If you are a New York resident and you are burdened with cash advance loans, you are not alone in your fight for financial freedom. These predatory loans, which are also called payday loans, are difficult to pay due to the short term nature of the loan and the high fees added to the cost. Settling the cash advance can provide some relief to the financial burden so that you are free of these particular debts.
New York State Laws:
Any New York resident should understand the state laws regarding fair lending practices and the methods that lenders use to get around the laws. New York is one of the strictest states when it comes to predatory lending and payday loans.
In New York, loans have a set interest rate cap. This means that lenders should not provide loans for an interest that is higher than the capped rate to any resident for short term use.
The state also has laws relating to post-dated checks. The state does not allow any lender to cash post-dated checks. This means that any check written with a future date will not cash in the state of New York until after the date has passed. While this law does not directly relate to every situation, those who take out loans and offer a post-dated check as collateral can rest assured that the charges will not go through until the date specified in the loan agreement.
Getting Around the Laws:
Despite the fact that New York state does have an interest rate cap on cash advance loans, many lenders work with banks that provide funds from out of state. This is the primary method of offering cash advance loans at a higher rate because the lenders import the out of state interest rates.
Even as a New York resident, those higher interest rates imported from out of state still apply to your financial situation. This means that you are still obligated to pay according to the terms of the loan.
Settling to Resolve the Debt:
Resolving the cash advance loans is the key part of getting the finances in a better place. One of the best ways to quickly resolve the debts and eliminate the loans is through settlement services.
When you decide to settle New York cash advance loans, you are determining that it is time to get rid of those unnecessary added payments. Since the lenders are likely working through out of state connections that cause you to pay much higher interest rates than the state allows, you have the right to work on a compromise that will prevent you from suffering the predatory lending practices of other states with more relaxed lending laws.
Our settlement services are available in every state around the country. This means that we can act as representatives to help you settle your cash advance loans even if you lender is from out of state. Our professionals are able to negotiate a settlement with creditors who maintain their main office outside New York State.
We understand that your goal is eliminating the debt and we go to the meeting with your creditors ready to discuss a compromise that will make it easier for you to pay the debt in full by making a single payment.
Expectations in Settlement:
When you opt to settle New York cash advance loans, you need to understand what to expect out of the settlement program. While we cannot give any definitive figures on how much you will need to pay, we can assure you that negotiation is always a possibility when working with cash advance lenders.
Before the negotiation starts, you should expect us to find out a little information about the situation. We cannot go into the negotiation without understanding your personal goals and what you think is a possible payment you might make on the account. Only when we are armed with information are we ready to move forward.
We will ask for a reduced payment on the account. The lender will counter our offer and the bargaining for the best rate will begin. Depending on the lender, the state that issued funds and similar factors, it might take a little time before the negotiations are complete. During that time, you should not receive phone calls, letters or other communications asking for payment.
Settlement is a matter of compromise, negotiation and bargaining. Our professionals are able to help eliminate those cash advance loans by bringing down that amount you need to pay to the lender. Settlement is a solution that might take a little time but ultimately saves you money. If you have any questions about settlement or other solutions that might apply to your situation, call us or fill out the form for a free debt appraisal.