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Payday and MoneyTree

Did you know that one in five people default on their payday loan debt? In fact, 80% of all borrowers had to re-borrow or roll over their loan within the first month. It's not because there are that many financially irresponsible people. It is because payday loans have tricky terms that lead to a cycle of debt.

If you're one of these people trapped by payday loan debts, we can help. First, we'll make sure the loan is legitimate based on Washington State and federal laws. We'll then help you find legal debt relief to get you out of the debt for good. Further, we'll investigate and make sure that you weren't the target of a predatory lender. In that case, we'll use the law to pursue compensation for any harm they caused you.

Contact our Lynnwood law offices today to schedule a free consultation and learn more.

What Are The Legal Ways To Get Out Of Payday Loan Debt?

Our Lynnwood attorneys will help you find legal ways to get out of payday debt. We'll explore several options, including:

Further, under Washington State's Consumer Protection Act (RCW 19.86), you may be able to challenge unfair payday loan practices. If you're facing payday loan debt in Lynnwood, our attorneys have the local knowledge and experience to help you explore these options.

What Is A Predatory Lender?

Predatory lenders are lenders who skirt or break the law. They prey on vulnerable people and use tricky legal language to trap them into loans that have sky-high fees, unfair interest rates, and rollovers. Predatory lenders often target people looking for payday loans because they can more easily hide and misrepresent the loan terms. However, predatory lending is illegal under Washington State law. If you believe you are the target of a predatory lender, call our Lynnwood law offices right away. You have the right to take legal action against them (RCW 19.86.020).

How You Can Sue A Predatory Payday Lender In Lynnwood

If you're dealing with a predatory payday lender in Lynnwood, you have legal options under Washington State law (RCW 19.86). Here's what to do:

  1. Consult Our Lynnwood Attorneys: Our team in Lynnwood specializes in consumer protection and can help assess whether the lender violated usury laws. Washington's usury laws (RCW 19.52.020) cap interest rates at 12% unless exceptions apply.
  2. Gather Your Documents: Collect all records related to your loan, including contracts, payment histories, and any communication with the lender. Washington State’s Consumer Protection Act (RCW 19.86.020) protects you from unfair practices.
  3. File Your Complaint: You will then file a formal complaint with the Washington State Department of Financial Institutions (RCW 31.45.090). They investigate and enforce payday loan regulations, offering a resolution without going to court.
  4. Send A Demand Letter: Sometimes, a demand letter can settle the matter quickly. If the lender's actions violate the law, you could be entitled to damages, including attorney fees (RCW 19.86.080).
  5. File A Lawsuit: If the issue isn't resolved, you can sue the lender under RCW 19.86.090. You may be able to recover damages, including triple damages, if the lender acted willfully, plus attorney fees.
  6. Consider Settlement Or Mediation: Many cases settle before trial. We'll negotiate for a fair settlement, but we'll represent you in court to get a favorable outcome if needed.

Whether you're in Lynnwood, Alderwood Manor, or Martha Lake, our attorneys understand the challenges you face. We'll help you fight back against unfair lending practices in Edmonds, Mountlake Terrace, and Bothell.

Get Answers To Your FAQs About Payday Loan Debt Relief
Q: Can a payday lender take money directly from my bank account in Washington State?

A: No. No one is allowed to withdraw money from your bank. They account without your permission (RCW 19.16.250(21)). However, predatory lenders often sneak broad authorizations into their loan agreements. Broad authorizations have tricky legal language that lets them take payments directly from your account. If a lender takes more than agreed or continues withdrawals after your loan is paid off, you may have legal grounds to dispute the charges.

Q: What are the limits on payday loan interest rates in Washington State?

A: Under RCW 31.45, payday loan lenders can charge an APR of up to 391%. If you feel like you're being charged more than the legal limit, it could be a predatory loan, and we can help you take action to stop the illegal charges.

Q: Can payday lenders take my property in Lynnwood if I don't pay?

A: In Washington State, payday lenders can't take your property or personal assets like your home or car just for unpaid payday loans (RCW 19.16.250). However, they could attempt to garnish your wages or place a judgment lien on your property after suing you. We can help you explore all your options to stop collection efforts, including filing for bankruptcy or negotiating with the payday lender to reduce or eliminate the debt.

Q: Can payday lenders take money from my bank account without permission?

A: No, payday lenders cannot take money from your bank account without your permission (RCW 19.16.250(21)). If you signed a blanket authorization for the lender to withdraw payments, they may be able to do so (Electronic Fund Transfer Act (EFTA) 15 U.S.C. § 1693e). However, if they take more than the agreed-upon amount or continue withdrawals after your loan has been paid off, this could be a violation of state and federal laws, and we can help you dispute these unauthorized charges (Regulation E (12 C.F.R. § 1005.10)).

Our Lynnwood Debt Relief Attorneys Specialize In Payday Loans

Call our Lynnwood Law Offices today for a free consultation, and let's start working toward a brighter, debt-free future.


Client Reviews
★★★★★
Erin Lane is the best attorney I have met by far! I came to her during a very difficult time in my life. I was needing to file a bankruptcy. She was very kind, non-intimidating, and well-understood. She actually came across like a good friend. To this day I still remember and appreciate her (no-stressing approach) I deem Erin qualified for any position having to do with her knowledge in these types of legal matters! Keith D Wilson
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