We receive calls by so many people contacting us about Texas and payday loans every day.
These people are deep in debt to these payday loan companies and looking for any help they can find to eliminate their payday loan debt!
The number of people who use payday loans in Texas is growing daily and one out of every 8 people are using them monthly!
This is turning into a huge debt problem as more and more loans are getting taken out daily.
Many people are defaulting on multiple payday loans and collections are in full force by the loan companies!
Clients are getting threatened with legal action and worse and we can not stand by without informing them that they can get help with a simple phone call!
Trouble In Texas
The Texas payday loan laws are very clear and have specific rules which should make this state unique compared to other state’s payday loan laws.
The following laws apply to all lenders and borrowers of these types of loans:
- All loans written in the state of Texas must be explained completely to the borrowers and understood
- There is a borrowing amount limit of $1800.00
- The lenders have no recourse to collecting defaulted payday loans. ( The companies have found a way around this, see our article Payday Loan Jail Time?
- No multiple payday loans allowed
There are many more regulations that must be followed and they are all set up to benefit and protect the borrowers in Texas and that should be a great thing and it is for the storefront loan companies customers.
Considering the generous laws that lean towards the borrowers why are we seeing so many people from this state in trouble with defaulted payday loan debt?
Most payday loan companies abide by these laws and yet the lending and defaulting are out of control in Texas and the real reason is simple, online payday loans!
These types of loan companies do not follow any of the rules per state and can really create a large amount of trouble for the borrowers.
They will allow multiple loans and their methods of payment collections are set up for maximum profits without regard to the borrower’s well-being.
They also use some extremely aggressive collection practices that border on criminal!
Many of these companies are based either on Indian reservations or outside the USA and they can and do get away with whatever practices they choose to use.
You can find out how these online companies work and why they are so dangerous by checking out Are Online Payday Advance Loans Safe?
If you live in Texas and are thinking about taking out a payday loan we recommend using the storefront loan companies only and avoiding the online companies at all costs.
Without proper knowledge of how the online companies work and how they take advantage of their clients you can end up in deep debt and a destroyed credit rating and bank account!
If you are from Texas or any other state and are in trouble with payday loan debt you can find help here.
Thanks for stopping by and we would love to hear from you!
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