I often meet clients who have become trapped in a payday loan problem. They go to one of these payday loan stores, located on every corner in Florida, and can easily get some quick money. The problem is they don’t read or realize just how much money they have to pay back if they accept a loan from these companies. Soon after the clients are stuck renewing the loans and getting charged additional fees. I have seen payday loans with interest rates as high at 1000%.
When you sign up with these companies they tell you (incorrectly) that you can’t file for bankruptcy if you accept these payday loans. They do this to try to scam you, because in reality you are allowed to file for bankruptcy if you have these types of debts and the debt can be discharged (wiped out in bankruptcy).
The payday loan companies may even try to tell you that you may be charged with a crime for writing a bad check, if you chose to file for bankruptcy. Again this is a lie, it will not be a criminal offense if you chose to file for bankruptcy.
If you have obtained a payday loan or a check cashing loan in Florida you should be aware that those debts are dischargeable in bankruptcy and you will not be charged with any crime. If you would like to speak with a Florida bankruptcy lawyer then contact Shmucher Law, PL at 954.309.5559 or 305.741.5553. We offer free consultations in our office locations including: Boca Raton, Fort Lauderdale, Miami, Plantation and Sunrise Florida.