Company: Community Choice Financial, Inc.


Company:  Community Choice Financial, Inc. 

Nature of Complaint: Installment loan; Problems when you are unable to pay 

Result: 

Response from Company: Closed with explanation

Complaint:  When she was faced with a family emergency and was in urgent need of funds, she turned to Cash Central in Utah for a loan. She took out a {$3000.00} installment loan. Unaware that she would be charged the interest upfront, she was soon charged {$9000.00} for her {$3000.00} loan. They gave her a 24-month period to pay back the loan and she was charged a 146 % interest fee. Payments are expected every two weeks for {$220.00}. Even with income it was tough for her to make those types of payments. At first she had to get help from her father in law, but that help only lasted so long and was not enough to make a huge difference in her debt. At this point, she has made XXXX payments of {$220.00} and has made a payment of {$900.00} this month, totaling {$4800.00} paid to the lender. However, only {$700.00} of that has actually gone toward her principle and she still has an outstanding debt of {$2100.00}. At times there was not enough money in her bank account to cover those payments and she accrued about {$200.00} in overdraft fees. All the fees and high interest made it difficult to pay back the loan and keep up with her finances. She fell behind on bills because of the large payments that had to be made.. ( 1329123)

 

Submitted on 4/14/15 by a consumer in CA