An aggressive lawyer, like Matthew McConaughey in The Lincoln Lawyer,” might think he has the upper hand in debt collection, but you have rights. If the borrower is unable to pay at the stipulated time, the person only has to get in touch with the payday lenders, who will go back to the drawing table with the borrower and draft a new agreement. When an FCA regulated credit provider assesses your application, they will almost always check your credit score.
To process a payday loan request, the payday lender will ask for the customer’s name, address, social security number, driver’s license or other state-issued I.D., amount of the loan requested, the number on the check that will be used to here cover the payday loan, and the date of the requested payday loan.
Applying for a loan with Mr. Payday is easy and fast. In many states that permit payday lending, the cost of the loan, fees , and the maximum loan amount are capped. And, when smack dab in the middle of the perfect storm of bad credit, no savings, and looming due dates, payday loans can seem like a convenient solution.
Please note, lenders may vary in what they charge for the above fees. Debts in collection could hurt your credit scores. Secured loans are guaranteed against one of the borrower’s assets, like a car or boat. Having a higher interest rate means you’ll pay more money over the life of the loan, as well as larger monthly payments.
The judge then enters a summary judgment, and the court can begin to collect the money you owe on behalf of the collections agency. And that’s what payday lenders are counting on. But you’ll only have two weeks (or less) to pay the lender back $575 plus any additional finance charges or processing fees they choose to add on.