If you are receiving calls about a debt that you think you owe it can be tempting to pick up a small loan to get the debt collection agencies off your back. Payday loans are easy to get and payday lenders are about as ubiquitous as McDonald’s and Starbucks, with over 20,000 locations throughout the U.S. But before you run out to pick up a cash advance, it’s important to note that more often than not consumers end up owing the payday lenders double or even triple the original amount of the loan thanks to sky-high inflation rates.
BASIC STRUCTURE OF A PAYDAY LOAN
Payday loans are short-term loans that are due in their entirety on your next payday. Without required credit checks anyone can get a payday loan. There is no need to go to the bank to apply. These loans fulfill the need for quick cash but they come at a steep price. Many of these loans bring along interest rates of around 400%, although in different parts of the country they can be as high as over 1000%.
APR doesn’t apply if these loans are paid off immediately, as they are intended. But the majority of consumers who seek these loans are in a tight spot and cannot pay them off right away. This means that over time you pay off what you owed but it all goes toward interest. In the end, most people pay back double, sometimes triple the original amount that they originally borrowed.
HOW DO I MAKE THE CALLS STOP?
A payday loan should be a last resort to get some quick cash. If you are looking to avoid harassment by debt collection companies, realize that while a payday loan might make those calls stop, you could pretty soon be dealing with collection calls once more from the payday lenders themselves. They are also known to aggressively crack down on debt that is owed to them. To actually make the calls stop it is important to know your consumer rights.
One of the key pieces of legislation that protects your privacy is the Telephone Consumer Protection Act or “TCPA.” Per the TCPA, collectors cannot use an autodialing system to get in touch, nor can they text your cellular phone without your consent. A TCPA attorney in Fort Lauderdale like Jibrael S. Hindi can help you fight back and earn a significant recovery. Each call or text can bring you $500 to $1500! To put an end to the calls once and for all, look no further than The Law Offices of Jibrael S. Hindi. For a free legal consultation, call (844) JIBRAEL or contact us online.