Jacob
USA#2Consumer Comment
Fri, February 18, 2011
All right, I didn't realize it was the original creditor, so I guess I made a mistake on this one.
But I'm not the one trying to avoid a debt. I was just trying to help.
Striderq
Columbia,#3General Comment
Thu, February 17, 2011
Since Ace is the original debtor the Collector's act does not apply. However you do have the right to have them not call you at work. This request is best in writing send via return receipt so that you have proof that they received it.
Yes, they can garnishee your wages, HOWEVER they have to get a court order to do so. I would suggest to get this paid, make sure you get a receipt showing paid in full, as soon as possible. The reason they're playing hardball is the closure of the account. I understand you were trying to protect yourself from them taking the whole amount but look at it from their side. You took the loan and when they tried to process payment the account was closed. Of course this raised some red flags. The best thing to do would be to pay them as soon as possible and then not use them or any other similar service again. It's a vicious circle that's hard to get out of once entered.
Best of luck to you.
Flynrider
Phoenix,#4Consumer Comment
Thu, February 17, 2011
The FDCPA applies to 3rd party collection agencies, not to the original creditor. So, forget about using that to get the lender off your back The garnishment threat is mostly empty. In order to obtain a garnishment, the lender would first have to obtain a judgement in court. Additionally, under Texas law, wage garnishment would not be possible for this type of debt. That does not mean a lender can't collect. If they are successful in obtaining a judgement, they could garnish your bank accounts.
Basically, you scraped the bottom of the barrel (i.e. payday loans) to get some quick cash. The business model for these places are high risk, high interest loans to folks who are likely to default. Hence the aggresive collection tactics. I'm not sure how this could be classified as a ripoff, since you have clearly defaulted on your contract to repay.
" What can I do? "Robert
Irvine,#5Consumer Comment
Thu, February 17, 2011
Jacob....
You have rights to request that they not contact anyone other than you, and that they only contact in writing (not phone). It does sound to me like they are violating the Fair Debt Collection Practices Act.
- The FDCPA covers ONLY 3rd Party Collection Agencies, Ace is considered the Original Creditor so they do not have to abide by it. If you go after them spouting off FDCPA regulations all they are going to do is laugh, knowing that they can do what ever they want because you don't know what you are talking about.
Now back to the OP...
I checked that consumer debt is not a legal wage garnishment in the state of texas.
- You are correct, your wages can not be garnished in Texas for a consumer debt. However, they can still attach your bank accounts. But to do that they must file suit and get a judgement against you first.
Now, when you applied for their loan you gave them your checking account number. If they do sue you they will use that to get the attachment of your account. So immediatly close that account and not only open a new account, but a new account at a totally DIFFERENT bank. If you have any other accounts at the original bank close those as well. Not that they still won't find your new account, but it just becomes harder for them.
If you really do want to make good on this then make sure you get what ever agreement you have in WRITTING and follow through with it.
locoone
United States of America#6General Comment
Thu, February 17, 2011
I don't agree with you, the most central point in our being are not treasure but our health and love like nitric oxide for bodybuilders
Jacob
USA#7Consumer Comment
Thu, February 17, 2011
You have rights to request that they not contact anyone other than you, and that they only contact in writing (not phone). It does sound to me like they are violating the Fair Debt Collection Practices Act.
http://www.privacyrights.org/fs/fs27-debtcoll.htm
However, I'm really not thrilled with your conduct either. If your car insurance just lapsed "for some reason" then you are obviously careless about preparing for and upholding your own responsibilities. I'm sorry that you went to the hospital, and I do hope you are able to penalize this company for FDCPA violations, but nonetheless I also hope you pay the money you agreed to, on the timetable you agreed to.