Let’s say you took out a payday loan to take care of rent, or your car note, and to generally hold you over until your next paycheck. For one reason or another, you defaulted on your scheduled payment. After an unsuccessful attempt to collect, the lender transferred your account to a third-party debt collector. Now the phone calls won’t stop coming.
Debt collectors have threatened my clients with all of the following:
– “The police are going to come and arrest you.”
– “I’m on my way to the court to serve you with a lawsuit for bank fraud.”
– “I have a judgment against you because you bounced a check.”
Rest assured, debt collectors usually do not have the legal authority to arrest you — and under the Fair Debt Collection Practices Act, debt collectors cannot call you saying you’ll be arrested unless the threat is true. If you have received a phone call like these, I want you to know, you are being harassed.
But as a Memphis TN debt attorney, I also want you to know that defaulting on your scheduled payment, or having to take out a payday loan in general, is a clear sign that you’re unable to live within your means. I have helped thousands of people with payday loans and other predatory loans. There are better ways to deal with debt you can’t pay. Ways that will keep the debt collector’s phone calls away.
Many people who take out payday loans don’t realize that when they get that extra money, they’re going to have to pay it back. That means you’ll have even less money. You’ll be in even worse shape than you were before you took out your loan.
A payday loan gives you an even lower chance of successfully living within your means — because it has to be paid back.
But what I’ve seen over and over again, is that you’ll have to get another loan to cover the debt on the one you took out before. And it can all catch up. Because sometimes the people you get them from are owned by the same company. It’s an endless cycle that takes advantage of hard-working people.
There’s no easy fix for debt. Get some permanent control over your finances. Bankruptcy can help. Whether you want to get rid of dischargeable debt, like credit card and medical debt, in a Chapter 7, or consolidate your mortgage and car payments into an affordable amount in a Chapter 13, I can help.
Call (901) 327-2100 or contact us online to talk to a Memphis TN debt attorney today.