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The experienced bankruptcy lawyers from our Tacoma, WA law firm can help you put an immediate stop to your pay day loan debt collection. Contact us today to learn if you can qualify for a Washington State bankruptcy. Your first initial call is FREE, and is a great way to get the fast,knowledgeable answers you deserve.
Eliminate your pay day loan debt by filing for bankruptcy in Washington State.
If you live in Washington State and are stuck in the pay day loan cycle, you can end it immediately by filing bankruptcy. Pay day loans are supposed to be short term emergency loans that are paid with a post dated check on pay day. Many people find they need to extend the loan or take out a new one when pay day come, especially when they have a large amount of other debt.
The automatic stay in bankruptcy stops the collection of pay day loans the second the case is filed. Pay day loans can be easily discharged at the end of a Tacoma bankruptcy.
Reading the fine print.
Many people think that pay day loans cannot be wiped out in bankruptcy. Pay day loan companies often tell their customers this. Some pay day loan agreements even contain a provision that the debt cannot be discharged in bankruptcy. Courts to not recognize contracts that say a loan is not discharged in bankruptcy. The only way a pay day loan company can exclude the debt from the discharge is by filing a fraud case in bankruptcy court.
It may seem that a pay day loan company can easily claim fraud because they are based on a “bad check”. In reality, being unable to pay a pay day loan or getting stuck in the pay day loan cycle is not like writing a bad check. You are not paying for something with a check that you claim is good but know is not. You are making a promise to pay the loan back in the future, just like any other loan. Of course any debt in bankruptcy is based on a promise to pay in the future. It is only fraudulent when you have no intention of keeping your promise.
The immediate steps to take.
If the pay day loan company is holding your check or has your account information, you may want to close your old bank account if you decide to file bankruptcy. It would be a good idea to open a new account before closing the old one. You can try putting a stop payment on the pay day loan but banks charge a fee for that and it may not stop the payment from going through in time.
Our bankruptcy lawyers in Tacoma, WA can help – call for your FREE consultation.
The bankruptcy lawyers in Tacoma, WA from our law firm offer your first consultation for free. We are here to help answer your questions and get you back on your feet financially with our affordable fees and flexible payment options. Call us today.
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