Legal Question in Consumer Law in California

I foolishly borrowed 2600.00 from Risecredit.com. After paying back more than 1400.00, I defaulted, as it was getting to hard to keep up with the payments. I had taken out several other loans that were from Tribal payday lenders not licensed in my state. I found out those were illegal, and defaulted on those prior to defaulting on Risecredit.

Rise only waited 3 months before selling my loan to a collection agency with an unscrupulous reputation (national credit adjusters). They are now starting to come after me. However, I think this loan may not be legal either, for two reasons.

Although Rise has a license to do business in my state, they are a tribal entity hiding behind a license that was taken over from a previous company (payday one). Also, they are charging an arm and a leg in interest, so I think they may be breaking the usury laws.

How can I find out for sure whether this loan is a legal one?

I am in the process of asking for debt validation now.

Thank you.


Asked on 9/13/14, 2:21 pm

2 Answers from Attorneys
Joel Selik www.SelikLaw.com

It would be good place to start to googling your states name with words usury and payday loans. This should take you to the laws that may tell you if it may or may not be lawful loans.

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Answered on 9/13/14, 2:33 pm
Phillip D. Wheeler, Esq. Phillip D. Wheeler, Attorney At Law

I would enter all of what you mentioned in your post that is pertinent to your question and include some terms like illegal loans for your state.

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Answered on 9/13/14, 7:47 pm


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