If you a frequenter of payday loans, you've probably pondered this question: can I be arrested for default on payday loan? The simple answer, no. There is no law that allows you to be arrested for not paying off payday loan debt. In fact, agreeing to the Fair Debt Collections Practices Act (Fdcpa), it is Illegal for a lending practice to threaten a man with the possibility of being arrested for non-payment of a debt.
No matter how many threats you receive about being arrested or charged with a crime, it's not going to happen, period. If a man could be arrested for defaulting on a payday loan, the court systems would be twice, if not 3 times, as jam packed as they are now. Luckily though, that is not the case, so stop worrying about being arrested for defaulting on a payday loan!
Payday
Unfortunately, that is but one worry out of the way; there are many others lining up the longer you continue to avoid reimbursement on your payday loan.
What type of worries are there? Well, the rapid increase of fees & penalties for one. The longer it takes for you to pay off the debt, the more fees and interest that will accrue. These additional fees and interest are going to increase as time goes on, development it exponentially more difficult to pay off the payday cash develop loan.
Aside from the additional fees, there is also the matter of your reputation score, which will begin steadily declining as the cash develop loan remains unpaid. The larger the loan and the longer the debt remains, the harder the hit will be to your reputation rating. If the cycle continues and you are continually late with your payday loan payments (or if you don't pay them at all), your reputation score will be in the toilet within just a few months time.
Payday Cash progress - Can I Be Arrested For Default on Payday Loan?
No comments:
Post a Comment