My wife & I took out a $2,500.00 loan from Cash Call of August.
(To begin): Prior to acquiring the loan, we asked a Cash Call rep about the interest rate and time frame info required to pay back such dollar amount to them in a timely manner.in reply from a C.C. Rep, it was told to us that if we were to take out a higher dollar amount (much larger than our request amount) that it would affect the interest rate (variance) to be slightly smaller. For example: Cash Call explained that our interest rate would be at 99.89% of a $2,500.00 loan amount (withstanding the entire loan, no time frame to pay-off, plus any late fee penalties accrued above & beyond interest), but would drop (slightly) (can't remember the exact percentage) if we were to borrow more than $5,000.00, with no set-up feee's. After making a few more questions (regarding a larger loan amount and time frame in paying the loan off), it was then suggested to my wife & I by the C.C. Rep to borrow $10,000.00 "as the entire loan", and upon first installment made back to Cash Call (as per their suggestion) at $7,500.00. Therefore upon doing that we would have a remaining balance of $2,500.00 to pay, and a smaller dollar amount for each installment thereafter. But... There was just one catch to this..."that any borrowed dollar amount higher than $3,500.00 and NOT paid in a timely manner (on time) will not only go into collections right away, but will be reported to all credit bureau's as a delinquent consumer"...???..
To sum this up... We ended up borrowing what we thought was aboslutely necessary and still got screwed. Read on...
On $2,500.00 we were obligated to pay monthly installments of $225.00 (with an interest rate of 99.89%), a set-up fee (not part of loan pay back) with first time installment of $275.00 of which was automatically taken from our account, and then $225.00 per month (on a month to month basis) until entire loan completely paid off... Yeah riight... When???
Within three months of payments to Cash Call we noticed our loan amount balance was staying the same... Why? Because if we would have realized that in order to actually knock the balance down (from month to month) we would have to make double payments (about $450.00 or more per month) to see a drop in our loan balance. Boy were we in for a reality check!
As time moved on into the new year, we filed our taxes early, then got our check in the mail we used everything we had in our return tax check just to pay the loan back, of which unfortunately was not enough to pay off the entire balance. (This all took place in a matter of 7 months and $1,600.00 payments later.) Our remaining balance at that point was less than $900.00... Our monthly installments dropped only a mere $18.00 less per month, making our installents at $207.00... I then got on the phone and argued with Cash Call rep for nearly 20 min., and then put on hold to speak to a second rep and really didn't get any results other than "you are obligated to make the reamining monthly installents until entire loan is completely paid off" accordingly to your contractual agreement...
To sum this up, my wife & I ended up borrowing money from our relatives (very demeaning) to pay off the remaining $900.00 balnace. We promised each other never to make that mistake again! End of story...
Taken4
Las Vegas, Nevada
U.S.A.
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