I too was a Money Store customer—now a HomEq customer for more years than I care to admit. I knowingly entered into a contract with them because I needed the money to repair our roof and consolidate our debt. However, I did not educate myself on what a Simple Interest Loan was. Although I was told I had one numerous times when I asked for customer service to explain to me how they calculated my interest. I have since learned and wish to share this information with all here in order to help you as well. I only wish I had learned this sooner I could have avoided YEARS of interest only payments. I also pay the $3.00 payment by check fee to ensure same day payments.
Example: On a loan of $25,000 at 14% interest 30 days since last payment. Your monthly payment due is $287.67 per month
($25,000 x 14% x 30 days) divided by 365 days year = $287.67 interest only payment.in order to make a dent in your principal you must pay more than the monthly amount due and/or make sure you pay before the 30 days. If you pay two days earlier Ex: ($25,000 x 14% 28days)/365=$268.49 goes to interest leaving $19.18 of your $287.67 payment towards principal.
If you find that HomEq does not apply your simple interest loan this way then I would suggest you contact the District Attorney's Office in your state and report them. I hope this helps! It's starting to make a dent in my debt with them.
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