is it a fdcpa or fcra violation to charge more than the allowed interest?

[crackers8199]

just got a letter from nco financial in reference to my capital one account - specifically says on the account that the interest rate is 27.740%, resulting in interest amount of $575.91.

thing is, legal interest rate for collection accounts in PA is 6%. is this a violation? how do i proceed from here?

[crackers8199]

also, how should i proceed with this? should i go back to capital one and offer to PIF for a deletion of the TL? my CRs show a zero balance on my cap one account...

[crackers8199]

anyone?

[Anonymous]

I did a quick search-

It is criminal usury to charge more than 25% in PA.

Because Cap One is a National bank- your 6% rate does not apply. It goes by Federal usury-

http://www.wolfbaldwin.com/lawyers_attorneys/articles.asp?ArticleID=32&Page=legal_interest_usury_PA_...

The Banking codes also provide various exceptions. Pennsylvania’s Banking Code of 1965 (7 P.S. § 101, et seq.) provides a maximum interest rate of six percent (6%) for installment loans, but provides a maximum interest rate of one percent (1%) per month, or twelve percent (12%) per year, on revolving credit plans.

http://www.philadelphiafed.org/pcc/papers/2004/NationalBankAct_032004.pdf

[crackers8199]

ok...so how should i proceed here?

[Anonymous]

IF it were me - I would file a complaint with the AG.

I would work to settle the acount with a waiver of the interest.

---

crackers8199 wrote:
ok...so how should i proceed here?

---