Here is a story where predatory payday loan lenders tried to scam a woman from New York out of additional money.
It is always sad to hear about paying customers who fall prey to scams. Luckily, this story ended on a good note, but it is a great story to retell to warn others about choosing to borrow from online payday loan lender who does not follow state regulations.
Beware of payday loan lenders who do not follow state regulations.
A young substitute teacher went online to look for a payday loan lender to help her out with some bills during the summer months. Normally, this sounds like a perfect example of how payday loan lenders help people every day. Take out a small loan, get your bills paid on time and repay the loan with your next paycheck. It is a working scenario for people every day. This woman lives in New York and payday loans are illegal in that state. State regulations do not allow payday loan stores to set up shop. Unfortunately, you can’t keep online web pages off the resident’s computers, so online payday loan lenders can be found by anyone with access to the web. She was able to find an online lender willing to lend money to her, and this is where the problem begins.
Responsible lenders will not lend in the state of New York so in order for her to find an online payday loan lender willing to give her access to fast cash, she found one who was either not under state jurisdiction, a fraudulent company, or a predatory one that chose to break the New York state regulations.
One week after taking out her payday loan online, she got a phone call from someone claiming to be with the Attorney General’s Office. This man claimed that he had three criminal actions against her and that if she didn’t pay a certain amount the police would be going to her home to arrest her.
She called the police and worked with the authorities to try to get the scammers to meet her in person for additional money so they could arrest them. The scam artists demanded almost $600 from her which was supposed to be wired through Western Union.
The authorities were able to freeze the account, but were not able to identify the people behind the scam. The young lady reached out to a state Senator for additional help. No one knows who the thieves were. The lending company could have had an unprotected website which would be inviting for any hacker. The company that made the payday loan may not be the thieves, but they are definitely predatory lenders doing business with a woman from a state which does not allow payday loans of any kind.
Spotya! Online Payday Loan Lenders follow all state regulations. Responsible lending and borrowing are must haves in order for the short-term low cost payday loans to be successful.
