Complaint Review: EZ Cash Loans - Los Angeles California

About a year ago, my business partner and I applied for a small loan on the Internet from a company called EZ Cash or EZ Paydaycash or some variation of this.  Their name kept changing.  Either way, we never followed through with taking a loan because it seemed to be not the right time for us to do so and it just seemed like too much trouble to go through for a $300 loan.

The unfortunate thing though was that we had already filled out these loan applications online from this company and a few others that kept sending us email messages and these loan applications included my social security number, address, date of birth, phone number etc.  These companies said they needed this information or they could not issue us a loan should we qualify.

A year later (just this month we began receiving email message from an Andrew Hobart at ezpaydaycash.net or EZ CASH Loans saying that we had defaulted on a loan that we took with them.  They said they were going to take us to court and that we would have to pay $1589.46 on a $300 loan.

They presented a court docket number and case number and our loan number and said they would "see us in court" and that we would have to pay this large sum of money because we never responded to their countless email messages attempting to reach us about our loan repayment.

It got to the point that my business partner and I began to argue with each other about which one of us took this loan and as it turned out, neither one of us did.  This company took our old loan application information from a year earlier and used it to make us think we actually took a loan with them and then never paid them back.

It was not until I remembered having filled out these loan applications that I figured out what was going on.  So I sent them an email message (keep in mind, this had caused discontentment and immeasurable harm already to my business partner and I and I was livid) and I threatened to find this moth*r fuc*$r and bring immeasurable hurt to him if he didn't stop sending us email messages and threatening us.

Then I did an Internet search for these bottom feeding low life’s and came upon this website and that is why I'm filing this complaint now.

Here is the email message that Hobart sent to or business email address.  I won't include my ultimate reply email message because it has a lot of really nasty words in it and I have to admit, this son of a b***h got to me and I let my temper get the better of me.

In hindsight, I wouldn't have hit the send button but hey, I guess I'm only human like the rest of us and we've all got stressor points.  In today's economy with money being so hard to come by, most average, hardworking Americans are already at their maximum stress levels.  So when a b*****d like Hobart or whatever the hell his name is comes along and so artistically and cleverly tries to rip us off, some of us are just going to lose it.  Which I did.

 

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The email messages from Hobart along with an attached PDF file From "Kelly Graham Bell" containing an official looking LOAN AGREEMENT that they say was digitally signed by me (but NEVER was) is here below:

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Name: Randy *****

Account# SNR-90151***

 

Dear RANDY,

 

We are notifying you regarding your loan with EZ CASH Loans. In the Event that you fail to voluntary satisfy our requirements for payment of your debts to EZ CASH Loans, we will have to turn to the court with the purpose of enforced collection of the debt, which may entail additional expenses for you, for example, the expenses in the amount of state duty, the cost of representative’s services for the compearance, the compensatory interest for the use on detention of money for each day of delay, attorney’s fees, court fees and the execution fee.

Please refer to the file attached with this email for all the brief information regarding this outstanding debt. The attached file is a digitally signed consumer loan agreement between you and the company. Please read all the terms and conditions for the better understanding.

If you wish to pay the Loan in Full, or make a Principal Payment in addition to your fees and interest due, please contact us back through email as soon as possible.

We do value your business, so if there is an error on our part and payment has been made, please contact us immediately so that the matter can be rectified. 

Otherwise, if there is a problem paying this invoice, please contact us so that an alternative arrangement for payment can be made.

Regards

Andrew Hobart

http://www.ezpaydaycash.net/

 

EZ CASH Loans

This communication is confidential and may contain privileged material.  If you are not the intended recipient you must not use, disclose copy or retain it.  If you have received it in error please immediately notify me by return email and delete the emails.

We notified you regarding your balance and your payment arrangements. We are not getting any reply from your side. What do you want to do with your payments?

Are you interested in resolving this issue outside court-house?

We already send you many emails to inform you regarding a Lawsuit filed against your name and your social security number. We understood that you don't have any interest in paying back your outstanding balance. We will have to go legally with your issue.

We are extremely sorry for the Inconvenience. Let's handle this case in legal manner.

LA7009438*** is your case number. The Lawsuit has been filed. You will receive court summons, subpoenas and other legal documentations till July 12. Let’s face this issue in legal manner.

We will see you in the court house. We are extremely sorry for the inconvenience but we didn’t receive appropriate response from your side on this debt. We understand your intention regarding your payment. We received the commencement dates of our case. The suit is already placed and the case for the claim will start on July 26.

Now, you will have to pay $1589.46 in front of Jury if you will lose the case. The sum includes your Pending Debt with interest, Attorney's fee, Court fee and suit charges. So be ready with a good lawyer because we know that we the result will be positive for us regarding your debt.

 

 

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Then they sent an email with an attached PDF file with an officially looking Loan Agreement that they say was digitally signed by me.  I signed no such loan agreement and I NEVER received any loan funds from them or anyone else:

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all payments

as scheduled.

$510

Payment

Schedule:

Two Payments of $255.00 each are schedule on April 13, 2012 and May 11, 2012.

Security: You are giving a security interest in the ACH Authorization to Debit and Credit Bank Account.

Prepayment: If you pay off early, you will be entitled to a refund of the Finance Charge.

(e) means: Estimate*

See your Loan Agreement for any additional information about nonpayment, default and prepayment refunds.

* The annual percentage rate is an estimate based upon the date on which we anticipate the proceeds  will be deposited into your account. It varies between 250% to 750%.

ITEMIZATION OF AMOUNT FINANCED:

1. Amount given to you directly:$300

2. Total Amount to be paid:$510

ACH Authorization to Debit and Credit Bank Account: You authorize us and our agents to initiate  an ACH credit entry to your checking account or a prepaid account. You can also authorize  Debit/Credit Card Payments in order to disburse the proceeds of this Loan Agreement.

You also authorize us and our agents to initiate ACH debit entries to your Bank Account in order to collect all  amounts owing under this Loan Agreement, including a returned item charge, if applicable. You  agree, if your initial ACH debit is returned for any reason, we can and may create a remote check and  submit it to your banking institution. Because this is a single payment loan, this ACH authority is not  authority to initiate ACH debit entries at substantially regular intervals.

This ACH authorization will remain in full force and effect until the earlier of the following occurs: (i) you satisfy all of your payment obligations under this Loan Agreement or (ii) you provide the Paying Bank or us notice of  your termination of this authorization in such time and manner as to afford the Paying Bank or us a  reasonable opportunity to act on your instructions. Finally, you acknowledge that the origination of  ACH entries to your Bank Account must comply with applicable provisions of U.S. law.

Prepayment: You will not incur any additional charge, fee or penalty if you prepay your obligations  under this Loan Agreement. However, because we earn the fee upon consummation of this Loan  Agreement, you will not receive a rebate or refund of the fee (finance charge).

Security: Pursuant to Comment 2(a)(25) of the Federal Reserve Board Official Staff Commentary to  Regulation Z §226.6, we have disclosed to you that our interest in the ACH Authorization to Debit  and Credit Bank Account is a security interest for Truth-in-Lending purposes only, because federal

and California State law do not clearly address whether our interest in such is a "security interest."  Default, Revocation, Returned Item Charge, Collection Costs and Assignment:

You will be in default under this Loan Agreement if you do not timely pay us any amount you owe us under this  Loan Agreement. We may revoke this Agreement at any time if the information you provided us prior  to entering into this Agreement is inaccurate; provided however, you acknowledge and agree that the  provision entitled "Waiver of Jury Trial and Arbitration Provision" shall survive any revocation of this  Agreement and shall continue in full force and effect unless you and we otherwise agree in writing.

If the Paying Bank returns an ACH debit entry to your Bank Account, then you must pay us a returned  item charge of $199. We will charge and collect only one returned item charge under this Loan  Agreement no matter how many times the Paying Bank returns an ACH debit entry.

You should be aware that the Paying Bank may also charge you a returned item charge and may revoke your Bank  Account privileges. If you default under this Loan Agreement and we pursue collection efforts against  you, then you must pay all reasonable attorneys’ fees, court costs, and other costs awarded by a court  which were actually incurred by us. We may assign or transfer this Loan Agreement or any of our  rights hereunder, without notice to or consent from you.

Refinancing: You may be eligible to refinance this loan up to five times. If refinancing is requested  by you and approved by us you must pay all outstanding fees and 30% of the original principle, or a  greater amount if required by us, as a condition of the refinancing.

Extension of Payments and Maturity: Neither the maturity date nor the payments due pursuant to  this Loan Agreement may be extended.

Communications: You agree that we may communicate with you (for any reason relating to your  account, including debt collection purposes) by electronic means using the electronic mail address  provided to us in your application and/or by automatic dialers which may play recorded messages,

and that no such communication will be deemed to be unsolicited.

We may not call you or send a text message at any number you provide including calls to mobile and  cellular devices, for any lawful purpose. You also know that such calls will not be unsolicited calls for  purposes of state and federal law.

Governing Law: This Loan Agreement, excepting the Waiver of Jury Trial and Arbitration  Provision, shall be governed by and construed in accordance with the laws of California State.  To the broadest extent possible, any state law claims you may assert against us relating to this  Loan Agreement, and any state law claims we may assert against you relating to this Loan  Agreement, will be governed by the laws of California State. The Waiver of Jury Trial and  Arbitration Provision shall be governed by the Federal Arbitration Act, 9 U.S.C. §§ 1-16.

WAIVER OF JURY TRIAL AND ARBITRATION PROVISION

Arbitration is a process in which persons with a dispute: (a) waive their rights to file a lawsuit and  proceed in court and to have a jury trial to resolve their disputes; and (b) agree, instead, to submit their  disputes to a neutral third person (an "arbitrator") for a decision. Each party to the dispute has an  opportunity to present some evidence to the arbitrator. Pre-arbitration discovery may be limited.

Arbitration proceedings are private and less formal than court trials.

The arbitrator will issue a final and binding decision resolving the dispute, which may be enforced as a court judgment. A court rarely overturns an arbitrator's decision. We have a policy of arbitrating all disputes with borrowers which  cannot be resolved in a small claims tribunal, including the scope and validity of this arbitration  provision and any right you may have to participate in an alleged class action. THEREFORE, YOU

ACKNOWLEDGE AND AGREE AS FOLLOWS:

1. For purposes of this Waiver of Jury Trial and Arbitration Provision (hereinafter the "Arbitration  Provision"), the words "dispute" and "disputes" are given the broadest possible meaning and include,  without limitation

(a) all claims, disputes, or controversies arising from or relating directly or  indirectly to the signing of this Arbitration Provision, the validity and scope of this Arbitration  Provision and any claim or attempt to set aside this Arbitration Provision;

(b) all federal or state law

claims, disputes or controversies, arising from or relating directly or indirectly to this Loan  Agreement (including the Arbitration Provision), the information you gave us before entering into this  Loan Agreement, including the Application, and/or any past agreement or agreements between you

and us;

(c) all counterclaims, cross-claims and third-party claims;

(d) all common law claims, based upon contract, tort, fraud, or other intentional torts;

(e) all claims based upon a violation of any state or federal constitution, statute or regulation;

(f) all claims asserted by us against you, including claims for money damages to collect any sum we claim you owe us;

(g) all claims asserted by you individually against us and/or any of our employees, agents, directors, officers, shareholders, governors, managers, members, parent company or affiliated entities (hereinafter collectively referred  to as "related third parties"), including claims for money damages and/or equitable or injunctive relief;

(h) all claims asserted on your behalf by another person;

(i) all claims asserted by you as a private attorney general, as a representative and member of a class of persons, or in any other representative capacity, against us and/or related third parties (hereinafter referred to as "Representative Claims");  and/or

(j) all claims arising from or relating directly or indirectly to the disclosure by us or related  third parties of any non-public personal information about you.

2. You acknowledge and agree that by entering into this Arbitration Provision:

(a) YOU ARE WAIVING YOUR RIGHT TO HAVE A TRIAL BY JURY TO RESOLVE ANY  DISPUTE ALLEGED AGAINST US OR RELATED THIRD PARTIES;

(b) YOU ARE WAIVING YOUR RIGHT TO HAVE A COURT, OTHER THAN A SMALL  CLAIMS TRIBUNAL, RESOLVE ANY DISPUTE ALLEGED AGAINST US OR RELATED  THIRD PARTIES; and

(c) YOU ARE WAIVING YOUR RIGHT TO SERVE AS A REPRESENTATIVE, AS A PRIVATE  ATTORNEY GENERAL, OR IN ANY OTHER REPRESENTATIVE CAPACITY, AND/OR TO  PARTICIPATE AS A MEMBER OF A CLASS OF CLAIMANTS, IN ANY LAWSUIT FILED  AGAINST US AND/OR RELATED THIRD PARTIES.

3. Except as provided in Paragraph 6 below, all disputes including any Representative Claims against  us and/or related third parties shall be resolved by binding arbitration only on an individual basis with  you. THEREFORE, THE ARBITRATOR SHALL NOT CONDUCT CLASS ARBITRATION;

THAT IS, THE ARBITRATOR SHALL NOT ALLOW YOU TO SERVE AS A  REPRESENTATIVE, AS A PRIVATE ATTORNEY GENERAL, OR IN ANY OTHER

REPRESENTATIVE CAPACITY FOR OTHERS IN THE ARBITRATION. YOUR DISPUTE MAY  NOT BE CONSOLIDATED WITH THE DISPUTE OF OTHERS FOR ANY PURPOSE.

4. Any party to a dispute, including related third parties, may send the other party written notice by  certified mail return receipt requested of their intent to arbitrate and setting forth the subject of the  dispute along with the relief requested, even if a lawsuit has been filed. Regardless of who demands  arbitration, you shall have the right to select the following arbitration organization to administer the  arbitration: the American Arbitration Association. However, the parties may agree to select a local  arbitrator who is an attorney, retired judge, or arbitrator registered and in good standing with an  arbitration association and arbitrate pursuant to such arbitrator's rules.

The party receiving notice of arbitration will respond in writing by certified mail return receipt requested within twenty (20) days.

If you demand arbitration, you must inform us in your demand of the arbitration organization you  have selected or whether you desire to select a local arbitrator. If related third parties or we demand  arbitration, you must notify us within twenty (20) days in writing by certified mail return receipt

requested of your decision to select an arbitration organization or your desire to select a local  arbitrator. If you fail to notify us, then we have the right to select an arbitration organization. The  parties to such dispute will be governed by the rules and procedures of such arbitration organization

applicable to consumer disputes, to the extent those rules and procedures do not contradict the express  terms of this Loan Agreement or the Arbitration Provision. You may obtain a copy of the rules and  procedures by contacting the arbitration organization listed above.

5. Regardless of who demands arbitration, at your written request we will advance your portion of the  expenses associated with the arbitration, including the filing, administrative, hearing and arbitrator's  fees ("Arbitration Fees"). Throughout the arbitration, each party shall bear his or her own attorneys'  fees and expenses, such as witness and expert witness fees. The arbitrator shall apply applicable  substantive law consistent with the FAA, applicable statutes of limitation, and shall honor claims of  privilege recognized at law. The arbitration hearing will be conducted in the county of your residence,  or within 30 miles from such county, or in the county in which the transaction under this Loan  Agreement occurred, or in such other place as shall be ordered by the arbitrator.

The arbitrator may decide with or without any hearing, any motion that is substantially similar to a motion to dismiss for  failure to state a claim or a motion for summary judgment. In conducting the arbitration, the arbitrator  shall not apply any federal or state rules of civil procedure or evidence. At the timely request of any  party, the arbitrator shall provide a written explanation for the award. The arbitrator's award may be  filed with any court having jurisdiction. If allowed by statute or applicable law, the arbitrator may  award you statutory damages and/or your reasonable attorneys' fees and expenses. Regardless of  whether the arbitrator renders a decision or an award in your favor resolving the dispute, you will not  be responsible for reimbursing us for your portion of the Arbitration Fees.

6. All parties, including related third parties, shall retain the right to seek adjudication in a small  claims tribunal for disputes within the scope of such tribunal's jurisdiction. Any dispute, which cannot  be adjudicated within the jurisdiction of a small claims tribunal, shall be resolved by binding

arbitration. Any appeal of a judgment from a small claims tribunal shall be resolved by binding  arbitration.

7. This Arbitration Provision is made pursuant to a transaction involving interstate commerce and  shall be governed by the FAA. If a final non-appealable judgment of a court having jurisdiction over  this transaction finds, for any reason, that the FAA does not apply to this transaction, then our  agreement to arbitrate shall be governed by the arbitration law of the State of California State.

8. This Arbitration Provision is binding upon and benefits you, your respective heirs, successors and  assigns. The Arbitration Provision is binding upon and benefits us, our successors and assigns, and  related third parties. The Arbitration Provision continues in full force and effect, even if your

obligations have been prepaid, paid or discharged through bankruptcy. The Arbitration Provision  survives any termination, amendment, expiration or performance of any transaction between you and  us and continues in full force and effect unless you and we otherwise agree in writing.

Opt-Out Process: You may choose to opt-out of this Arbitration Provision and no longer be subject  to the terms of this Arbitration Provision, but only by following the process set-forth below.

If you do not wish to be subject to this Arbitration Provision, then you must notify us in writing within thirty  (30) calendar days of the date you signed this Loan Agreement by writing to Arbitration Opt-Out, c/o  Direct MicroLoans LLC, P.O. Box 105096,Atlanta, GA 30348-5096. Your written notice must  include your name, address, social security number, the date you signed this Loan Agreement, and a  statement that you wish to opt-out of the Arbitration Provision. Please note, if you opt-out of the  Arbitration Provision according to the foregoing procedure, then your choice to opt-out only applies  to the Arbitration Provision in this Loan Agreement and will not apply to other transactions with us, if  any. Therefore, any other agreements to arbitrate between you and us shall be effective, regardless of  your choice to opt-out of this Arbitration Provision.

Please note that this Loan Agreement contains a binding Waiver of Jury Trial and Arbitration  Provision that may be enforced by the parties.

By signing this Loan Agreement, you acknowledge that it was filled-in before you did so and that you  have received a completed copy of it. You represent that you are not a debtor under any proceeding in  bankruptcy and have no intention to file a petition for relief under any chapter of the U.S. Bankruptcy  Code. You agree that the information you gave us prior to entering this Loan Agreement is accurate.  You warrant that the account on which the ACH is started is a legitimate, open and active account.  You acknowledge that you have read, understand, and agree to all terms of this Loan  Agreement including the Waiver of Jury Trial and Arbitration Provision.

Date: March 15, 2012

Borrower's Signature: RANDY *****

Kelly Graham Bell

Manager

EZ CASH