I often have people call me that are being hounded by payday lenders or debt collectors hired by payday lenders. It's common for these payday lenders or their collectors to threaten arrest of the debtors, jail time or they tell them that they will have a sheriff come to their job TODAY to serve them with papers. Yeah, right.

Not only are these almost always empty threats, but they probably violate the Texas Debt Collection Act.

The only time that I have ever seen anyone prosecuted concerning a payday loan was a lady in the "Valley," far south Texas, and she had given a post-dated check to a payday loan company. They prosecuted her in J.P. court for giving them a bad check. My understanding is that prosecutors in the Houston area will not take such charges, and to my knowledge, payday lenders don't ask for checks anymore anyway, they want your checking account information so they can access your bank account directly.

Anyway, a good "app" for stopping collection for many of my clients is the U.S. Bankruptcy Code. Specifically, we can file a chapter 13 bankruptcy case, stop all the collection calls, letters, lawsuits, repo's, foreclosures or what have you, and allow you to repay your debts either in full or partially, over a long period of time (3-5 years) at a level that you can afford, often without interest.

We can start a chapter 13 case for a low down payment, and accept our fees through your plan, so long as you qualify for chapter 13 and have a "payroll deduction" or "wage order" so the plan payments are deducted from your pay. Give us a call at the office at 713-772-8037 to get your case started today, and stop the payday lenders from calling you.

J Thomas Black
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Board Certified, Consumer Bankruptcy Law- Texas Board of Legal Specialization