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being sent to litigation for old payday loan

Posted on: 11th Aug, 2011 07:09 pm
I took out a payday loan back in the summer of 2005 and moved many times since then my account was closed not on purpose but due to negative balance, and I just got a phone call today stating that they are sending me to court and I will have to pay a lot of fees I am not working, and am trying to get on disability I have been paying off some of my bills but it is taking me a long time to do so what should I do? I am in a sad state right now and they wont work with me on repayment they want all the money now by tomorrow :( thanks in advance for any help you can give me
Hi Missy!

Welcome to forums!

Has the original payday lender called you or is it a collection agency who is contacting you? If a collection agency is contacting you, then you should contact them and ask them to validate the debt.

However, if the original payday lender is contacting you, then you should contact him and inform him about your financial situation and ask him to offer you a payment plan to pay off the debts. You should also check out the SOL for such debts in your state. If the SOL is over, then they cannot take any legal actions against you.

Feel free to ask if you've further queries.

Sussane
Posted on: 11th Aug, 2011 10:20 pm
Hi Sussane,

Actually it is a collection agency, and I did look up the SOL here for my state and it is 6 years it is now year 7 but apparently they said they are going to take me to court for fraud saying that I closed my checking account on purpose I am not sure what to do at this point I think it might be a scare tactic but I have no idea. I tried to see if they can let me make payments but they said it has to be all or nothing sounds strange to me.

thanks for your help,
Melissa
Posted on: 12th Aug, 2011 06:52 pm
Hi Missy,

As the SOL is up, they can't take any legal actions against you. Moreover, if they harass you much, ask them to validate the debt. If they are unable to validate the debt, then send them a cease and desist letter and ask them to stop contacting you any further.

Thanks
Posted on: 12th Aug, 2011 09:20 pm
Hi James,

Thank you so much for your help. I am so glad I am apart of this great community or I wouldn't know what else to do thank you both for your help! :D have a great night
Posted on: 12th Aug, 2011 09:42 pm
well it seems I cant count it has been 6 years and maybe a few months do you think I still have a chance to prove they are past the sol here in my state and also in AZ? Or should I prepares to plead not being able to pay back the payday loan? It is true I just was not able to repay the payday loan :(
Posted on: 13th Aug, 2011 10:10 am
Hi Missy!

Welcome to forums!

For any written debt, the SOL period in Arizona is 6 years. As you're saying that 6 years have already passed, it means that the SOL period is over. Thus, the lender won't be able to file a lawsuit against you. However, he may keep on contacting you for payments.

Feel free to ask if you've further queries.

Sussane
Posted on: 14th Aug, 2011 10:21 pm
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