Online Payday Loans

Online payday loans

Here is a question that was recently asked:

Hello! I'm currently using a consumer law firm outside my state to settle multiple online payday loans I made several months ago. They are taking over $500 a month that goes to a dedicated account set up but they don't really try to tell me where my payments goes to. I won't be able to find out if all my debts were settled up until I finish the 10 month program. Rt. now I'm in a situation that I can't even make the monthly payments anymore. I just need to know if I did the right thing. Is there an alternative solution to my dilemma? Thanks!

In my experience, these types of companies charge too much in fees and take to long. Hence, their clients do not have much success as the first responding attorney noted.

I offer this service to my clients, however, they need to have the money saved up to offer a compromise. Otherwise, I believe that I am doing a disservice to the client. The key to debt settlement is to offer between 15% to 80% of the total value of the debt. If your disciplined enough, cancel your contract and set aside the $500 per month in a bank account. When you reach 50% of the debt level, call the company to offer a payment. Be careful however, they do not have to accept the offer and they have a right to sue you for the full amount, plus interest and maybe attorney fees too.

Too often the clients do not have enough money to "settle" their debt. If the debt is too much, then it is time to start talking about the dreaded "B" word, bankruptcy.

Ken Jorgensen, California Attorney
www.fresnobankruptcylawgroup.com

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