HELP PLEASE lls america licensed in texas?

[Anonymous]

Needless to say somehow they have got my bank account information and issued me a $300 loan. There saying to pay back this loan will cost me $2100. I am furious right now and need to know what steps to take. I never aggreed to any of this and beyond p'd off. First thing I am going to do at 9am cst is go and close my bank account. Is lls american even licensed to loan in Texas and what step should I take to take care of this issue. Of course there is no way to contact these people until monday.

http://llsamerica.com/fees.aspx

Here is the e-mail I got from them

Dear PARKER

Your loan is scheduled for the next installment payment. Currently, your due date is August 11, 2011 and you will have 105.00 debited from your account. These funds must be available, or you will be responsible for assessed non-sufficient funds (NSF) fees.

Note: Prior to your next scheduled due date, you may choose one of the following options.

OPTION #1

You can repay your unsecured short-term installment loan in full. This amount includes your current principle loan balance, plus your processing fee of 105.00, and any additional fees associated with any returned items from your financial institution.

If you would like to pay loan in full, you will need to call us at least four (4) business days prior to your loan due date.

OPTION #2

You can take advantage of our automatic installment program. You must make twenty (20) equal payments of 105.00 beginning on August 11, 2011 and continuing every two (2) weeks thereafter. The amount of each unsecured short-term installment loan payment will equal $35.00 for every $100.00 borrowed. 5% of the total amount borrowed, or $5.00 for every $100.00 borrowed, will be applied out of each installment loan payment toward the principal amount of your loan. The remaining $30.00 for each $100.00 borrowed will be paid to us out of each installment loan payment to cover our wiring, administrative and other costs. You can also apply extra principle payments, in $50.00 increments, in addition to your biweekly installment payments of 105.00.

IMPORTANT!!! If you would like to make any arrangements that are mentioned above, you will need to call us at least four (4) business days prior to your loan due date. Otherwise, you will be enrolled in our automatic installment program and we will debit 105.00 on your next due date.

Thank you for choosing The LLS America for your short-term loan needs. Should you have any questions or comments, please call us (1-866-989-2274) or email us at info@llsamerica.com. In order to better assist you when calling, please have your loan number available.

[Shogun]

Wow!  What an interest rate.  Loan sharks would love to have a deal that sweet!

[llecs]

I'm in the wrong business.

I'd opt for the $405 ($105 in fees and $300 principal). I'd do whatever it takes.

I would also read your contract. If you did this online or in person, you are still subject to a written agreement.

Finally, while would PIF no matter what, I would also check the legality. I would call your govt officials in TX (SOS?) and question them over the phone as to the legality of it all. And get their response in writing. Maybe there's a provision on the books somewhere in TX that they can't operate and if so, maybe they can't collect (e.g. a penalty for operating illegally).

ETA....I just went through the process (minus my info) and when you enter the page to enter your personal info (SSN, name, reference, etc.) you have to check the checkbox for "Disclaimer" before you can proceed by acknowledging you agree to those disclaimers. It lays out the fee schedule you linked to above:

You can either repay your loan in full at any time prior to your stated maturity date, or you can make twenty (20) installment payments over a period of forty (40) weeks on a bi-weekly basis. The amount of each unsecured short-term installment loan payment will equal $35.00 for every $100.00 borrowed. 5% of the total amount borrowed, or $5.00 for every $100.00 borrowed, will be applied out of each installment loan payment towards the original principle amount of your loan. The remaining $30.00 for each $100.00 borrowed will be paid to us out of each installment loan payment to cover our wiring, administrative and other costs.

They are out of Utah and I don't know how Texas views these practices. You might want to check with both states. Payday loan licensing isn't required everywhere.

[Anonymous]

Does, anyone know who I can contact in texas to see if this is a legal practice, and I can assure you I never went to there site and signed up for this, thay got my info from someone, or somewhere else.

ANyways on a good note, I just opened up a checking/savings account at a local credit union. I am sure in the future I can use them to up my credit score. My local bank I was using was pathetic.

[llecs]

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@Anonymous wrote:

Does, anyone know who I can contact in texas to see if this is a legal practice, and I can assure you I never went to there site and signed up for this, thay got my info from someone, or somewhere else.

ANyways on a good note, I just opened up a checking/savings account at a local credit union. I am sure in the future I can use them to up my credit score. My local bank I was using was pathetic.

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Call the police!!!!!!! Ignore calling Texas to see if the practice is legal or not. Someone used your identity to get a loan.

[MarineVietVet]

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@Anonymous wrote:

Does, anyone know who I can contact in texas to see if this is a legal practice, and I can assure you I never went to there site and signed up for this, thay got my info from someone, or somewhere else.

ANyways on a good note, I just opened up a checking/savings account at a local credit union. I am sure in the future I can use them to up my credit score. My local bank I was using was pathetic.

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If it were me the first place I'd start is the Texas Attorney General.

From a BK years ago to:
EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

[Anonymous]

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@llecs wrote:

Call the police!!!!!!! Ignore calling Texas to see if the practice is legal or not. Someone used your identity to get a loan.

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+1!

When did you first notice the $300 that was deposited to your account? What did you do when you found it?

[GregB]

I read the original post as saying that you don't know anything about this loan - that you did not apply for it at all and only know about it from the email and bank account activity.

If so, you can contact your bank and have them return the ACH transfer. I would also file a police report as this was likely done by someone you know with malicious intent.

Unauthorized bank activity like this will cause your bank to close your account and transfer your existing funds to a new account.

[Anonymous]

I noticed the $300 the day I recieved the e-mail, thinking it was thursday night

[Anonymous]

I already have made a new account at a local credit union and am just waiting for some stuff to post so I can close this bank account