I've hit rock bottom

[granny031350]

I wish you luck with the payday loan lenders.  They are ruthless.  And at least in my state, they were allowed to triple the amount owed and include late fees and penalities.  They will sue.   I included 2 in my BK and they were awful, even after the auto stay was in place.  My attorney had to call them and tell them they were in violation of the auto stay.  GL with that.

And GL with your wife.  Stay strong!

[BungalowMo]

Hi Rob,

I'd just read through this entire thread.  LOTS of great information & ideas.  I just wanted to send along some positive energy and good thoughts.  I hope things go well for you and your wife... keep each other close as you don't want to lose what you have together.

Anything is possible given time, love and attention.

Good luck to you & I'll have you in my prayers.

[tanbat501]

Hi Rob,

I went through the same thing about 2 years ago except I had 12 payday loans. It took 9 months and a lot of phone calls but between myself and CCCS I got through it. It just takes patience. They get nasty they make threats but its basically all just words. The reality is they would rather work something out with you instead of not getting anything at all. Good luck.

Message Edited by tanbat501 on 05-20-2008 07:35 AM

[Anonymous]

Well I have been in touch with the PDL companies, and they aren’t too excited about my meager payment options.  In June I’m going to begin sending what I can to each of them in the form of cashier checks so that if they decide to sue me, at least I will have those payments and the letter I wrote them to present to the judge showing that I am doing the best I can.  A lot of this is my fault, I have to admit.  I knew better than to overextend myself so much.  To be honest, I should never have been given approval for my home mortgage with the amount of money I make.  I had a fico score of 580 when I was approved for my home loan and my debt to income was well above 50%.  But I could afford it (barely) and then I got behind one month, then another, and got a PDL to cover the “unexpected” expenses, and it went downhill fast from there.  I  got a “real” loan to cover my PDL’s, but that just put me further behind and I got back into the PDL’s again (stupid me).  Now I am looking for additional source of income.  My wife may start a mini-daycare at home at least until we get caught up and perhaps even longer if it works out.  I missed payments on one of my loans because of this and that got me caught up (almost) with late utility bills and other priority bills (car payment, car insurance, groceries, etc).  Basically this month was a big catch up month to prepare myself for this big battle.   I still owe $370.00 in late payments for my electric, but I will cover that with my stimulus check and the money I save by not having the PDL fees eating away all my money.  I lowered my TV/Cable/Internet bill and my phone bill by eliminating features and minutes. 

 Anyway, My mortgage company is allowing me to repay the late payments over 18 months, so my mortgage payment will only be about $100.00 more per month over that time and I can afford that if I don’t get garnished…can they garnish me and force me to not be able to pay my mortgage?  That’s one thing that would really suck.  That and going to court 8 times for each of these payday loan defaults.

[Anonymous]

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rcuomo70 wrote:

 Anyway, My mortgage company is allowing me to repay the late payments over 18 months, so my mortgage payment will only be about $100.00 more per month over that time and I can afford that if I don’t get garnished…can they garnish me and force me to not be able to pay my mortgage?  That’s one thing that would really suck.  That and going to court 8 times for each of these payday loan defaults.

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Rob,

The only way a creditor can get a garnishment is to sue you, win, get a judgment, and enforce it.

In some states there is a limitation on the amount of the garnishment.  For example, they may be able to take a maximum of 25% of your paycheck (I think that's net of taxes, but it varies among the states).

Whatever you do, make sure you show up in court.  It's worth pleading your case. If you don't show up the PDL company gets an automatic win (judgment against you).  If you show up, it's even possible that they won't and the case could get thrown out.

[Anonymous]

Thanks masdeocho: I will definitely show up in court if it comes to that. I have been in court like this before, over a medical bill. I did not owe the bill because they made this mold that I specifically told them not to, but since I didn't have it in writing I lost. This time I am trying to be proactive and show that I made the attempt to settle the debts; last time I had refused to pay but didn't keep any notes or anything.