This would be a civil matter and the loan company can take you to civil court and get a judgment against you. Then they would proceed with aggressive collection attempts and hound you until you fork up their money.
You will by then owe considerably more than the $1,000.00 because the contract that these companies have you sign usually spells out the maximum interest allowable by law which is tacked on to your principal amount as well as court costs and attorney fees.
These people never go away so unless you plan on filing for bankruptcy in the near future it would be in your best interest to pay these folks off before the charges really begin to mount on you.
They prefer not to handle loan collection in the courts and will usually work with you if you pay what you can and make arrangements to pay them off. Contact them and let them know your situation. But do not borrow more money from them or you'll never get out from under their thumb,
Do not ignore them and think that avoiding them is going to make them go away. Contact them and work with them like you did to get the loan in the first place. Get all agreements in writing!
