You will not go to jail for not paying back a payday loan, but youwill be sued in a court of law. The judge will rule that you mustpay the loan back and not following the verd…ict could result in abench warrant. (MORE)
You can't go to jail anywhere simply for defaulting on a payday loan, anymore than you can for defaulting on a mortgage, car loan or credit card. There has to be something mor…e, like using someone else's identity to obtain the loan, for a criminal offense to have occurred. (MORE)
No, not paying your debts is not a crime, it is considered a civil matter and the lender can sue the borrower in civil court and receive a judgment to use against property or …income belonging to the debtor to collect the debt owed. Except in the state of Arizona. In AZ you can be charged with either a misdemeanor or felony for not paying back a payday loan. In that state the loan centers got around the civil litigation by being declared banks, so in AZ you would be charged with Bank Fraud. (MORE)
No, the non payment of ones debts is a civil matter not a criminal one..
The rare exception is, if it is proven that the borrower/consumer deliberately obtained monies and/or… goods by fraudlent means. (MORE)
Not exactly. But, if you wrote a check for it that was on a closed or account you knew didn't have the funds available, that is a criminal act, punishable by jail time..
Th…e idea of putting people in jail (a debtors prison), for default or not paying is no longer done or acceptable. (MORE)
Yes. Ignoring a summons is a crime unrelated to the matter at issue. If you do not respond you may be committing the criminal offense of 'failure to appear' or 'contempt of c…ourt.' You should seek the advice of a competent attorney before ignoring any legal document. (MORE)
No. It is a common tactic amongst unscrupulous payday lenders to make threats that they cannot enforce, and in fact, it is illegal for them to make such threats. They are well… known for threatening arrest and impersonating law enforcement during collections. Often, these payday lenders are not even located inside the US. Any lender should be licensed in your state. Chances are, internet payday lenders are not licensed at all, which makes their loans unenforceable. Even if a lender is legitimate, and you default, you cannot be charged with a crime for simply failing to pay. They may try to tell you that you have violated some wire-fraud or bad-check crime, but you have not. If your state allows payday lending, then they may possibly sue you in civil court for default, just like any other lender. (MORE)
Yes they can and will. They are a classic predatory loan company that will do everything in their power to get the money that you rightfully owe them. The cost of taking you t…o courit will most likely be paid by you also. The interest rates these companies charge is wildly high, but it is the duty of the individual that borrows money to decide if they have a valid method to repay the loan. (MORE)
Actually, you won't go to jail if you defaulted on payday loans and it doesn't matter in what state you live. However, you can face some problems with your credit score, so, d…on't be surprised if it will be declined a lot. Besides, you will lose the ability of taking another payday loans as you personal data will be listed in the so-called blacklist that is distributed among the lenders. (MORE)