Legal Question in Credit and Debt Law in Pennsylvania

I would recommend you get a copy of your credit report first to see the details of any outstanding debts you might have. You get one free credit report per year from each of the three major agencies by law - you can obtain them here: https://www.annualcreditreport.com.

Be aware that usually it's not the original creditor that's attempting to collect the debt, but instead a debt collection agency. They do have to provide proof of your debt. Furthermore, they are not allowed to harass you. While the definition of harassment isn't always clear, there are large penalties for harassment by debt collection services, so most don't want to come close. Tell them explicitly you think they're harassing you and you want them to stop. They should at least be more polite.

Aside from making threatening actions and affecting your credit score, the only other action they could take would be to sue you for the debt. They'll usually only do that if it's worth the costs (they'd have to pay court, legal fees, etc.). If they won, they could try to go after your assets or garnish your wages or other income. Again, that's an expensive and risky step for a collection agency to take, so they almost always try to avoid it. If you clearly intend to attempt to repay the debt, they should be receptive to a fair repayment plan. After all, if they can get something it's better than nothing.

Please note: The information provided here is for general informational purposes only and should not be construed as legal advice or legal opinion on specific facts or circumstances. You should consult an experienced attorney concerning your particular factual situation and any specific legal questions you may have. No attorney-client relationship is created merely through the exchange of information via this web site. Michael J. Duffy will not undertake representation of a client without the client first signing a written retainer and representation agreement.

Pay day loans are illegal unless the payday lender has registered with the state of Pennsylvania. My guess is that he has not so contact the PA attorney general and file a complaint there.

Collection of the debt, if you last paid on the loan 4 or more years ago and the loan was taken out in PA is barred by the statute of limitations. Unfortunately, unless you have a valid address for the payday lender, then writing to them to advise them of the law will not help. My experience has been that these lenders are all overseas and do not have any valid addresses in the US except maybe a drop box to get mail. They look for money and throw away any letters so writing is just about useless. By the way, with the many many services out there, it may look like they are calling from the US but they are really in Nigeria or India or somewhere else in the world. If you have any doubs though, write down the number and then Google it and see what comes up.

Talking to these people does no good as half of them speak English as a second language. The Crapital One "Peggy" commercials come to mind except you get somebody with an unpronounceable name and heavy accent.

Nobody will be at your house and it wasn't them if somebody was at your door. Lawsuits can only be filed by Pennsylvania-licensed attorneys and no lawsuit will be filed here for several reasons. (1) Payday lending is illegal in most cases; and (2) its going to cost them money to hire an attorney; and (3) if the debt is barred by the statute of limitations, the lawsuit will be tossed out if you raise the statute as a defense.

So the payday lenders' only cost effective option is to call you and scare you into sending them money. DO NOT SEND THEM A DIME!!!!!!!!! I say this as you will revive the statute of limitations and start it running anew. Part payment starts the statute running again. So if you are that close or its expired, don't start it back up.

Even in the really unlikely case that you would be sued (you have a better chance of getting kidnapped by terrorists), unemployment cannot be touched and there is no wage garnishment in PA for a debt of this kind.

Please, stop crying and don't lose sleep over this. Have fun with the idiot instead. Next time you get a call, answer the phone "Internal Security - Agent Smith speaking, can I help you?" If they get into an extended conversation, make up some dialogue and pretend you are Jack Bauer from 24 and hang up as you have important work to do saving the world from terrorists. More likely they will stammer and hang up first. Or go to the bathroom, hold the phone near the toilet and flush so they hear it. Say bad connection as you were hit by a tsunami and hang up. The key is to have fun and play head games with them! Or better yet, just don't answer the phone. Nothing good happens from talking to these idiots except them playing head games with you and getting you all upset. So don't play along.

If you do get a valid address, I would be delighted to write a letter on your behalf for a reasonable fee. Please contact me at [email protected] if interested. You have rights, as noted by Attorney Duffy, not to be harassed both under the federal fair debt collection practices act as well as Pennsylvania state law called the Fair Credit Extension Uniformity Act. You can look up either of these laws for free as they are online or I can send you the statutes if you cannot find it.

While checking your credit report is fine, the debt can be reported for seven years after you last paid on the debt. If it has been less than 7 years, then this debt cannot be disputed. You can get one free credit report per year from each of the 3 major credit bureaus. The easiest way to do this is at www.annualcreditreport.com as noted by Attorney Duffy. They will direct you to the websites for each of the bureaus. Unless you need all of them for other reasons, I recommend staggering your reports. Start with Equifax, then in 4 months go to Experian and then in 4 months after that go to Trans Union. After 4 months, start back with Equifax. You want to check all 3 because each of the bureaus reports different information. While a lawyer or anyone else really can't get your credit report for you absent a power of attorney, do it yourself and review it. Most reports come with a dispute form but if you are having trouble reading it or have a valid reason to dispute incorrect or erroneous information, then I can do that for you as well for a reasonable fee.

Bottom line - don't let these goons bother you. Don't give them access to your bank account, don't pay them any money at all and just ignore their calls or do what I suggested.