I tried to get on a payment plan. If my intention was to duck and dodge, why would I even call them. In Tillmans case, however, the debt collectors werent exactly lying: He could be arrested for not paying his payday loan debt. An Citibank cash advance fees investigation has found at least 1,700 instances in which payday loan companies in Texas have filed criminal complaints against customers in San Antonio, Houston and Amarillo.
In at least a few cases, people have ended up in jail because they owed money to a payday citibank cash advance fees company. Even when customers avoided jail, the Observer has found, payday loan companies have used Texas courts and prosecutors as de facto collection agencies. This is despite state laws that forbid payday loan companies from even threatening to pursue criminal charges against their customers, except in unusual circumstances.
The law specifically prohibits theft charges when a post-dated check is involved. (Most payday loans require borrowers to provide a post-dated check or debit authorization to get the money.
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