Legal Question in Credit and Debt Law in Pennsylvania

I live in Pa. I had a loan from Western Sky for $1500.00. However, they only gave me $1000.00 not sure why. I made two payments, and then had a job change with much lower pay and went through divorce...lost alot of income. The loan went to CashCall. But I am afraid I will now be sued for not making payment. They say I owe them thousands of dollars! But I only ever received $1000.00 and paid two payments of $166.00. What can happen to me?


Asked on 6/25/12, 7:46 am

1 Answer from Attorneys
Rachel Hunter

I cannot answer your question as I don't know who Western Sky and Cashcall are. Assuming this is a payday lender and the loan was obtained while you were in Pennsylvania, then there are laws regarding pay day loans. Is Western Sky and Cashcall in compliance with PA law? Are they properly registered?

Assuming that they are proper, the worst that they could do is sue and obtain a judgment. Whether they can collect or not would edepend on what assets you have. It also would depend on when you were and when you last paid. You do not relate those facts and it could be that this was 4 or more years ago. If so, the likelihood of you getting sued is slim.

If they are not properly registered, then it may be that the debt cannot be collected at all. I would check with the PA attorney general to see if these are properly registered payday lenders if this is a payday loan debt.

For the future and to help others, payday loans are always a bad deal. Don't take them out.

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Answered on 6/25/12, 7:25 pm


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