I have got trapped in this payday loan cycle and i can’t get out. It has caused me to fall behind on all my bills. I am thinking of repaying them in full with my income tax money if it goes on my credit. I am affraid that i will go to jail. generic cialis prices
Can You Go To Jail For Default On A Payday Loan? Or Does It Go On Your Credit?
4 Responses to “Can You Go To Jail For Default On A Payday Loan? Or Does It Go On Your Credit?”
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You mean one of those places that fronts you money? That just goes on your credit report. You won’t go to jail for that.
You can’t go to jail in the US for debt unless there is fraud involved somehow. The US does not have debtors prisons.
What will happen is that these guys will harass you for the money. There are laws that say how debt collectors can treat people they are trying to recover money from however, the payday loan people are known for ignoring those laws or for finding ways around them.
Another thing that may happen is that they could go to court and garnish your wages. I have heard of places putting liens on cars but I do not know if that was true or not. Might have just been a scare story. What you need to do is research the laws in your state to see what your rights are. Also do some checking on how legal payday loans are in your state. They have been banned in some states and other states have limited them.
Here is a site that gives some of the states and what the rules are for payday lending or small loans.http://www.bankrate.com/brm/news/debt/de...
Why are you only “thinking” about paying them back when you can?
No you will not go to jail. Read the article below on “Not Paying Payday Loans Back”.