Pay Day Loans in Federal Way

Pay day loans are used by Federal Way residents every day to cover the cost of unforeseen emergencies or expenses. However, if you can’t repay a pay day loan by its due date, additional fees and outrageous interest can wreak havoc on your finances. The annual percentage rate (APR) on a pay day loan can run 5,000% in some situations, compare this to the average 9% to 30% APR of a major credit card and you can see how devastating these loans can be.

This means that one family emergency or unexpected expense can make it impossible to ever get caught up on your bills. Pay day lenders routinely tell their clients that their loan can't be discharged via bankruptcy. This is false, and even if the pay day lender makes you sign a contract that says as much, it is entirely unenforceable in court.

People seek pay day loans for many reasons, but it's often because they are already having money troubles. When people fall behind on bills, what they really need is lasting debt relief, and our Federal Way bankruptcy lawyers can offer a viable solution. Bankruptcy is way to eliminate all or most unsecured debt, and this includes all pay day loans. Contact our law office in King County today and find out whether you qualify for bankruptcy.

• Pay day loan debt can get out of control quickly
• You benefit from immediate relief when one of our experienced Washington bankruptcy lawyers files your case in court
• Declaring bankruptcy forces all debt collectors to cease all contact with you, including pay day loan creditors
• Our team of King County bankruptcy attorneys can help you eliminate debt so contact us today

If a pay day loan cycle has you feeling like there's no way out, you should consider bankruptcy as an option. People that obtain pay day loans are often already in need of financial relief, and bankruptcy laws were created to provide people with fresh start financially. Our Federal Way bankruptcy lawyers can help you take steps to discharge your pay day loans, regardless of what the lender tells you.

To secure a pay day loan, the borrower usually writes a postdated check to the lender. They may say that you risk criminal prosecution if you fail to pay the loan because writing a bad check is considered fraud in Washington State. This threat of jail time can be frightening, so many people will keep trying to pay down the loan even if they can no longer afford them.

Writing bad check is definitely criminal fraud in Washington, but in this situation the borrower did not write a bad check. The pay day loan company knew the borrower lacked sufficient funds in their bank account, which is why a postdated check was used. The agreement was that the debt would be paid at a future date. This shows the borrower intended to pay the debt, so the loan is no different than a credit card obligation.

Pay day loan companies may also say that it's impossible to discharge pay day loan debt via bankruptcy, which is also untrue. Our King County pay day loan relief lawyers know the law, and urge you to let us inform you of your legal rights before you make any decisions regarding this debt.

If you're still using the same bank account from which a check was written to a pay day loan company, you should close it as soon as you can. Our lawyers suggest that everyone filing for bankruptcy do the same. If you overdraw an old account it can make it difficult to open a new one, which is a logical first step toward resolving ongoing debt issues.

Our bankruptcy attorneys in Federal Way can help you get out of the vicious cycle of pay day loan debt. Contact our law office today and take that first step toward lasting debt relief.