10 Things to Know When Payday Loan Lender Debt
Payday loan lenders online are not going to interfere with your credit report. No hard inquiries, the loan not reported as debt while it in term, no late payment negatives will be added to your credit history to lower your score. Payday loan lenders offer no credit check loans, as long as you keep making payments on the loan. Once the account has been sold off to collections, your debt will be reported to the credit bureaus. If you want to keep your credit score from being affected by a transaction with a payday loan lender, you can a) not get a loan or b) don’t default on the payoff.
Once your loan has gone to a collection’s agency, you will be dealing with professional collectors rather than professional lenders. They mean business, it is their business, and they will get up all in your business.
There is the Fair Debt Collections Act which regulates collections. By no means may a collector use any threats or harass you during the process. If you feel like your rights have been violated, you will want to contact the Attorney General.
Not all collections agencies have people who make these violations, but since is all they do all day long is collect debt, it sure could seem like they are harassing you. Find out your rights if you have collectors contacting you.
Understand a bit more about debt collectors so you will know how their system works. Learn to deal with the collectors the right way.
*Most often, when a message is left on your phone, it is a made up person. When you call back and ask for that person, you will be told that he/she is out to lunch or out of the office and a real collector will try to help you.
*Asking for a manager will not get you better service. You are better off hanging up and calling back to talk to another collector.
*Calling your work is a great way to get people to pay up fast. They will only stop if you specifically tell them not to call. No one is going to tell you, you just have to know it.
*If you do decide to “settle” your debt, the collector is eager to take your information in a “applications style form.” There is no form, but the collector will seem like they are bored filling out a form, as they take all your information down just in case the settlement falls through.
*They won’t let you know if the debt has passed the state’s statute of limitations. If you make any kind of payment of acknowledge the debt, the clock will start over for them.
*When a collector says they are “getting a manager” often times it is another collector being the “bad cop”.
*Agencies often times by debt for pennies the cost, so if an offer you make is not agreed upon, ask the collector what they may offer as a settlement price.
*A collector has the power to wipe out potentially thousands of dollars of debt with a one-time settlement rate. So be polite if you want to work with them.
*Top collectors often times get big monthly bonuses. The more they collect, the bigger the bonus. It is an incentive to keep after you for a payment.
*Your story is one of many, aka HLS (hard luck story) your account will be HLS noted, but won’t stop the calls or emails.