Posts Tagged ‘consolidating payday loans in New Jersey’

Consolidating Payday Loans In New Jersey

If you are considering consolidating payday loans in New Jersey, it only means you have been scammed and treated illegally and unfairly. It is very important for you to keep in mind that New Jersey is one of those states that have banned payday lending. If you are a resident of this state, it is illegal for any cash advance lender (no matter whether their office is located in the state or outside the state) to issue payday loans to you. The ban is applicable to even Internet based lenders. It is however quite unfortunate to see that many payday loan companies that are running their business from Internet are not following the laws properly. Besides that, many companies are offering these loans under different tags. The small loan rate cap applies in New Jersey, as per which no lender can charge more than 30% per annum as interest on just any type of loans.

File A Complaint

Before you go ahead and start working on your strategies for consolidating payday loans in New Jersey, the first thing you have to do is to find out if the payday loan laws of your state have been violated by your creditors. If yes, there is no need to worry about the repayment; instead, you just have to file a complaint with the New Jersey Department of Banking and Insurance against those lenders. You can give them a call at (609) 292-5360. Their office is located at 20 West State St. Trenton NJ 08625. The next time you get a debt collection call from your creditors, let them know that you have filed a complaint against them and they must stop harassing you for the repayment. However, since you have borrowed money from them, you may still have to repay at least the principal amount without any interest. Give an offer to those lenders that you are willing to repay the principal amount but you are not going to pay even a single penny as interest. If they accept your offer, ask them to do it in writing. Once you get the new repayment terms in writing, make the payments and that should be it. However, in any case, as a responsible citizen of this state, you must file a complaint so that other consumers can be protected from their predatory lending claws.

What If You Are Not Even Able To Pay The Principal Amount

If you have borrowed multiple payday loans, you may not be able to pay off even the principal amount. In that case, you can consider consolidating payday loans in New Jersey. There are so many agencies out there that offer payday loan debt consolidation programs for the residents of this state.

Write Down The Details On A Paper

You will have to approach the process of consolidation through proper planning. For example, the first thing you have to do is to write down the principal amount that you have to repay on each loan account. There is no need to write how much interest or other charges the contract says are applicable. You should never pay interest or other charges on these types of loans as long as you are a resident of New Jersey.

Figure Out The Aggregate Total Principal Amount Due

You just have to add the principal amounts together to find out how much exactly you have to pay in aggregate total. For example, if you have borrowed fifteen loans and each of them amounts to $200, you actually have to repay $3000.

Contact A Reputable Debt Consolidation Agency

When it comes to consolidating payday loans in New Jersey, the next thing you have to do is to contact a reputable agency. There are many unscrupulous agencies also available out there in the market. Therefore, you have to be careful in your selection. Make sure you do a thorough background check, such as checking their past records by contacting by BBB (Better Business Bureau). Make sure that the consolidation company you are considering signing up with is also duly licensed by the New Jersey Department of Banking and Insurance. The agency will review the documents and then suggest you a suitable program.

Obtain A Debt Consolidation Loan

If you have a steady employment history with decent credit score, you can easily qualify for a low-rate debt consolidation loan. The program will eventually allow you to make the repayment in small monthly installments over a certain period of time, but this time, you will be paying interest on it.

Overall, when it comes to consolidating payday loans in New Jersey, you must have a thorough understanding of how the payday loan laws work in your state. You will have to plan everything accordingly. As you can see, the debt consolidation program actually requires you to pay some interest while legally you just have to repay the principal amount on your payday loan account. Therefore, it would be a better idea to talk to your creditors directly and convince them to allow you to pay in small installments. If they agree, you can pay off the debts easily without needing to pay any interest.

Custom Search

Basic Things You Must Know About Bankruptcy Dismissal

When you file a petition for bankruptcy and the court rejects your petition on certain grounds, it is legally termed as bankruptcy dismissal. Dismissal means your case is officially closed and that the court will make no further rulings on your case. Some of the most common reasons why a petition is...

Credit Repair

Building Credit With No Credit

When it comes to building credit with no credit, there are several online canadian pharmacy factors that you need to take into account. Just because you do not have any credit history at present, it does not mean you will never have one. No one is born with a readymade credit history. You have to gi...

Credit Repair

A Loan To Defeat All Loans Debt Relief Loan
Payday loans fax-free payday loans and instant online payday loans are everywhere be it on the Internet newspapers or television. Today when the economy is in turmoil these loans look like the saving gra... Read more

Tips On How To Consolidate Payday Loan Debt
You may need to consolidate payday loan debt when you are caught in the middle of a financial crisis arising out of your inability to repay multiple loans. Debt consolidation loan allows you to consolidate all... Read more

Do Not Put Up With Debt Collectors Harassment
There was an emergency and the need arose to take a payday loan. It seemed to be the fastest and the best option available then. However now the debt collectors harassment is horrendous. The fact that using t... Read more

Consolidate Payday Advances To Save Yourself
Payday advances are loans taken against a persons paycheck. They have a way of digging into your paycheck month after month. They usually have exorbitant interest rates though the sites offering the services... Read more

Can I Consolidate Payday Loans
Can I consolidate payday loans is a question you are sure to ask yourself when faced with a trying financial situation. When payment of loans becomes difficult it is possible to consolidate and replace many... Read more

What are the pros and cons of debt consolidation?