could be mistaken for one.
You are correct that every word out of her mouth was designed to scare you. There is no such thing as ‘handing the account over to judgment’. IF they sue, the court issues a judgment. That is simply a formal statement that you owe that money. Once that have a judgment, they can begin attempting to garnish wages or bank accounts. That said, the won’t sue. If they were going to sue, they wouldn’t threaten you, they would just sue.
One of the fastest ways to get cash with bad credit, and little hassle, would be with a payday loan. Yes they have terrible interest rates but they are taking a risk. This site offers more details about the payday loans as well as various sites offering the loans, many without even a credit check. Do your homework. Best starting point is here:
http://loan.deal4-you.com
Good luck.