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How does one get out of this never-ending cycle, without going to jail?? for being in default which can usually result in a bounced check, NSF fees, and possible prosecution by the legal system if you are unable to work out a plan to pay( if they are not willing?) I know a lot of senior citizens that are over their heads in this cycle of debt, and flipping the loans to repay another.
It's banned in most states I understand except for a few.
Anyone know any legal recourse to prevent being prosecuted? I know someone who had to stop payment on a check and they were arrested, and also they closed their bank account and the same happened. it started out with a hardship that anyone could have and turned into a nightmare; She's on a fixed income and cannot afford not to borrow (flip) just to pay the principle. What is the best way out of this ?
Thanks for any suggestion
Location: Georgia, on the Florida line, right above Tallahassee
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Get a consolidation loan from a bank....or...........
If your credt rating is so low than you can't get a bank loan...then....
Get a credit card. Pull the maximum amount of cash out from an ATM. This cash payment will be loaned at about 30 percent interest. Which is better interest than a payday loan.
Pay the payday loan off, or as much as you can. Then pay off the payday loan. (Pay off the higher interest loans first.) You might want to get a BUNCH of credit cards, and withdraw the max amount of cash you can, and totally pay off the payday loans. Then pay off the credit cards.
I know, it sounds stupid, but it works. Yes, the rates on the cards are INSANE - 30 percent - (to me), yet they are MUCH better than the rates of a payday loan.
Of course, you have to have the will to not use payday loans again, otherwise...they are just gonna dig the hole even deeper.
As a last resort, there's always bankruptcy.... or
Maybe they can borrow money from family or friends...if they trust you to pay them back.....
I agree with 70ford...borrow money to pay off the payday loan, even if there is a high interest rate, because it'll still be cheaper than a payday loan. Those loans are awful and should be completely illegal, IMO. Preys on the poor and weak.
Easy. Simply get an additional job or TWO. A part time job might be enough. And you'll be so tired you won't feel like going into stores and blowing your money on junk you don't really need.
And cut out unnecessary monthly expenses in your life. If you're paying $100 a month on cable TV then cut it down to $50 a month. If you choose to spend a lot more time working, you won't have much time to watch TV, anyway.
Easy. Simply get an additional job or TWO. A part time job might be enough. And you'll be so tired you won't feel like going into stores and blowing your money on junk you don't really need.
And cut out unnecessary monthly expenses in your life. If you're paying $100 a month on cable TV then cut it down to $50 a month. If you choose to spend a lot more time working, you won't have much time to watch TV, anyway.
The OP suggested that the person that I'm referring to are senior citizens that are disabled......sooooooooooooooooo, How do they get a job
thanks
... there is only one way to get out of this cycle.
Pay off a little at a time. This week, you take out $800, 2 weeks from now, $750, 2 weeks from that, $700.
You have to pay them off in increments, or you won't pay them off at all.
Or, declare bankruptcy. Keep in mind, you cannot take out a loan with "the intention to declare bankruptcy on that loan," or your bank. can be thrown out.
This of business is legallized loan sharking, and it is disgusting. I worked for a pay day advance place, never took a loan out (thankfully!!). The owner made $80K / month AFTER all business expenses. It is a sick business.
they shouldnt be illegal at all
if they weren't a huge credit risk or did more research the people who could take them could get a lower rate
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