Cash Advances

[Brenda50]

What is the name of your state?Ohio
Just went through a Divorce and got into some financial hardship so started doing cash advances overnight to my checking account to keep up with regular bills but the advances caught up with me and I am not sure how to handle them. I have sent them all letters letting them know that I want to pay but I need to make the payments to match my budget. Also they keep trying to withdraw from my account and the fees keep going up. I stopped in and talked to my bank but tey won't close the account until I get all the fees paid so I am totally lost don't know where to turn or what to do.

 

[djohnson]

He means they won't close his account with a negative balance yet. They eventually will and then want their fees also. If you are going to open a new account, good luck. Most will run checks to make sure you haven't left bank fees at old accounts and credit check. If you file bankruptcy first then it will lessen your chance of opening an account. It does sound like bankruptcy might be an option for you. If so you may have to deal in cash for a while until you can get something else going, or check small local banks that don't do the checks on customers.

 

[justme73]

iowa
we went through a similar situation with these cash advances a couple of years ago. we contacted our attorney general and got some advice from their office. we were recommended to stop payment on all the checks, put the companies on a stop pay list at the bank so they would not try to put it throught ach, and contact each company and let them know that we were needing to stop these accounts. we did so and worked with each company to pay them off. most of them included a late fee/bounced check fee, but stopped the interest and let us pay the remaining balance. of course, there were the ones who demanded the money immediately, but we were recommended by the a.g. office to verify in writing to them, and send it certified, that these are the terms we were paying on. basically, they could try to sue us for the $$ but by the time they did all of that work, we would have the acct paid for. Doing these things, we took care of all of them. Let me know if I could be of any more help!

 

[djohnson]

Also, a piece of advice, just talking to an attorney does not put a stay on the collections. They can continue efforts until it is filed and you have a case number. If just telling them you were foing to file stopped them, everyone would be doing it. If you do file, get everything together and do it soon, don't drag it out where there could also be judgments and garnishments to deal with also.