Legal Question in Credit and Debt Law in North Carolina

Auto Title Loan Harrassment

I took out an auto title loan in AZ and recently moved to NC. I was ahead on my payments until I came to NC.

Finding work was more difficult than expected and fell behind on loan payments. Approx. 1 month behind. Once I found work I've been mailing the min. payment I could afford.

At least 2-3 times a week several people from the loan company call me and demand more money.

I notified them them to make arrangements for only one person in the office to call me. I would make set arrangements with this one person and she would post it in my file on payment dates etc..

To this day I still get so many persons calling me ( some not so nice- very rude). I get so frustrated, I made at least 5 $50. payments only to find out the loan is mot coming down in the total. I'm told that these are being applied to the interest not principle. The interest they charge is 180%.

Do I have any rights in this matter or am I stuck.

The loan was taken out for $550. And so far I paid at least $450.-500 back.

I am so lost and confused. Every time the phone rings I fear it is them ready to yell at me again. I am so stressed out over this that it is starting to affect me physically.

Please, any advice will be greatly appreciated.


Asked on 12/06/07, 6:37 pm

1 Answer from Attorneys
Jeff Rosner Rosner Law Firm P.A.

Re: Auto Title Loan Harrassment

In general you have certain rights as a debtor - you need to log every call you receive - the time, the date, the full name of the person, the company that is calling and the contents of the conversation. Write down anything specific they say - especially if they are rude. You might have ground for a lawsuit against them for each violation of the Fair Debt Collection Practices Act.

As far as your actual loan, it is impossible to say without more information and a review of all the documents. Generally, if you are late on payments, future payments will be applied to interest.

If the interest is really 180%, that would seem usurious to me. You might want to consult an attorney in AZ. If you can't afford to, you can try contacting the Attorney General's office of consumer affairs and see if they can help you or point you in the right direction.

Also post your question in the Arizona section.

- Jeff

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Answered on 12/07/07, 8:49 am


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