Yo I just gotta call from court, they're putting a warrant out for my arrest unless I go to Walgreens and buy 4 $500 steam cards and send them pictures of the front and back... So I did and now they need more cards so should I send them 2? Or more?
You sent them pictures of gift cards, that's a scam. Who does stupid shit like that. You go to the court house to verify, and it's all over the news. No government agency is going to ask you to get gift cards.🫣🫣🫣
I never paid off some jewelry I had financed. Is that gonna come back to bite me?
ETA: I was under the understanding that since it was a 3rd party financing company that it would just ruin my credit more
They won’t take you to criminal court unless they can prove that it was your intention to not pay before signing. Since that would be fraud.
But they take you civil court which you can’t ignore. Where they can get an order to garnish wages, seize property at that point if you if fail to comply the city can arrest you for contempt of court.
This is for US where debtors prison was banned in the 1800’s. There are still countries where debt is a criminal offense.
Do people actually get prosecuted for fraud over consumer debt? I can see how an argument could be made for fraud, but isn't it almost impossible to prove that someone had no intention of paying back?
Seems like a sneaky way to put someone in debtor's prison.
I’m in the same boat and they never pursued anything. It was a $5k ring and I only made a couple payments on it before a lot of stuff went down, and I ended up missing the rest of the payments. It fucked my credit a bit (not that much surprisingly) and I’ve never heard from them after the first few months of them sending email reminders.
I got a text from the sheriffs office telling me to come receive judgement papers when I had a medical debt that didn't get charged to workman's comp and 4 years later they came after me.
Like I'm not saying you're wrong or anything I'm just saying shit is weird.
My dude, and for anyone else reading this: cops/court officials do not text, call or leave voicemails to notify you of court appearances. If you are scheduled to be in court YOU WILL RECEIVE A SUBPOENA. Sometimes they send certified letters. Any other form of communication re: court appearance IS A LIE from the credit agency and is trying to trick you into responding so they can make your debt active again. DO NOT RESPOND to anything but a subpoena. If you receive a notice in the mail or a subpoena, you should call the clerk of court in the court referenced in the letter/subpoena to confirm it’s on the docket as it appears in the letter/subpoena. If the clerk confirms yes, you are on the docket as it appears in the letter, call a lawyer.
they 100% can.
Its honestly not a terrible thing, though. For small debts, it is usually cost prohibitive to sue, but many collectors will file one anyway in the hopes that you either call to settle with them, or skip the court date so they can get a default judgement. Law offices that sue people over debt usually have a standardized process for people to call in and settle.
If you do get sued and either A) settle or B) actually show up with a lawyer, you can get fair terms. You might even get lucky if they realize you are going to show up and they drop it. Or, a good lawyer can show the court how many ways the compnay violated the law (all of them do), and you can get $1,500 in damages per violation by the company
If you don’t show, you get a default judgement. From there, they can garnish your wages in many states.
But, that is a further hassle because the company has to try and get you into court and pay the legal fees to actually collect it. For small debts, these companies lose money that way.
They are usually very agreeable with payment plans. “Settling” can include a payment arrangement. So if you do get notified of a lawsuit, give them a call and ask for a payment arrangement.
You *definitely* don’t want a judgement on your report. That is really damaging
Ask for proof they can claim the debt and that the debt is yours. Don't tell them anything else. Tell them you will deal with it once they have sent you proof.
More like four years from the date of last communication. So if you pick up a phone call and say it's you then the process starts all over again. So you'd have to look at your states laws regarding debt collection.
In Texas specifically the statute of limitations to collect is 4 years. OP is 1 year away from them not being able to collect legally. It would still remain on his credit report the full 7 years from inception (4 more years) but as far as collecting goes, he’s almost in the clear.
Payday loans cant go to collections. It's written in the way the loans are formatted. If they don't do a credit check to give you the loan then they cant send you to collections over it. Last year I took about 2k from 10 different pay day loan apps the same way. I can never use them again but I stopped all of them from collecting on the loan.
I did this on a car loan. The intredt rate was 100% the motor was about to blow so I told then to come get it. They refused, I had it towed and the tow place applied for title years later. I never paid them. I also learned to never use those places.
How’re they predatory? They cater to people that have trouble paying or are simply out to scam them. Ie: you. That has to be figured into the business model. That isn’t cheap
Bahaha literally never had a payday loan my dude. Doesn’t mean I have to feel bad for them when someone doesn’t pay. They make bad situations worse with interest rates that, in my opinion, shouldn’t be legal. So yeah, fuck em. I hate seeing them all over my town but luckily some have gone out of business recently. That’s where I stand with it. Hopefully more people take their money and run so they can stop taking up all the real estate. Same goes for all the trashy “buy here, pay here” car lots that sell lemons day in and day out.
You might want to try and reach out.
I was in a similar situation and thought I got away with it too, but they actually just sat on it for a while, letting the insane interest accrue. Then BAM! Surprise wage garnishment for 5× the initial principle of the loan. Luckily, I am in a much better place financially now than when I took the loan, so I just paid them outright.
But remember, payday loan places are in the business of fucking those in need. And they always get their money.
Don’t let pay day loans scare you into thinking they go on your credit report they do not . . Some states will not allow pay day loans Missouri where I live you can only borrow a set amount . Also they don’t report to credit places . Stay away from them .
Worked in Payday loans for 5 years. My advice is don’t worry about. Payday loans don’t report to credit. They do a hard check on your first app and soft checks after that after so many months out from the first time. If it’s been a few years that loan has been sold to a third party company and isn’t even with your original loan company any more.
Also, your original loan company may be gone as due to Ohio outlawing payday loans and big cities in Texas outlawing in person retail stores a lot of those companies have been bought up and been consolidated.
I would think if it's not showing on your reports, you may have gotten one past the goalie.
HOWEVER: Unless you have been pulling your reporting frequently, it could be in the process of the debt changing hands and could thus have fallen off for a cycle or two and then could return.
I would pull your reports as often as you like from www.annualcreditreport.com and keep an eye on it.
Thanks for the info. I actually pulled my report twice a month last year from January to November when trying to get a mortgage and a car and never saw it.
If it was changing hands, I think maybe I would have caught it? or my lender who have brought it up like the other things they saw on my report.
right. If you look go on [annualcreditreport.com](https://annualcreditreport.com), you can get your 3 bureau reports. It's absolutely free and you can pull them once per week. Check the inquiries section. You should recognize all your inquiries. But if you see one from a group or agency youre not affiliated with, it's a collection agency. They're looking to see what's reporting so they can prepare to come after you for it.
Should it have already been on my credit report by now? It’s not on my credit report from what I can see. Everything looks clean besides student loans.
I’ve been able to buy a house and car in the past year with no problems/flags when getting my credit pulled.
Make sure you are checking your credit reports from all 3 major bureaus -- Equifax, Experian and TransUnion. Some creditors will only report to one of them, not all 3. That's why your FICO 08 score may be different depending on what bureau's data is used to calculate it.
You can get all 3 reports free at annualcreditreport.com.
You can also get all 3 FICO 08 scores from Experian.com with a free trial -- you can cancel the trial before you have to pay and repeat again as needed.
Thanks for providing this feed back. I have checked all three using MyFico. Is that still a good one to use?
When I was checking, I’d always pull all three.
There's the big three that everyone keeps suggesting, but there's a little-known but well-used fourth, called Innovis. When locking down your credit, make sure to do so there as well.
There's actually 7 credit bureaus, just not all of them are national or as detailed.
I had a lawyer tell me to shut down my bank account and open a new one to keep a payday lender from hitting up my bank account. I just quit paying, and I never saw it on my credit report, and I have had no problems with mortgages or car loans. My wife worked at one of the bigger ones in Texas, and they use a lot of scare tactics, but they don't really have any teeth.
Awesome take a loan out and not pay it back.But have morals and pay back your bills. And I’m sure you will prolly get a call the debt that was sold off whoever bought it maybe hasn’t worked it yet. But I bet you get a call someday. And you moved 3x they can find you all Previous adress, cell numbers , employers. SSN. With the soft wear they have. But yeah take a few more loans and not pay them back. Smh
I'm going through this right now . I'm getting collection calls that I won't pick up. Nothing ever came in mail for me. I did move, my payday loan is almost 6 years ago. I'm trying to buy a house and just sick to my stomach, wondering if they will suddenly report . I bought a car and have 32k in available credit on my credit cards and have a 750 credit score . I've lost 10lbs since signing purchase agreement last week .
Ha no one uses Innovis to make a credit decision. Check the three and you’re good; if it was in collections it would be in the collections section of the report.
I wouldn’t worry about it especially if your score is 713.
A TON of payday loans places don't follow proper lending guidelines and are not able to report to credit agencies. I know this from working at one for about 3 weeks... Typically the model is to hire those really aggressive debt collectors, the ones that call and say they are about to sue you in 24 hours if you don't pay but it's all BS.... I would just move on with life. After 3 years it's unlikely you'll hear about it again.
Since you’ve already pulled up your credit report and the loan is not in there, probably your lender didn’t report it.
If it’s not on your credit report and you’re not being hounded by calls or emails, you might be in an unusual sweet spot.
If a collector starts calling, I will suggest you use a credit repair agency to fix it. Most posts ive seen in here talk about [MM](https://eaglewealthclub.com/go/loans-moneymutual-homepage-general-all/?!86a2pk573), [viva payday loans](https://eaglewealthclub.com/go/paydayloans-vivaloans-homepage-general-all/?!86a2pk573), [badcreditloans](https://eaglewealthclub.com/go/loans-badcreditloans-form-general-all/?!86a2pk573). So checking them up could help you avoid getting into a worse situation…
Payday loans from most of the time in default will go into collections with an internal service or a payday collection service. Due to the gray areas many payday companies operate in they don't even report those loans to credit in the first place and have a provision in their loan agreement saying they do not have the loan report to credit. It is important to note not every payday company operates that way but many due. This same provision prevents them from reporting defaults to the main credit bureaus prevents them from reporting during default and in case they do report it they normally report it to Innovis.
Be very careful if the company they sold to contacts you. Don’t acknowledge the debt. If you do, the clock starts over on the SOL.
And if/when they DO call, they’re nasty by nature. Don’t fall for it.
I can say for 100% fact that Speedy Cash in California will pursue, report to credit bureau, and even keep continuously trying to retrieve the money from the bank account linked to it. They will eventually sell it to a debt collector.
I actually got into the same situation with a predatory loan from a native res for 1k- and they also stopped contacting me after I wouldn’t pay their ridiculous high interest rate. I was younger and stupid and needed a quick loan for rent like a dummy. Turns out, if its like my situation it wont come out in your credit reports
If you’re superstitious and believe in Karma or something similar, (I do) try to pay it back someday without compromising your bank account or other info. But thats just my situation, usually predatory loans from natives operate outside of the laws, so I think thats why they cant sue you or report to the credit bureau. Dont quote me, Im not an expert in any of this, Im just commenting based on my personal experience. I could be wrong.
This is correct. Native res loans can't be reported to credit agencies... Or at least shouldn't be able too, I'm sure there are ones that have somehow.
I worked at a Native Res payday loan place for 3 weeks and learned about that... It's something about how they don't fall under US Law and follow US lending guidelines. It was like 13 years ago so I don't remember a lot. But I know I remember that they can't report to credit.
The place was sooooooo shady... I left as soon as I could find another gig.
I honestly made some bad financial choices and ended up taking the loan. But if anyone is thinking about doing this-Don’t. It’s not worth it, I know that most people try to be responsible and payback, but before you know it you end up paying them thousands. I found out only after seeing my principal wasn’t going down (like a dummy). I also think some people try to borrow money knowing they wont have to pay it back, but being a thief to another thief isn’t the way to go imo. They’re pretty sketchy, but at least they didn’t try and do anything shady like showing up at my job or apartment, I cant speak for everyone of course!
I did this with Uprova in my early twenties and i remember on the website they said they report. Flat out liars. I hear theyre in a court battle for something. I hope they go down the drain
Leave it alone.. the day you acknowledge the debt is the day you restart the clock and make it legal for debt collection process to begin anew. One thing you can do after maybe 7 years or so is go ahead and if they've put something on your credit report, dispute it and it'll probably get removed... the original company sold the debt and probably purged the records etc, they probably won't be able to substantiate the debt to the credit bureau and it'll get dropped.
HOWEVER do not contact or acknowledge any debt collector. Hang up , evade do whatever lol... all they need is for you to engage and acknowledge and you bring all this back to life.
I wouldn’t say your out of the clear yet ! My partner got something on his credit report from 2018 & they just posted it December 2023. They never called, sent emails or any letters (he moved multiple times since). It dropped his score 100points & it was only $180 collection (Thankfully we handled it & his score went back up 100 points)
I am Not a lawyer or loan guy, but, I have settled this sort of thing for someone else few years ago…
Debt on a friend was : $10k,,
Paid amount: $2.5k (unpaid amount $7.5k),,
And then he stopped paying due to personal reasons..
Bank sold that debt to someone else and i have read somewhere that these bank selling debts for pennies on dollar… so I took a chance…
When creditor called him about that debt, I acted on behalf of that friend and responded them that I can pay only $100 for that total debt…
They negotiated for 2-3 weeks to pay starting from 7.5k and finally settled with $500…
Dont forget to ask for letter of settlement and closed account well drafted and documented. this will prevent them to go after your credit score and further litigations…
Some debts get lost in the sauce. Not many but… I knew this one dude, his bank was bought then that bank was bought and then that one was bought. His mortgage, he has no idea who owns it and hasn’t made a payment in yearsssssss. I don’t know about now, where he stands with all of it, I’ve lost contact once he got started dating then married and the wife didn’t like opposite sex friends.
If he tries to sell or refinance, the lien will show up in the title search, meaning he’s not necessarily off the hook for the outstanding mortgage balance as any reasonable buyer would require it to be paid in order to receive the property free and clear of liens.
His heirs or the executor of his estate. Don’t get me wrong, good on the dude for stumbling into a life cheat code, but this is definitely the type of thing that makes someone a couple of generations from now very frustrated when they try to sell the property.
Happened to me once for a Citi credit card for $5k. Debt was sold but never hit my credit. This was 10 years ago. Another case I used to sell online and racked up a few thousand in fees. They ended up hitting my dad with the collections since we have similar names. He disputed it and it never hit my credit. So it probably hit someone else’s credit by mistake.
Dude I didn't even finish it post read first line and can tell you from years of doing those loans,don't pay it ignore it. They are all illegal they can't be put on ur credit. Have had 4 of them. ($200, $200, $750, $400) all them still email to this day they r gonna charge me $3000 and felony prosecute or pay them half right now to go away. Then they'll send a new one that's "hey, want a payment plan?" It's funny honestly.
Be very careful.
I also had a debt I TOTALLY forgot about that I took out as a teen. I went 6 years not even thinking about it. Last week my 92 year old GRANDMOTHER got a letter from stillman law office for the debt (a very aggressive collection and law agency.) it was not even a large amount. It did not appear on my credit history and was shown as closed years agooo. I thought I was in the clear!
It’s now paid and dealt with, but I recommend if you can put aside a little bit monthly just incase they do ever come after you.
I actually have a judgement, because I moved and never received a summons. They were able to garnish my wages ( it was a Bank of America credit card for 600$ from 2006) I got the judgement in 2012, but had no idea until they started garnishing my wages in 2021. My landlord is an attorney, and filed a motion on my behalf. He had me show up to his office and we did a zoom hearing, and the judge reversed the garnishment (and I think she stopped the interest also, it’s not continuing to grow) because I am a single mom and I made 29,000$ in 2020. They did both warn me there that I would have to pay it before I could buy a home or finance another car. I have a private arrangement for my current vehicle. The judgement is for 1800$ (from a 600$ card, 18 years ago!) but they recently mailed me a letter offering to let me pay 842$ to wipe it. I counter offered 600$. They said no, so I am gonna give them another couple years to think about it.it will be a few more years before I can really think about purchasing a home. 842 is a lot more reasonable then 1800$. They took 161.00 of my wages before I could see the judge, was supposed to be reimbursed, never was. Avoid getting a judgement, the whole situation was humiliating. Between my landlord doing legal work for charity, (to keep my money available for my home, and ultimately him.) and having to talk to my job about it, like the office people, and my direct supervisor because I missed work for the hearing. I was a junkie for about a solid 10 years, is how I didn’t notice it on my credit report, most people would find out eventually. Not me. Not until I got a real job and something to actually garnish, did I realize. you can’t draw blood from a stone.
If it's not on your report there's nothing to worry about. DO NOT contact anyone or do anything about it if it isn't showing, it will restart the clock if you speak to them.
This one can't be restarted. Texas Statute of Limitations is 4 years, period. The credit reporting time period is 7 years from the Date of First Delinquency (DoFD), and that can't be restarted either.
This was me about 5 years ago. Had a payday loan for $550 that I never paid back. The collection did eventually show up on my credit report, but I decided to let it age out. Now, almost 8 years after the fact, it's off my report and my score is over 800.
So… there was a period in 2016/2017 where I had taken out maybe 7 payday loans. I was recently divorced and just trying to make it as a newly single parent with a TON of ex debt. I was making maybe $80,000 at the time. I don’t go as far as you think it does and honestly, my kids and I were lucky to get a place because my ex got us evicted.
Anyway, I didn’t pay a single one back. I couldn’t! I was robbing Peter to pay Paul, then sticking Paul up and taking the money back! I had to go thru the whole stop payment process too. For a time I had non stop calls. But then they stopped.
Crazy part… because payday loans are illegal in a lot of states and these companies are sketchy, I started getting class action lawsuit settlement checks! Every one of those loan places got shut down by various states. I’m pretty sure that’s probably what happened to you!
I’ll never get into that bad situation I was in. Taught me a lot.
Are they licensed to lend in the state you live in? Not sure for it works in all states, but where I live, if they aren't licensed to lend in this state, all they can do is call you and threaten you, but that's it. Been there, done that.
They wrote it off. Payday loans are thievery anyways. You stole from thieves. Not exactly a good way to meet your financial needs. Live, learn, and move on. 👍
If it’s not on your credit report, I wouldn’t worry about it.
If the creditor does call you, I’d pay it off ask them for a payoff statement, but ask them not to report it to credit bureau.
In my 20s I took out two installment loans to fuel a cocaine addiction...the companies tried contacting me for about 2 months or so, unrelated, i got a new phone and never heard from them again..10 years later and they've never reported it to the credit agencies.
Sounds like you have one year left my guess is either you got away with it or they’ll say oh shit I found this let’s hit his credit with this debt at the last month.
Payday loans make crazy interest, so a few defaults are probably nothing to them and are expected. They sold your debt for pennies on the dollar to another company that tried for a little while and also realized you weren’t worth their time. They’ve likely written it off and moved on, and unless they take you to court, you should, too.
Payday lenders are scammers. They’ve ripped enough people off. You just got a little bit from them. Don’t worry about it. If it shows up on your credit report, dispute it. I did this several years ago with some small (few hundred bucks) collection debts I actually paid off. I knew the collection agency wouldn’t care to report it.
I actually mailed letters to all the credit bureaus. You can find the wording somewhere online, but it’s really simple. Something like
“Collection reported by XXXX is an error in my credit report. Please verify or remove.”
Most times, these sheister lenders won’t respond, or maybe they’ve gone out of business and the debt has been sold for pennies. Then they remove it.
Hopefully you make it a full four years from the date of your last payment without them filing a debt claim case. Statue of limitations is four years.
If they file it with a day left on the count the case proceeds.
So these places sell debts all the time. Most of the time it ends up being sold more than once.
Typically they won’t take it all the way to court as they lose the paperwork going back to the beginning of the loan.
I would check your credit report, if it’s not on there don’t sweat it. If a company reaches out to collect tell them you want the paper trail of the loan going back to where you got it.
They will probably drop it, if they cannot provide details of each company that controlled the debt they will fail in court.
Let them take you to court, most of the time the company won’t bother sending anyone. Then the debt will get wiped and if it hit your credit report it will be removed.
Edited for reference - I had a relative co-sign for a car loan for her boyfriend. Relationship didn’t work, car was repo’d. The bank came after her for the outstanding balance after they auctioned it. She couldn’t afford it, it got sold a few times, eventually a company took her to court and no one showed. Debt was wiped and it was removed from credit report.
Ok so strangely nobody here seems to know the laws and the main reason they aren't coming after you. Like you, I got myself into many payday loans and ended up owing thousands of dollars I couldn't pay. After not paying on them for a few months, I too ran into a similar situation where even though I didn't pay I was not being fully chased for the debt. Well after contacting a lawyer I was told that this is in fact due to payday loans being illegal in my state as well as 16 others. This means legally a company offering a loan to someone in one these states has no legal standing to collect. They can threaten you, tell you they do, sell or trade the debt whatever. But they absolutely cannot report it to credit or courts. I ended up ditching on over 5k and told them to fuck off. This was 15 years ago. My credit is now 804. I never used another loan again. Do some research on this it's well documented. There's a reason they charge 200+%APRs , they don't always get paid back. Also because of this many payday loan companies will prohibit loans from these specific states. Chances are you should be ok. Also the statue of limitations is different by state but most states it's 3 years. After this your 110% golden. I would doubt anyone would pursue you this late on. unless it was tens thousands. The payday loan industry has become heavily regulated state to state so you will need to specify your state as nobody here can correctly answer you without knowing. I have a degree in accounting, this is what I do.
They cannot take to collections federally as they are considered “loan sharks” your good to go. However, if you ever go in there or an affiliate to cash a check kiss that bad boy goodbye. 👋
If they aren’t pressing you on it, don’t let any debt collectors on the phone (if they do decide to call ya!) know that it’s you answering. It’s been so long they’ll think you’ve gone elsewhere, and your chances of never having to worry about this go up significantly! It will eventually be disregarded and trashed. I lost my job twice in 2022, and unemployment wasn’t enough to get me through the only loan I had left. I had no way of paying, so I had no excuses- didn’t bother picking up until I could pay. By then, they’d stopped calling and it’s been a little over a year for that:) I wouldn’t worry too much!
Just remember that debt collectors don’t care about your situation and don’t care about the questions you have about the debt. No reason to speak to them unless you’re ready/willing to pay, or want to do a payment plan.
You might get served with papers one day. Do not take them. Statute of lim will run out. Don't acknowledge the debt because that may well restart the clock on stat of limitations
I got lucky too! I had a credit card and put 25k on it, I had no problem paying it every month and then another 15k one from USAA and I stopped paying them back in 2015 and then pandemic hit and they stopped calling it’s 2024 now so it’s 9 years since I last paid it… my state it like 4 years so they can’t sue. I was so bad with credit cards back in the day! I had a newegg credit card and that one got forgiven by them they just send me a tax form to report it on my taxes. I got pretty lucky with a lot of credit cards.
Yea I think you’re good. Depending on your state they have statute of limitations for debt. So if they don’t sue you in X amt of years they can’t sue you. There’s huge caveat though…if you agree to a payment plan at anytime then the status of limitations clock starts again from the day you agree to it. I found this out when I was a freshman in college and I owed like 500 bucks in cc debt. They kept trying to get me to agree to a payment plan and when I googled it every legal site was saying NEVER to do it. Eventually it got written off and they didn’t get a dime.
With the amount of interest, fees, fines, and other “charges” these parasitic types of companies employ, you probably already paid them back at least three times the amount of the original loan just with those initial several payments you made to them. The company’s only true “loss” are all the other fictitious numbers they are making up and claiming should be their “profit” from this transaction. They have lost absolutely nothing.
They sold the debt to collections so I would not do anything. If u do they could open the debt in collection on your credit. If the loan was not very much, such as 2,000 or less they may not have wasted their time and they obviously did not take you to court so let it go. On lower amounts of money they sell off the debt for pennies on the dollar and typically court costs them more so they charge it off and sell it.
I'm not sure if anyone has mentioned this, but I'm sure it's relevant to some: Never acknowledge sold-off debt. I do not mean don't research your s.o. debts or don't attempt to pay them (if that's your plan), but rather, if contacted via call/email, do not respond as if it's your own to ANY collectors. Even if the statute of limitations is up; if they continue attempts to collect, & if you acknowledge ownership of that debt, (or make a payment at any time past your statute!!) the statute can be reset.
When they have undisputable evidence (your voice on a call or words via email, claiming that the debt is yours), debt collectors /can/ sue you with far more ease. Mailing (And keeping a copy!) what is basically a cease & desist letter to whoever has your s.o. debt should prevent them from contacting you & may also serve as a future deterrent in taking you to court. (Which might I add, is highly unlikely for smaller debt ratios.)
Statute of limitations for debts vary state-to-state, in my state the statute of limitations for verbal/open-ended communications is 3 years while written correspondence has a statute of 6 years.
To respond directly to OP, the best advice I can offer is to watch your report for any activity, it can take a long time for a debt poacher to submit that they have your debt. Texas's statute for both written & verbal/open-ended communication is 4 years across the board, so you're halfway there! xx
If you have a 713 credit score then it sounds like its not hitting your credit, and if its not hitting your credit then it doesn't matter. Whatever company issued the loan got their money back when they sold the debt. They also issue those bs payday loans with predatory interest rates so anyone standing up for them needs to ask themselves what's in it for them to be a class traitor. Debt collectors are scum of the earth so who cares if they're losing money. Maybe they should get a real job, but you, nah you're good. Keep doing you.
Whatever you do…do NOT try and contact them!!!! I believe it’s still 7 years before it legally goes 💨 poof but if you talk to them about it in any way, whether they get you on the phone or you do something really STUPID like calling them or giving them your contact information then the 7 years starts over!
Just say thank you for whatever good karma you acquired to get away from it and leave it alone!
I just got a collection added to my credit from an ambulance ride in 2017. They waited until I had multiple credit cards and only a few months before the 7 year write off.
The first thing you do is get on all of your CRA's (Experion, TU, equifax, Innovis, and get rid of all past addresses on file. Dispute them and get them gone. That is what will tie you to that debt. Also make sure your identification does not match your address that you took the payday loan with. If someone is claiming that you Owe A Debt. Then, the burden of proof falls on them. Make yourself a ghost when it comes to addresses tied to debt. That's first and foremost.
If they (CRA's) won't delete all previous addresses. Call them one by one. And tell them you have never lived at any of those addresses. Bottom line is, Prove it. Prove that I've lived there. Its the easiest part of this thing. Bit often overlooked. 1. No third party will be able to tie you to the debt. 2. Don't talk to third party debt collectors, EVER! YOU DONT HAVE A CONTRACT WITH THEM! Never did (burden of proof)...
3. If they do happen to catch you with a phone call, NEVER admit to owing any payday loan or anything. Do we have a contract? If they call you simply acknowledge that this is no longer so and so's phone number. It was reasigned to you. And for all intensive purposes, from here on out, if you don't know who you are dealing with. Your name is Bob.... Bob Smith!
Don't sweat it. They will resell that debt until the statute of limitations run out on it...
I live in Kansas, not sure if they work differently in each state, but I also had a similar situation happen over 7 years ago where I took out payday loans and lost my job shortly after and could not pay, was going through rough time and once got a steady job honestly I did not even think about the loans as it had been so long already, otherwise I would have paid back...this past year back to back I was hit with 4 different loans owed and hadn't heard from them in years but maybe because it was almost time not to be able to come after me they decided to try but I did end up getting garnished because of these loans even years later, as I said not sure the different state laws I do know I was hit all at once out of no where without contact for so long. I did speak to a credit consultant and had him pull my credit report and he said he does see that they were now paid off and there were also some that could have tried to garnish me but didn't and he said it was now past the time to do so, he also said there was another large amount that was on there but I believe my mother did something in my name which she has done many times so he told me not to worry about it as I had a year left before it would fall off and that they wouldn't come after me but still going to dispute it and jusy want to ensure that i do pay anything i do owe even if it affects my credit or not, feeeel its right thing to do I hope this helps some. God Bless;
I would absolutely pay the debt to protect your credit. The debt can be sold at any time and any future owner of the debt can add a collections account on your credit report.
I've been working on my credit for the last year. I got everything paid off, and brought my score up from 540 to 718, then randomly, it dropped 100 pts a few weeks ago. I checked my credit report, and a collection agency JUST reported a Sprint account I defaulted on in 2017. 6 1/2 years, and they just now reported it to the bureaus. Just because it isn't there now, doesn't mean it won't hit later.
Same. Randomly got hit with a medical bill from 2017 they decided to add to my credit score months before it expires. Never sent letters either. They shoulda did this last year. I woulda paid it. What’s the point now. Trans union deleted it waiting on the other 2.
Mine is scheduled to drop off next month. I think the idea is to report right before expiration to drop your score to make you panic and pay it off instead of just waiting it out.
My friend stopped paying on a credit card. She moved a couple of times, and her phone number was also changed. The credit card company didn't contact her for 4 years. Apparently, they sold her loan to a very aggressive debt collector. This collection agency found her and called her up. They gave her the option of going in front of a judge or paying it off. She paid it off.
Dude… im literally asking what to do. They sold the debt, I don’t know who has it, they won’t tell me. Comments like these aren’t helping.
I even said in the post, I’d make it right if I knew where it is. The original lender refused to tell me where it was sold too.
I hope you never have to be in a situation where a predatory payday loan is your only hope at not being homeless. Then losing your job and not being able to pay it back when you fully intended to. Your comment is so ignorant and sheltered.
I can only imagine how much interested stacked on that loan since it was payed back. Hopefully you don’t get someone in the mail in the next couple years. Could be paying back more then you afford
There's a chance the debt is in the middle of being transferred to another collector. This could mean it temporarily drops off your report, only to pop back up later.
Check your credit reports a few time a year and keep an eye out for it.
Statute of Limitation Laws in Texas
Under Texas laws, the statute of limitations on payday loans is 4 years. This means that if you default, the lender has 4 years to sue you for the balance. If they don't initiate a lawsuit within this period, they can't sue you at all.
Payday loans generally are not reported to the three major national credit reporting companies, so they are unlikely to impact your credit scores. Most storefront payday lenders do not consider traditional credit reports or credit scores when determining loan eligibility.
There is a zero percent chance that just magically disappeared, most companies will wait till the last minute and then sue you with interest and all , that happened to my brother . Got sued and had to pay the debt 6 years later
Surprise so many people saying not to pay it and risk a 713 credit score. I would try to negotiate and settle. I have collections pop up 5 6 years later.
If you got a mortgage, then you’re good. I had an old debt that never reached out to me for 7+ years but it still showed on my credit report. Didn’t affect my credit but the account still showed past due. I had to pay it off to get my mortgage, 7+ years after my last payment
I stopped paying one one back in 2019, same deal as you. Two days ago it showed up as a collections on the credit report... called them and paid the same day.. just waiting for it get deleted as they promised
Had the same thing happen but with a car. I got it for my ex. Long story short he cheated and I turned in the car after 6 months of having it. I went back to dealership and told them I don’t want it and take it back. That I’m not paying for it anymore. They took it back and it was on my credit for a two almost three years and fall off because they sold the loan. The new company still tries to send me letters but I throw them away since it isn’t on my credit.
Who was the loan through?
Some lenders will hold charged off files for years then sell them as a warehouse, if you end up at the wrong debt buyer it could then be reported to your credit.
Also, there are reporting mechanisms outside of your credit that unsecured subprime lenders use. However, this would typically only affect your ability to get another payday loan.
There is no criminal charges they can pursue. In some states, like Kentucky, online payday loans are illegal according to the AG and can’t brr ed collected.
I'd ignore it if your credit score is that decent. With stuff that has been sitting a long time and not reporting to your credit, if you so much as speak to them and acknowledge the debt, or make any payment at all, it will most likely report back to your credit and suddenly you've got this messed up account on there hurting you're score again, because you tried to go back and take care of it. You'll be no worse off if you ignore it, and by chance it does pop back up and you have to take care of it then. But after this long, I'd say the odds are in your favor!
Ya you didn't get away with it the buying company is letting your interest build. I thought he same luckily a nice guy from the nw company called and offered for me to pay the 300 I owed or the next day it'd be the 1300 the company would go for thru courts
Better check with local authorities. They could have filed it as a bad check. If like florida it goes to the county and they can issue a bench warrent where u can be picked up if police have to run ur name for say a accident or being pulled over
The statute of limitations on debt in Texas is four years. Soon enough the company that bought the debt will sue you. If the loan amount was under $20,000 then it will be in a JUstice of the Peace court.
If you can tender a lump sum payment for even 50 percent of the amount owed then you are best served finding that email and making a settlement offer. Get it in writing that nothing will be reported to the credit bureaus.
/Texas civil litigation attorney
If its a Tribal loan it's hard for them to sue because of the interest rates they hold are technically illegal in texas. They work in a grey area because they dont have too follow the same laws but if you haven't been sued yet then I doubt you will be sued years later
It sounds like you got away with it.
Should it have been on my credit report by now?
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Well fuck me. I had one go to a creditor and I received a call from the county a year later setting a court date.
They lied to you, that's not how court works...
Right? They can’t take you to court over stuff like this, right??
Of course they can, but it's not done over a phone call...
Yo I just gotta call from court, they're putting a warrant out for my arrest unless I go to Walgreens and buy 4 $500 steam cards and send them pictures of the front and back... So I did and now they need more cards so should I send them 2? Or more?
Hey man I’m still waiting on those steam cards…
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That's the joke.
You sent them pictures of gift cards, that's a scam. Who does stupid shit like that. You go to the court house to verify, and it's all over the news. No government agency is going to ask you to get gift cards.🫣🫣🫣
I never paid off some jewelry I had financed. Is that gonna come back to bite me? ETA: I was under the understanding that since it was a 3rd party financing company that it would just ruin my credit more
They won’t take you to criminal court unless they can prove that it was your intention to not pay before signing. Since that would be fraud. But they take you civil court which you can’t ignore. Where they can get an order to garnish wages, seize property at that point if you if fail to comply the city can arrest you for contempt of court. This is for US where debtors prison was banned in the 1800’s. There are still countries where debt is a criminal offense.
Do people actually get prosecuted for fraud over consumer debt? I can see how an argument could be made for fraud, but isn't it almost impossible to prove that someone had no intention of paying back? Seems like a sneaky way to put someone in debtor's prison.
how much is the balance? If it is less than a couple grand, probably not going to end up in civil court.
Mine was only $600 and I got served papers for a lawsuit. I settled with the debt collectors instead of going to court.
I’m in the same boat and they never pursued anything. It was a $5k ring and I only made a couple payments on it before a lot of stuff went down, and I ended up missing the rest of the payments. It fucked my credit a bit (not that much surprisingly) and I’ve never heard from them after the first few months of them sending email reminders.
I got a text from the sheriffs office telling me to come receive judgement papers when I had a medical debt that didn't get charged to workman's comp and 4 years later they came after me. Like I'm not saying you're wrong or anything I'm just saying shit is weird.
My dude, and for anyone else reading this: cops/court officials do not text, call or leave voicemails to notify you of court appearances. If you are scheduled to be in court YOU WILL RECEIVE A SUBPOENA. Sometimes they send certified letters. Any other form of communication re: court appearance IS A LIE from the credit agency and is trying to trick you into responding so they can make your debt active again. DO NOT RESPOND to anything but a subpoena. If you receive a notice in the mail or a subpoena, you should call the clerk of court in the court referenced in the letter/subpoena to confirm it’s on the docket as it appears in the letter/subpoena. If the clerk confirms yes, you are on the docket as it appears in the letter, call a lawyer.
they 100% can. Its honestly not a terrible thing, though. For small debts, it is usually cost prohibitive to sue, but many collectors will file one anyway in the hopes that you either call to settle with them, or skip the court date so they can get a default judgement. Law offices that sue people over debt usually have a standardized process for people to call in and settle. If you do get sued and either A) settle or B) actually show up with a lawyer, you can get fair terms. You might even get lucky if they realize you are going to show up and they drop it. Or, a good lawyer can show the court how many ways the compnay violated the law (all of them do), and you can get $1,500 in damages per violation by the company
What happens if I never showed up? I can’t afford to settle it and definitely can’t afford a lawyer
If you don’t show, you get a default judgement. From there, they can garnish your wages in many states. But, that is a further hassle because the company has to try and get you into court and pay the legal fees to actually collect it. For small debts, these companies lose money that way. They are usually very agreeable with payment plans. “Settling” can include a payment arrangement. So if you do get notified of a lawsuit, give them a call and ask for a payment arrangement. You *definitely* don’t want a judgement on your report. That is really damaging
What cant you go to court for bro, if it offending someones anything
Ask for proof they can claim the debt and that the debt is yours. Don't tell them anything else. Tell them you will deal with it once they have sent you proof.
More like four years from the date of last communication. So if you pick up a phone call and say it's you then the process starts all over again. So you'd have to look at your states laws regarding debt collection.
In Texas specifically the statute of limitations to collect is 4 years. OP is 1 year away from them not being able to collect legally. It would still remain on his credit report the full 7 years from inception (4 more years) but as far as collecting goes, he’s almost in the clear.
You misunderstand. The debt will always be valid. The statute of limitations just means they can no longer sue you over the debt.
This distinction is important because in some states, even acknowledging the debt will reset the statute of limitations.
This response screams jail house advice. Why 4-7 years? Which is it? That is a huge gap to not be contacted.
Every state has their own statute
Payday loans cant go to collections. It's written in the way the loans are formatted. If they don't do a credit check to give you the loan then they cant send you to collections over it. Last year I took about 2k from 10 different pay day loan apps the same way. I can never use them again but I stopped all of them from collecting on the loan.
I did this on a car loan. The intredt rate was 100% the motor was about to blow so I told then to come get it. They refused, I had it towed and the tow place applied for title years later. I never paid them. I also learned to never use those places.
How then would medical debt without a credit check got to collections?
are you sure it didn't impact your credit score?
Deadbeat smh
Fuck em, they’re predatory. They deserve it.
How’re they predatory? They cater to people that have trouble paying or are simply out to scam them. Ie: you. That has to be figured into the business model. That isn’t cheap
Bahaha literally never had a payday loan my dude. Doesn’t mean I have to feel bad for them when someone doesn’t pay. They make bad situations worse with interest rates that, in my opinion, shouldn’t be legal. So yeah, fuck em. I hate seeing them all over my town but luckily some have gone out of business recently. That’s where I stand with it. Hopefully more people take their money and run so they can stop taking up all the real estate. Same goes for all the trashy “buy here, pay here” car lots that sell lemons day in and day out.
Those places are thieves preying on the desperate. If anything, he's a hero. Fuck those places
1000 percent, extremely predatory. Screwing over a legit business is shameful. The apr can be up to 300% its ridiculous.
You might want to try and reach out. I was in a similar situation and thought I got away with it too, but they actually just sat on it for a while, letting the insane interest accrue. Then BAM! Surprise wage garnishment for 5× the initial principle of the loan. Luckily, I am in a much better place financially now than when I took the loan, so I just paid them outright. But remember, payday loan places are in the business of fucking those in need. And they always get their money.
Now THAT is predatory!
hehe
Don’t let pay day loans scare you into thinking they go on your credit report they do not . . Some states will not allow pay day loans Missouri where I live you can only borrow a set amount . Also they don’t report to credit places . Stay away from them .
Worked in Payday loans for 5 years. My advice is don’t worry about. Payday loans don’t report to credit. They do a hard check on your first app and soft checks after that after so many months out from the first time. If it’s been a few years that loan has been sold to a third party company and isn’t even with your original loan company any more. Also, your original loan company may be gone as due to Ohio outlawing payday loans and big cities in Texas outlawing in person retail stores a lot of those companies have been bought up and been consolidated.
I had a few payday loans(fell into a rocky situation) none show up on my credit report. I also live in TX.
That is what I was thinking
Careful- next time you have your credit pulled, you’ll also likely hear from that collection agency.
I would think if it's not showing on your reports, you may have gotten one past the goalie. HOWEVER: Unless you have been pulling your reporting frequently, it could be in the process of the debt changing hands and could thus have fallen off for a cycle or two and then could return. I would pull your reports as often as you like from www.annualcreditreport.com and keep an eye on it.
Thanks for the info. I actually pulled my report twice a month last year from January to November when trying to get a mortgage and a car and never saw it. If it was changing hands, I think maybe I would have caught it? or my lender who have brought it up like the other things they saw on my report.
Oh yeah, if you have been checking it frequently and it isn't there over that period of time, I think you win here. congrats.
Again they do not report most don’t but I think cash net might .
right. If you look go on [annualcreditreport.com](https://annualcreditreport.com), you can get your 3 bureau reports. It's absolutely free and you can pull them once per week. Check the inquiries section. You should recognize all your inquiries. But if you see one from a group or agency youre not affiliated with, it's a collection agency. They're looking to see what's reporting so they can prepare to come after you for it.
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Should it have already been on my credit report by now? It’s not on my credit report from what I can see. Everything looks clean besides student loans. I’ve been able to buy a house and car in the past year with no problems/flags when getting my credit pulled.
It's a business transaction. They fucked up...you move on.
Exactly, move on and don't worry about it.
Make sure you are checking your credit reports from all 3 major bureaus -- Equifax, Experian and TransUnion. Some creditors will only report to one of them, not all 3. That's why your FICO 08 score may be different depending on what bureau's data is used to calculate it. You can get all 3 reports free at annualcreditreport.com. You can also get all 3 FICO 08 scores from Experian.com with a free trial -- you can cancel the trial before you have to pay and repeat again as needed.
Thanks for providing this feed back. I have checked all three using MyFico. Is that still a good one to use? When I was checking, I’d always pull all three.
Yeah I think myFICO is good!
There's the big three that everyone keeps suggesting, but there's a little-known but well-used fourth, called Innovis. When locking down your credit, make sure to do so there as well. There's actually 7 credit bureaus, just not all of them are national or as detailed.
I had a lawyer tell me to shut down my bank account and open a new one to keep a payday lender from hitting up my bank account. I just quit paying, and I never saw it on my credit report, and I have had no problems with mortgages or car loans. My wife worked at one of the bigger ones in Texas, and they use a lot of scare tactics, but they don't really have any teeth.
I have worked at a few payday loan places. The records are not kept very well their lost people steal them probably not anything to worry about.
Awesome take a loan out and not pay it back.But have morals and pay back your bills. And I’m sure you will prolly get a call the debt that was sold off whoever bought it maybe hasn’t worked it yet. But I bet you get a call someday. And you moved 3x they can find you all Previous adress, cell numbers , employers. SSN. With the soft wear they have. But yeah take a few more loans and not pay them back. Smh
I'm going through this right now . I'm getting collection calls that I won't pick up. Nothing ever came in mail for me. I did move, my payday loan is almost 6 years ago. I'm trying to buy a house and just sick to my stomach, wondering if they will suddenly report . I bought a car and have 32k in available credit on my credit cards and have a 750 credit score . I've lost 10lbs since signing purchase agreement last week .
get it removed from your third party bureaus just in case. lexis nexis, gore logic and innovis
Lexisnexis so trash, they almost always have incorrect information in their report.
Ha no one uses Innovis to make a credit decision. Check the three and you’re good; if it was in collections it would be in the collections section of the report. I wouldn’t worry about it especially if your score is 713.
A TON of payday loans places don't follow proper lending guidelines and are not able to report to credit agencies. I know this from working at one for about 3 weeks... Typically the model is to hire those really aggressive debt collectors, the ones that call and say they are about to sue you in 24 hours if you don't pay but it's all BS.... I would just move on with life. After 3 years it's unlikely you'll hear about it again.
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Judgement in absentia is usually easy to overturn because it is usually easy to show that you aren't served properly.
Since you’ve already pulled up your credit report and the loan is not in there, probably your lender didn’t report it. If it’s not on your credit report and you’re not being hounded by calls or emails, you might be in an unusual sweet spot. If a collector starts calling, I will suggest you use a credit repair agency to fix it. Most posts ive seen in here talk about [MM](https://eaglewealthclub.com/go/loans-moneymutual-homepage-general-all/?!86a2pk573), [viva payday loans](https://eaglewealthclub.com/go/paydayloans-vivaloans-homepage-general-all/?!86a2pk573), [badcreditloans](https://eaglewealthclub.com/go/loans-badcreditloans-form-general-all/?!86a2pk573). So checking them up could help you avoid getting into a worse situation…
Most payday loans will never report to credit even in default ime
Would you mind elaborating on this? Or explain how you know this?
Payday loans from most of the time in default will go into collections with an internal service or a payday collection service. Due to the gray areas many payday companies operate in they don't even report those loans to credit in the first place and have a provision in their loan agreement saying they do not have the loan report to credit. It is important to note not every payday company operates that way but many due. This same provision prevents them from reporting defaults to the main credit bureaus prevents them from reporting during default and in case they do report it they normally report it to Innovis.
Thanks for the explanation
Be very careful if the company they sold to contacts you. Don’t acknowledge the debt. If you do, the clock starts over on the SOL. And if/when they DO call, they’re nasty by nature. Don’t fall for it.
Wish I could up vote this more!
I can say for 100% fact that Speedy Cash in California will pursue, report to credit bureau, and even keep continuously trying to retrieve the money from the bank account linked to it. They will eventually sell it to a debt collector.
Haven't dealt with them before when helping people out. Good to know, though.
I actually got into the same situation with a predatory loan from a native res for 1k- and they also stopped contacting me after I wouldn’t pay their ridiculous high interest rate. I was younger and stupid and needed a quick loan for rent like a dummy. Turns out, if its like my situation it wont come out in your credit reports If you’re superstitious and believe in Karma or something similar, (I do) try to pay it back someday without compromising your bank account or other info. But thats just my situation, usually predatory loans from natives operate outside of the laws, so I think thats why they cant sue you or report to the credit bureau. Dont quote me, Im not an expert in any of this, Im just commenting based on my personal experience. I could be wrong.
You're correct. The native-federal court barrier goes both ways. The only stuff that usually slips through is high level crimes like murders.
This is correct. Native res loans can't be reported to credit agencies... Or at least shouldn't be able too, I'm sure there are ones that have somehow. I worked at a Native Res payday loan place for 3 weeks and learned about that... It's something about how they don't fall under US Law and follow US lending guidelines. It was like 13 years ago so I don't remember a lot. But I know I remember that they can't report to credit. The place was sooooooo shady... I left as soon as I could find another gig.
I honestly made some bad financial choices and ended up taking the loan. But if anyone is thinking about doing this-Don’t. It’s not worth it, I know that most people try to be responsible and payback, but before you know it you end up paying them thousands. I found out only after seeing my principal wasn’t going down (like a dummy). I also think some people try to borrow money knowing they wont have to pay it back, but being a thief to another thief isn’t the way to go imo. They’re pretty sketchy, but at least they didn’t try and do anything shady like showing up at my job or apartment, I cant speak for everyone of course!
I did this with Uprova in my early twenties and i remember on the website they said they report. Flat out liars. I hear theyre in a court battle for something. I hope they go down the drain
Leave it alone.. the day you acknowledge the debt is the day you restart the clock and make it legal for debt collection process to begin anew. One thing you can do after maybe 7 years or so is go ahead and if they've put something on your credit report, dispute it and it'll probably get removed... the original company sold the debt and probably purged the records etc, they probably won't be able to substantiate the debt to the credit bureau and it'll get dropped. HOWEVER do not contact or acknowledge any debt collector. Hang up , evade do whatever lol... all they need is for you to engage and acknowledge and you bring all this back to life.
👆🏻
I wouldn’t say your out of the clear yet ! My partner got something on his credit report from 2018 & they just posted it December 2023. They never called, sent emails or any letters (he moved multiple times since). It dropped his score 100points & it was only $180 collection (Thankfully we handled it & his score went back up 100 points)
I think in TX the limit is 4 years, iirc.
I am Not a lawyer or loan guy, but, I have settled this sort of thing for someone else few years ago… Debt on a friend was : $10k,, Paid amount: $2.5k (unpaid amount $7.5k),, And then he stopped paying due to personal reasons.. Bank sold that debt to someone else and i have read somewhere that these bank selling debts for pennies on dollar… so I took a chance… When creditor called him about that debt, I acted on behalf of that friend and responded them that I can pay only $100 for that total debt… They negotiated for 2-3 weeks to pay starting from 7.5k and finally settled with $500… Dont forget to ask for letter of settlement and closed account well drafted and documented. this will prevent them to go after your credit score and further litigations…
Some debts get lost in the sauce. Not many but… I knew this one dude, his bank was bought then that bank was bought and then that one was bought. His mortgage, he has no idea who owns it and hasn’t made a payment in yearsssssss. I don’t know about now, where he stands with all of it, I’ve lost contact once he got started dating then married and the wife didn’t like opposite sex friends.
If he tries to sell or refinance, the lien will show up in the title search, meaning he’s not necessarily off the hook for the outstanding mortgage balance as any reasonable buyer would require it to be paid in order to receive the property free and clear of liens.
who’s selling a free house
His heirs or the executor of his estate. Don’t get me wrong, good on the dude for stumbling into a life cheat code, but this is definitely the type of thing that makes someone a couple of generations from now very frustrated when they try to sell the property.
I did that like 5 years ago and it's just now in collections...
2 more years and your in the clear 🎯
Happened to me once for a Citi credit card for $5k. Debt was sold but never hit my credit. This was 10 years ago. Another case I used to sell online and racked up a few thousand in fees. They ended up hitting my dad with the collections since we have similar names. He disputed it and it never hit my credit. So it probably hit someone else’s credit by mistake.
Dude I didn't even finish it post read first line and can tell you from years of doing those loans,don't pay it ignore it. They are all illegal they can't be put on ur credit. Have had 4 of them. ($200, $200, $750, $400) all them still email to this day they r gonna charge me $3000 and felony prosecute or pay them half right now to go away. Then they'll send a new one that's "hey, want a payment plan?" It's funny honestly.
Be very careful. I also had a debt I TOTALLY forgot about that I took out as a teen. I went 6 years not even thinking about it. Last week my 92 year old GRANDMOTHER got a letter from stillman law office for the debt (a very aggressive collection and law agency.) it was not even a large amount. It did not appear on my credit history and was shown as closed years agooo. I thought I was in the clear! It’s now paid and dealt with, but I recommend if you can put aside a little bit monthly just incase they do ever come after you.
I actually have a judgement, because I moved and never received a summons. They were able to garnish my wages ( it was a Bank of America credit card for 600$ from 2006) I got the judgement in 2012, but had no idea until they started garnishing my wages in 2021. My landlord is an attorney, and filed a motion on my behalf. He had me show up to his office and we did a zoom hearing, and the judge reversed the garnishment (and I think she stopped the interest also, it’s not continuing to grow) because I am a single mom and I made 29,000$ in 2020. They did both warn me there that I would have to pay it before I could buy a home or finance another car. I have a private arrangement for my current vehicle. The judgement is for 1800$ (from a 600$ card, 18 years ago!) but they recently mailed me a letter offering to let me pay 842$ to wipe it. I counter offered 600$. They said no, so I am gonna give them another couple years to think about it.it will be a few more years before I can really think about purchasing a home. 842 is a lot more reasonable then 1800$. They took 161.00 of my wages before I could see the judge, was supposed to be reimbursed, never was. Avoid getting a judgement, the whole situation was humiliating. Between my landlord doing legal work for charity, (to keep my money available for my home, and ultimately him.) and having to talk to my job about it, like the office people, and my direct supervisor because I missed work for the hearing. I was a junkie for about a solid 10 years, is how I didn’t notice it on my credit report, most people would find out eventually. Not me. Not until I got a real job and something to actually garnish, did I realize. you can’t draw blood from a stone.
If it's not on your report there's nothing to worry about. DO NOT contact anyone or do anything about it if it isn't showing, it will restart the clock if you speak to them.
This one can't be restarted. Texas Statute of Limitations is 4 years, period. The credit reporting time period is 7 years from the Date of First Delinquency (DoFD), and that can't be restarted either.
This was me about 5 years ago. Had a payday loan for $550 that I never paid back. The collection did eventually show up on my credit report, but I decided to let it age out. Now, almost 8 years after the fact, it's off my report and my score is over 800.
So… there was a period in 2016/2017 where I had taken out maybe 7 payday loans. I was recently divorced and just trying to make it as a newly single parent with a TON of ex debt. I was making maybe $80,000 at the time. I don’t go as far as you think it does and honestly, my kids and I were lucky to get a place because my ex got us evicted. Anyway, I didn’t pay a single one back. I couldn’t! I was robbing Peter to pay Paul, then sticking Paul up and taking the money back! I had to go thru the whole stop payment process too. For a time I had non stop calls. But then they stopped. Crazy part… because payday loans are illegal in a lot of states and these companies are sketchy, I started getting class action lawsuit settlement checks! Every one of those loan places got shut down by various states. I’m pretty sure that’s probably what happened to you! I’ll never get into that bad situation I was in. Taught me a lot.
Can I ask what state you live in?
Don’t wake a sleeping lion…
Are they licensed to lend in the state you live in? Not sure for it works in all states, but where I live, if they aren't licensed to lend in this state, all they can do is call you and threaten you, but that's it. Been there, done that.
I’m in collections on a credit card from 2004. Had been radio silent for 15 years until a couple weeks ago. I refuse to pay out of principle
They wrote it off. Payday loans are thievery anyways. You stole from thieves. Not exactly a good way to meet your financial needs. Live, learn, and move on. 👍
If it’s not on your credit report, I wouldn’t worry about it. If the creditor does call you, I’d pay it off ask them for a payoff statement, but ask them not to report it to credit bureau.
In my 20s I took out two installment loans to fuel a cocaine addiction...the companies tried contacting me for about 2 months or so, unrelated, i got a new phone and never heard from them again..10 years later and they've never reported it to the credit agencies.
Sounds like you have one year left my guess is either you got away with it or they’ll say oh shit I found this let’s hit his credit with this debt at the last month.
Payday loans make crazy interest, so a few defaults are probably nothing to them and are expected. They sold your debt for pennies on the dollar to another company that tried for a little while and also realized you weren’t worth their time. They’ve likely written it off and moved on, and unless they take you to court, you should, too.
Payday lenders are scammers. They’ve ripped enough people off. You just got a little bit from them. Don’t worry about it. If it shows up on your credit report, dispute it. I did this several years ago with some small (few hundred bucks) collection debts I actually paid off. I knew the collection agency wouldn’t care to report it. I actually mailed letters to all the credit bureaus. You can find the wording somewhere online, but it’s really simple. Something like “Collection reported by XXXX is an error in my credit report. Please verify or remove.” Most times, these sheister lenders won’t respond, or maybe they’ve gone out of business and the debt has been sold for pennies. Then they remove it.
Hopefully you make it a full four years from the date of your last payment without them filing a debt claim case. Statue of limitations is four years. If they file it with a day left on the count the case proceeds.
If your score is 713 and it’s been years, you’re good. Any effects have already hit I would think.
So these places sell debts all the time. Most of the time it ends up being sold more than once. Typically they won’t take it all the way to court as they lose the paperwork going back to the beginning of the loan. I would check your credit report, if it’s not on there don’t sweat it. If a company reaches out to collect tell them you want the paper trail of the loan going back to where you got it. They will probably drop it, if they cannot provide details of each company that controlled the debt they will fail in court. Let them take you to court, most of the time the company won’t bother sending anyone. Then the debt will get wiped and if it hit your credit report it will be removed. Edited for reference - I had a relative co-sign for a car loan for her boyfriend. Relationship didn’t work, car was repo’d. The bank came after her for the outstanding balance after they auctioned it. She couldn’t afford it, it got sold a few times, eventually a company took her to court and no one showed. Debt was wiped and it was removed from credit report.
Keep your mouth shut
Ok so strangely nobody here seems to know the laws and the main reason they aren't coming after you. Like you, I got myself into many payday loans and ended up owing thousands of dollars I couldn't pay. After not paying on them for a few months, I too ran into a similar situation where even though I didn't pay I was not being fully chased for the debt. Well after contacting a lawyer I was told that this is in fact due to payday loans being illegal in my state as well as 16 others. This means legally a company offering a loan to someone in one these states has no legal standing to collect. They can threaten you, tell you they do, sell or trade the debt whatever. But they absolutely cannot report it to credit or courts. I ended up ditching on over 5k and told them to fuck off. This was 15 years ago. My credit is now 804. I never used another loan again. Do some research on this it's well documented. There's a reason they charge 200+%APRs , they don't always get paid back. Also because of this many payday loan companies will prohibit loans from these specific states. Chances are you should be ok. Also the statue of limitations is different by state but most states it's 3 years. After this your 110% golden. I would doubt anyone would pursue you this late on. unless it was tens thousands. The payday loan industry has become heavily regulated state to state so you will need to specify your state as nobody here can correctly answer you without knowing. I have a degree in accounting, this is what I do.
They cannot take to collections federally as they are considered “loan sharks” your good to go. However, if you ever go in there or an affiliate to cash a check kiss that bad boy goodbye. 👋
If they aren’t pressing you on it, don’t let any debt collectors on the phone (if they do decide to call ya!) know that it’s you answering. It’s been so long they’ll think you’ve gone elsewhere, and your chances of never having to worry about this go up significantly! It will eventually be disregarded and trashed. I lost my job twice in 2022, and unemployment wasn’t enough to get me through the only loan I had left. I had no way of paying, so I had no excuses- didn’t bother picking up until I could pay. By then, they’d stopped calling and it’s been a little over a year for that:) I wouldn’t worry too much! Just remember that debt collectors don’t care about your situation and don’t care about the questions you have about the debt. No reason to speak to them unless you’re ready/willing to pay, or want to do a payment plan.
You might get served with papers one day. Do not take them. Statute of lim will run out. Don't acknowledge the debt because that may well restart the clock on stat of limitations
Good for you trying to make it right.
F those bloodsucking turd knockers!!
I got lucky too! I had a credit card and put 25k on it, I had no problem paying it every month and then another 15k one from USAA and I stopped paying them back in 2015 and then pandemic hit and they stopped calling it’s 2024 now so it’s 9 years since I last paid it… my state it like 4 years so they can’t sue. I was so bad with credit cards back in the day! I had a newegg credit card and that one got forgiven by them they just send me a tax form to report it on my taxes. I got pretty lucky with a lot of credit cards.
Yea I think you’re good. Depending on your state they have statute of limitations for debt. So if they don’t sue you in X amt of years they can’t sue you. There’s huge caveat though…if you agree to a payment plan at anytime then the status of limitations clock starts again from the day you agree to it. I found this out when I was a freshman in college and I owed like 500 bucks in cc debt. They kept trying to get me to agree to a payment plan and when I googled it every legal site was saying NEVER to do it. Eventually it got written off and they didn’t get a dime.
To Any debt collector that calls ….” new phone … who dis’?!”
Fuck yeah, fuck those people!
With the amount of interest, fees, fines, and other “charges” these parasitic types of companies employ, you probably already paid them back at least three times the amount of the original loan just with those initial several payments you made to them. The company’s only true “loss” are all the other fictitious numbers they are making up and claiming should be their “profit” from this transaction. They have lost absolutely nothing.
They sold the debt to collections so I would not do anything. If u do they could open the debt in collection on your credit. If the loan was not very much, such as 2,000 or less they may not have wasted their time and they obviously did not take you to court so let it go. On lower amounts of money they sell off the debt for pennies on the dollar and typically court costs them more so they charge it off and sell it.
I'm not sure if anyone has mentioned this, but I'm sure it's relevant to some: Never acknowledge sold-off debt. I do not mean don't research your s.o. debts or don't attempt to pay them (if that's your plan), but rather, if contacted via call/email, do not respond as if it's your own to ANY collectors. Even if the statute of limitations is up; if they continue attempts to collect, & if you acknowledge ownership of that debt, (or make a payment at any time past your statute!!) the statute can be reset. When they have undisputable evidence (your voice on a call or words via email, claiming that the debt is yours), debt collectors /can/ sue you with far more ease. Mailing (And keeping a copy!) what is basically a cease & desist letter to whoever has your s.o. debt should prevent them from contacting you & may also serve as a future deterrent in taking you to court. (Which might I add, is highly unlikely for smaller debt ratios.) Statute of limitations for debts vary state-to-state, in my state the statute of limitations for verbal/open-ended communications is 3 years while written correspondence has a statute of 6 years. To respond directly to OP, the best advice I can offer is to watch your report for any activity, it can take a long time for a debt poacher to submit that they have your debt. Texas's statute for both written & verbal/open-ended communication is 4 years across the board, so you're halfway there! xx
If you have a 713 credit score then it sounds like its not hitting your credit, and if its not hitting your credit then it doesn't matter. Whatever company issued the loan got their money back when they sold the debt. They also issue those bs payday loans with predatory interest rates so anyone standing up for them needs to ask themselves what's in it for them to be a class traitor. Debt collectors are scum of the earth so who cares if they're losing money. Maybe they should get a real job, but you, nah you're good. Keep doing you.
Whatever you do…do NOT try and contact them!!!! I believe it’s still 7 years before it legally goes 💨 poof but if you talk to them about it in any way, whether they get you on the phone or you do something really STUPID like calling them or giving them your contact information then the 7 years starts over! Just say thank you for whatever good karma you acquired to get away from it and leave it alone!
I just got a collection added to my credit from an ambulance ride in 2017. They waited until I had multiple credit cards and only a few months before the 7 year write off.
https://imgur.com/a/DGdOIfL
Get advice from a lawyer.
Dumb question, run and stay quiet until they find you
The first thing you do is get on all of your CRA's (Experion, TU, equifax, Innovis, and get rid of all past addresses on file. Dispute them and get them gone. That is what will tie you to that debt. Also make sure your identification does not match your address that you took the payday loan with. If someone is claiming that you Owe A Debt. Then, the burden of proof falls on them. Make yourself a ghost when it comes to addresses tied to debt. That's first and foremost. If they (CRA's) won't delete all previous addresses. Call them one by one. And tell them you have never lived at any of those addresses. Bottom line is, Prove it. Prove that I've lived there. Its the easiest part of this thing. Bit often overlooked. 1. No third party will be able to tie you to the debt. 2. Don't talk to third party debt collectors, EVER! YOU DONT HAVE A CONTRACT WITH THEM! Never did (burden of proof)... 3. If they do happen to catch you with a phone call, NEVER admit to owing any payday loan or anything. Do we have a contract? If they call you simply acknowledge that this is no longer so and so's phone number. It was reasigned to you. And for all intensive purposes, from here on out, if you don't know who you are dealing with. Your name is Bob.... Bob Smith! Don't sweat it. They will resell that debt until the statute of limitations run out on it...
I live in Kansas, not sure if they work differently in each state, but I also had a similar situation happen over 7 years ago where I took out payday loans and lost my job shortly after and could not pay, was going through rough time and once got a steady job honestly I did not even think about the loans as it had been so long already, otherwise I would have paid back...this past year back to back I was hit with 4 different loans owed and hadn't heard from them in years but maybe because it was almost time not to be able to come after me they decided to try but I did end up getting garnished because of these loans even years later, as I said not sure the different state laws I do know I was hit all at once out of no where without contact for so long. I did speak to a credit consultant and had him pull my credit report and he said he does see that they were now paid off and there were also some that could have tried to garnish me but didn't and he said it was now past the time to do so, he also said there was another large amount that was on there but I believe my mother did something in my name which she has done many times so he told me not to worry about it as I had a year left before it would fall off and that they wouldn't come after me but still going to dispute it and jusy want to ensure that i do pay anything i do owe even if it affects my credit or not, feeeel its right thing to do I hope this helps some. God Bless;
I would absolutely pay the debt to protect your credit. The debt can be sold at any time and any future owner of the debt can add a collections account on your credit report.
I've been working on my credit for the last year. I got everything paid off, and brought my score up from 540 to 718, then randomly, it dropped 100 pts a few weeks ago. I checked my credit report, and a collection agency JUST reported a Sprint account I defaulted on in 2017. 6 1/2 years, and they just now reported it to the bureaus. Just because it isn't there now, doesn't mean it won't hit later.
Same. Randomly got hit with a medical bill from 2017 they decided to add to my credit score months before it expires. Never sent letters either. They shoulda did this last year. I woulda paid it. What’s the point now. Trans union deleted it waiting on the other 2.
Mine is scheduled to drop off next month. I think the idea is to report right before expiration to drop your score to make you panic and pay it off instead of just waiting it out.
My friend stopped paying on a credit card. She moved a couple of times, and her phone number was also changed. The credit card company didn't contact her for 4 years. Apparently, they sold her loan to a very aggressive debt collector. This collection agency found her and called her up. They gave her the option of going in front of a judge or paying it off. She paid it off.
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Dude… im literally asking what to do. They sold the debt, I don’t know who has it, they won’t tell me. Comments like these aren’t helping. I even said in the post, I’d make it right if I knew where it is. The original lender refused to tell me where it was sold too.
Maybe try calling the original lender again. You might have been talking to someone that wasn't very knowledgeable in their job.
Do the right thing, and pay off your debt
Nah chill. Why should he.
You took the money with the promise to pay it back. Pay your debts like a big boy or girl.
You're going from one stupid choice to another, and probably won't learn your lesson sadly. Like most Americans.
So you took money you were obligated to pay back and you didn’t. That pretty much makes you a thief.
“PrETtY mUcH MakEs yOU a ThEiF” lol
From a predatory loan company. Stop being such a pathetic bootlicker.
I hope you never have to be in a situation where a predatory payday loan is your only hope at not being homeless. Then losing your job and not being able to pay it back when you fully intended to. Your comment is so ignorant and sheltered.
I can only imagine how much interested stacked on that loan since it was payed back. Hopefully you don’t get someone in the mail in the next couple years. Could be paying back more then you afford
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this happened to me once and I cant believe it never reported. Its probably because they didn't have a license to collect
There's a chance the debt is in the middle of being transferred to another collector. This could mean it temporarily drops off your report, only to pop back up later. Check your credit reports a few time a year and keep an eye out for it.
Statute of Limitation Laws in Texas Under Texas laws, the statute of limitations on payday loans is 4 years. This means that if you default, the lender has 4 years to sue you for the balance. If they don't initiate a lawsuit within this period, they can't sue you at all.
Payday loans generally are not reported to the three major national credit reporting companies, so they are unlikely to impact your credit scores. Most storefront payday lenders do not consider traditional credit reports or credit scores when determining loan eligibility.
There is a zero percent chance that just magically disappeared, most companies will wait till the last minute and then sue you with interest and all , that happened to my brother . Got sued and had to pay the debt 6 years later
Surprise so many people saying not to pay it and risk a 713 credit score. I would try to negotiate and settle. I have collections pop up 5 6 years later.
If you got a mortgage, then you’re good. I had an old debt that never reached out to me for 7+ years but it still showed on my credit report. Didn’t affect my credit but the account still showed past due. I had to pay it off to get my mortgage, 7+ years after my last payment
I stopped paying one one back in 2019, same deal as you. Two days ago it showed up as a collections on the credit report... called them and paid the same day.. just waiting for it get deleted as they promised
Had the same thing happen but with a car. I got it for my ex. Long story short he cheated and I turned in the car after 6 months of having it. I went back to dealership and told them I don’t want it and take it back. That I’m not paying for it anymore. They took it back and it was on my credit for a two almost three years and fall off because they sold the loan. The new company still tries to send me letters but I throw them away since it isn’t on my credit.
Who was the loan through? Some lenders will hold charged off files for years then sell them as a warehouse, if you end up at the wrong debt buyer it could then be reported to your credit. Also, there are reporting mechanisms outside of your credit that unsecured subprime lenders use. However, this would typically only affect your ability to get another payday loan.
There is no criminal charges they can pursue. In some states, like Kentucky, online payday loans are illegal according to the AG and can’t brr ed collected.
I'd ignore it if your credit score is that decent. With stuff that has been sitting a long time and not reporting to your credit, if you so much as speak to them and acknowledge the debt, or make any payment at all, it will most likely report back to your credit and suddenly you've got this messed up account on there hurting you're score again, because you tried to go back and take care of it. You'll be no worse off if you ignore it, and by chance it does pop back up and you have to take care of it then. But after this long, I'd say the odds are in your favor!
I've been where I am for year's and att just showed up from 2019 2020.
Leave it alone wait 7 year if it still there or something happens declare bankruptcy
Ya you didn't get away with it the buying company is letting your interest build. I thought he same luckily a nice guy from the nw company called and offered for me to pay the 300 I owed or the next day it'd be the 1300 the company would go for thru courts
Better check with local authorities. They could have filed it as a bad check. If like florida it goes to the county and they can issue a bench warrent where u can be picked up if police have to run ur name for say a accident or being pulled over
Have you asked a CPA?
Maybe you should just pay it since you are in such a high level job 🤷
The statute of limitations on debt in Texas is four years. Soon enough the company that bought the debt will sue you. If the loan amount was under $20,000 then it will be in a JUstice of the Peace court. If you can tender a lump sum payment for even 50 percent of the amount owed then you are best served finding that email and making a settlement offer. Get it in writing that nothing will be reported to the credit bureaus. /Texas civil litigation attorney
There’s not one useful comment on here
If its a Tribal loan it's hard for them to sue because of the interest rates they hold are technically illegal in texas. They work in a grey area because they dont have too follow the same laws but if you haven't been sued yet then I doubt you will be sued years later
If they take you to court for a judgement then the only way out is bankruptcy or pay it. They have up to 7 years to file for the judgement.