Defrauding customers
Complaint
Vernon Usher III
Country: United States
So by now most folks know that payday loans are never worth the time it takes to get one. Once you get them, you practically cannot get out of them. Zip19 issues payday loans without any sort of "pay-down" schedule. Instead, they will remove the entire loan amount plus the service fees in two equal amounts (basically they take the total, cut it in half and then remove them both at the same time).
The reason for this? The only answer is so that if the funds are not availabe in your account, then they can charge you TWO NSF fees instead of one. On my first time using this company, I experienced this because their website incorrectly displayed the dates on the calendar, thus making me choose an incorrect day for payback of the loan. Ultimately, they waived the fees, so I continued to use them. But my story actually gets better.
On the 17th of June at approximately 11am, I submitted a request to zip19 for a payday loan. I have been using this company for close to 9 months now and they have gotten a substantial amount of money from me. Per their own contract, if you cancel within 24 hours, they are supposed to cancel the contract and that should be that.
On the 18th of June, at 9:36am I submitted a request for cancellation. The date and time stamp on the fax confirms this. Even on their own website, they verified that the date and time stamp exist on the form. However their supervisor stated to me that they did not receive it until after 5pm that night. She stated that even though the fax "may" have come through at 9:30am, that they have to use the date and time that "THEY" (meaning the supervisors) got it. So it was posted to their website at 5:06pm.
Thier customer service is horrible. When waiting for a "supervisor" you are placed on hold for an inordinate amount of time. And even then, once you've spoken to them you are given no recourse of a higher entity.
Basically your only recourse with these companies, once they bare their teeth and show their true colors is to close your bank account and hope for a day in court. Otherwise you're stuck paying for something you didn't need.
The reason for this? The only answer is so that if the funds are not availabe in your account, then they can charge you TWO NSF fees instead of one. On my first time using this company, I experienced this because their website incorrectly displayed the dates on the calendar, thus making me choose an incorrect day for payback of the loan. Ultimately, they waived the fees, so I continued to use them. But my story actually gets better.
On the 17th of June at approximately 11am, I submitted a request to zip19 for a payday loan. I have been using this company for close to 9 months now and they have gotten a substantial amount of money from me. Per their own contract, if you cancel within 24 hours, they are supposed to cancel the contract and that should be that.
On the 18th of June, at 9:36am I submitted a request for cancellation. The date and time stamp on the fax confirms this. Even on their own website, they verified that the date and time stamp exist on the form. However their supervisor stated to me that they did not receive it until after 5pm that night. She stated that even though the fax "may" have come through at 9:30am, that they have to use the date and time that "THEY" (meaning the supervisors) got it. So it was posted to their website at 5:06pm.
Thier customer service is horrible. When waiting for a "supervisor" you are placed on hold for an inordinate amount of time. And even then, once you've spoken to them you are given no recourse of a higher entity.
Basically your only recourse with these companies, once they bare their teeth and show their true colors is to close your bank account and hope for a day in court. Otherwise you're stuck paying for something you didn't need.
Comments
There's nothing like a bitter former employee that was terminated for incompetence giving out advice to other people.
Unfortunatley you've only provided about half of the correct information to these people and because you were terminated last year, you are woefully unaware of new changes to payday loaning laws.
Your bitterness can easily be found in this sentence "(that is me wanting to screw with their heads)"...thanks for admitting that.
Anyway, it is pretty funny that people who are looking for competent advice are getting it from somebody who loved their job until they were fired for gross incompetence. What you should have told them is that you apologize for not being able to help them more, because if they had loaned back when you worked for collections (not your exaggeration of having helped design the collections department) they would have had it easy because you ran the department like Homer Simpson!
They are going to be a little dissapointed when they follow your advice and can no longer buy furniture on credit or get cell phone plans because they didn't pay back a contract they agreed to.
You probably should have told them about that last part because what you are doing is giving advice on how to get them in further trouble. You also know that the 3rd party agency they will be sent to is going to put a mark against them on their credit.
So they may not be able to get something as simple a cell phone, or buy furniture on credit or get a payday loan with other companies and eventually if they don't pay it back they may not be able to get credit anywhere including banks. Why wouldn't you tell them that?
Oh yeah, because your motive it to do damage to the company that pointed out your incompetence, NOT to actually help these people.
You were born without the gene for shame.
that looses all credabilty in my head
go vent somewheres else we need help
And since California clearly has jurisdiction and Northway is unlicensed in California that section 23060 of the California Financial Code clearly voids the contract.
23060. (a) If any amount other than, or in excess of, the charges
or fees permitted by this division is willfully charged, contracted
for, or received, a deferred deposit transaction contract shall be
void, and no person shall have any right to collect or receive the
principal amount provided in the deferred deposit transaction, any
charges, or fees in connection with the transaction.
(b) If any provision of this division is willfully violated in the
making or collection of a deferred deposit transaction, the deferred
deposit transaction contract shall be void, and no person shall have
any right to collect or receive any amount provided in the deferred
deposit transaction, any charges, or fees in connection with the
transaction.
Isn't that correct? Or am I missing something?
Also it that email I informed them that I didn't think some of their tactics were legal and would be calling the BBB of The USA. I received a reply saying my account was closed and it would be given back to their client.
All in all, it was a very good experience and I would probably use them again (unless I can find a cheaper service ... lol)
Long story short, they waived the NSF fee for 5 days after my payday which allowed me to get the money together. I thought they were very friendly and I would certainly go back if I needed another loan.