- 1). Check the fine print on the Internet company's website to ensure that you were legally permitted to take out a loan with the company. Some states do not allow payday loan companies to operate within them, so the company you used may have violated the law. You can legally get out of a loan if this is the case. You can file a complaint with your state regulator online with Payday Loan Consumer. (See References 2)
- 2). Speak to a lawyer about how to get out of the loan. They can go over your loan documents and find any loopholes that can get you legally out of the agreement. Speak to your local welfare office if you cannot afford a lawyer--they may point you in the direction of free or reduced legal aid.
- 3). Consider debt consolidation. A debt consolidator can work with the payday loan company to help you repay your loan. They may also be able to negotiate a settlement for less money than what you originally owed.
- 4). File for bankruptcy. This is a last resort effort and should only be used if you are so much in debt that you can never pay it back. Speak to a reputable bankruptcy lawyer who can guide you through the process of bankruptcy.
- 5). Contact the Internet company and inform them that you will not be paying on the loan amount. You will receive calls and letters from the company wanting money, and you may be turned into a collections agency. A payday loan company can sue a borrower; however, they cannot collect money from any avenue except through garnishing the person's wages.
- 6). Negotiate with a representative of the Internet payday loan company to see if they will write off the fees charged to your account if you pay off the loan in full. Some companies will be willing to work out an agreement if they can collect on any money owed to them.
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