The Consumer Financial Protection Bureau reports that no one can be arrested for defaulting on a payday loan. In order to be arrested for non-payment, the creditor must go to court and obtain a judgement against the debtor. If the debtor refuses to appear, an arrest warrant can be issued.Continue Reading
"Time" notes that some payday loan companies and collection agencies are attempting to have debtors arrested. Creditors can have a debtor arrested by pursuing legal action against the debtor and requesting several court appearances to determine the amount of debt and examine the debtor's finances for repayment. If a debtor fails to appear at a court summons, the judge can issue a warrant for the debtor's arrest. The creditor can also ask for a "body attachment" that forces the debtor to be put in jail until the next hearing or the debtor pays bail that is often equal to the debt incurred plus any additional fees granted by the judgment.Learn more about Is This Illegal?
When facing a debt collection lawsuit, respond to the claim whether or not you intend to dispute it, the Consumer Financial Protection Bureau advises. Otherwise, the court may award a default judgement to the debt collector and hold you accountable for the other party's legal fees. Answering the lawsuit forces the debt collector to show evidence of your liability, while ignoring the lawsuit or refusing to accept correspondence doesn't delay the process.Full Answer >
Gateway One Lending & Finance provides auto loans to consumers with a FICO score of 580 or higher as of December 2014, according to Jim Henry for Automotive News. Gateway One provides a range of loan options for car buyers with prime credit to near-prime credit, so buyers with FICO scores between 580 to 640 may be approved only when the vehicle, mileage and loan-to-value ratio are sound.Full Answer >
A consumer finance company is a financial company that provides loans to consumers who are otherwise unable to obtain financing from a bank, explains InvestorWords. Generally, a consumer finance company imposes a higher interest rate.Full Answer >
Equifax collects financial and employment data about consumers that it analyzes for creditworthiness, and it provides reports to businesses that are used to make decisions about financing approval for consumer purchases, such as homes, automobiles, credit cards and student loans, according to the company's website. The Equifax credit bureau keeps records on more than 600 million consumers, and it produces more than 158 billion credit score updates every month.Full Answer >