ComplaintsforNet Pay Advance, Inc.

• Initial Complaint

  08/16/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  Took a loan out with this company. Big Mistake. Missed a payment (it happens). Before I could even call to speak to someone or explain, this company started running my card (debit transaction) EVERY SINGLE DAY. That pissed me off because it is illegal. This company has now tried to charge my card EVERY SINGLE DAY FOR THREE AND HALF WEEKS. I have reported them to my bank. They will not get a dime from me because of their illegal tactics.

  

  Business response

  10/14/2023

  The customer applied for and obtained a loan from the company on June 19, 2023 and submitted a bank account for credits and debits.  She also provided a debit card to which she wished to have the loan proceeds provided though "instant" funding.  The customer received the loan principle and the loan was due to be paid on June 30, 2023.  The customer signed a loan agreement which provided "...In lieu of giving us a check for payment of your loan, you authorize us to initiate Electronic Funds Transfers ("EFT") debit from your personal checking account or your personal checking debit card provided by you to us until such time as we have been paid in full...."  The agreement also included a provision entitled:  "...Automated Clearing House (ACH) & Electronic Funds Transfer (EFT) Authorization"  which authorized the company to obtain payment for the loan through electronic funds transfer.  The agreement authorizes the company"... to initiate debit/credit entries for the total amount owed...to the customer's bank account(s)."  The loan agreement which the customer signed provided that:   "Payment will be initiated on the due date as set forth in the Loan Agreement and in the case of default, will be made for the full amount due..."  On June 30 an ACH payment was attempted for the balance of the loan.  This payment was returned for insufficient funds.  Thereafter attempts to obtain payment through the customer's debit card were attempted in accordance with the provisions of the agreement signed by the consumer.  In addition, attempts to obtain payment through ACH were attempted on subsequent occasions.  These were returned unpaid on August 8, 2023 and August 21, 2023.

  While the consumer is correct that we have attempted to obtain payment on the loan through the customer's debit card on an almost daily basis since the consumer failed to pay the loan on its due date, such payment attempts have been made in accordance with the agreement signed by the consumer and are authorized by the contract and not prohibited by law.  

  While we understand that the consumer would prefer that we not attempt to obtain payment on the loan, the loan is now overdue and the consumer has authorized us to attempt to obtain payments through electronic funds transfer including debit card transactions.   Nevertheless, we will treat this complaint as a request from the customer to revoke authorization for electronic debits.

   

  Regards, 

   

  **** *******

  Director of Legal and Compliance

  Net Pay Advance, Inc.

  

  Business response

  10/14/2023

  Could I please add an additional email for notices of complaints and other concerns.  I would like my Director of Legal and Compliance, **** ******* to receive copies of these notices at ************************ .  Thank you for your help.  If I need to make this request through other channels please let me know. 

• Initial Complaint

  08/03/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  They are charging me double the loan i received they saw I owe a loans in march i have the receipt saying I paid I want refund and close account from the platform immediately

  

  Business response

  09/28/2023

  On or about May 19, 2023 This consumer applied for and was approved for a loan through our company for $255.00.  The loan along with fees, totaling $300.00 was due on June 9, 2023.  The consumer had authorized us to obtain payment through electronic funds transfer.  On June 9, 2023 we attempted to obtain payment but the payment was declined due to insufficient funds in the account.  In accordance with our agreement with the Customer we added a $15.00 surcharge to his account due to the insufficient fund return.  A payment arrangement was reached with the customer to repay the loan in three payments of $105.00. These were paid as agreed o June, 22, July 5, and July 20. 

  However, prior to taking out the loan on May 19, 2023.  The customer had applied for and received funds for a loan on April 20, 2023. An attempt to obtain payment on this loan was made on May 5, 2023.   However, on July 11, 2023 The customer's bank notified the company that the customer was disputing the payment and the bank returned the funds to the customer.  This resulted in a situation whereby the customer had received the funds from the loan but the repayment had been returned to them.  Accordingly the loan payment was still outstanding.  Therefore, on July 18, 2023, in accordance with out electronic funds transfer agreement, we obtained payment for $300.00 for the April 20, 2023 loan. 

  Because we were also collecting payments for the May 19 loan during July 2023, this may have created the appearance that the customer was double charged.  However, these were payments for two separate loans.

   

  

  Business response

  10/02/2023

  The consumer did pay the loan in question.  However there was a previous loan that was open and remained unpaid.  The consumer had initiated a "charge back" on the electronic transfer initiated to pay the previous loan and the funds were returned to the customer.  This resulted in the previous loan remaining unpaid.  Pursuant to out Electronic funds transfer agreement we initiated a payment to repay the previous loan.  This created an appearance that the customer was charged twice when, in reality, what appeared to be a second charge was a repayment of a previous loan.

  We will contact the consumer directly to see if we can resolve this issue.

   

  Customer response

  10/02/2023

   
  Complaint: ********
  
  I am rejecting this response because:
  This does not reflect my records I need complete refund off 300$

  Sincerely,
  
  ****** *******

• Initial Complaint

  06/01/2022

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  This is a high interest financing company which should be under government regulations. This people charge a very unreasonable interest rate equavilent. I tried to pay my loan off on time, but my card was rejected inspite of having suffient balance. I tried with another card and got the same results. I made payment arrangements, yet they withdrew the full amount, inspite of my online payment arrangements AND payment arrangements made through a Customer Service Representative. They left me in a bind for basic necessities such as rent and electric by automatically withdrawing a full amount instead of following the agreed upon payment arrangements.

  

  Business response

  06/29/2022

  Business Response /* (1000, 5, 2022/06/08) */ In response to the Consumer's complaint that the interest rate is "very unreasonable" The company would like to note that we are licensed and supervised by the ****** Office of the State Banking Commissioner and the fees charged are in accordance with State law and regulations. Further more, the consumer has been a customer of ours since November 2021. Since that date he has obtained seven different loans with the company, has successfully repaid the loans. He was well aware of the fees for this type of loan when he chose to obtain these loans. With reference to the difficulty he had repaying the current loan we would note that while the consumer apparently attempted to make a payment plan and was offered a payment plan, he never accepted the plan nor signed the necessary agreement to put the payment plan into effect. Accordingly payment was debited from his bank account in accordance with our agreement and the previously signed ACH authorization. While the customer had attempted to make payments with two different debit cards, a ***** Debit Card and a ******** Debit Card, we do not accept these cards. He has attempted to make payments on previous loans with these cards and has been advised that we do not accept these cards. Accordingly, when the Debit Cards failed we attempted to obtain payment directly from his bank account in accordance with our agreement. While the customer claims that he was left in a difficult financial situation, in communications with the company he maintained that there were sufficient funds in the Debit cards with which he attempted to pay the loan. Since filing this complaint, the customer has applied for an obtained a new loan in the same amount as the loan about which he complained. We recognize that the confusion regarding the payment plan may have caused the customer some inconvenience. To make up for any inconvenience suffered we are willing to forgive the current loan in its entirety including principle and fees. His current balance of $****** will be reduced to zero and his account will be closed.

• Initial Complaint

  08/10/2021

  Complaint Type:

  Billing Issues

  Status:

  Resolved

  More info

  I didn't request a loan from Netpay Advance. I had paid them fully on my last loan and that was the last time I decided I was going to use them. I get a text from Netpay advance in July saying I owe them money and that I need to schedule a new date. I thought it was a misunderstanding so I just said okay. I haven't used my credit union or email in over a year that is connected to Netpay Advance. I switched to ********** due the issues I was having with my credit union. I became curious so I went to sign into my credit union account and I can't sign in due to failed attempts of someone else trying to get in and my email was hacked as well. When I told Netpay advance my situation, they didn't care and expect me to pay it back.

  

  Business response

  09/03/2021

  Business Response /* (1000, 5, 2021/08/17) */ We believe the complaint to be meritless but we are willing to work with the customer to resolve this issue. Our claim that the complaint is without merit is based upon the following information: The customer has done business with our company since June 2019 and conducted multiple transactions with us. She is very aware of our processes. The loan application which is the subject of this complaint was submitted on June 13, 2021 using the same personal information that the customer had previously used. The application was approved and the customer was sent a text message to the same telephone number the customer has previously used advising her that the loan application had been approved. The customer was then advised by email (to the same email which she had previously used) that she would need to log into her secured account using her user name and password to sign the loan documents. The customer's user name and password were used to log in to the account and the loan documents were signed. A text message and an email was sent to the customer notifying her that the application had been approved. The funds were instantly funded to the same debit card which the customer had previously used. A text message was sent advising her that the funds had been deposited to her debit card. The customer was sent two emails reminding her that the loan was coming due. The customer was sent a text and email notifying her that the attempt to run a payment in the usual manner had failed. A couple of days later, a text and an email were sent advising the customer that in order to work with her, the payment due date had been re-scheduled to July 9. The customer responded by text indicating that the arrangement: "Sounds Good," and a follow up email confirming the agreement was sent to the customer. When the payment attempt failed again on July 9, the customer received emails and text messages advising her of the same. Thereafter the customer was sent both emails and text messages attempting to schedule payment. On August 10, 2021 the customer claimed that she had been the victim of identity theft, that she no longer used the credit union account which the company had on file, and that she had been in contact with the police about the identity theft. No copies of a police report, nor police incident report has been sent to the company. At all times text and emails have been sent to accounts which the customer had previously used and the customer has actually responded to one or more of these communications. While it appears that the customer knew of and approved the transaction, we are committed to fighting fraud against our customers, their financial institutions, and this company. Accordingly, If the customer has been the victim of fraud we will work with her to ensure that she is not held responsible for the loan. In order to determine whether fraud has occurred, we ask that the customer cooperate with us and their banking institution to verify that the funds did not go into an account controlled by the customer. We also request that the customer send us a copy of a police report or an affidavit confirming that they have been the victim of fraud. To date, the customer has not provided this information. We remain committed to working with the customer to resolve this issue or schedule repayment of the loan. Consumer Response /* (3000, 7, 2021/08/18) */ (The consumer indicated he/she DID NOT accept the response from the business.) I disagree with this statement. They did not care about my situation. Instead, they continued to try to get me to pay the loan that I had never requested. I have the text exchange between the person and myself. I shouldn't be made to look like a liar when I'm not. If I was lying, why would I contact the BBB? ********************************************************** I am done with this issue and since they want to make me out to be a liar, then I will pay the loan I didn't request. I am tired of places such as this taking advantage of hardworking people. I don't wish to pursue this any further as they do not care about people or their situations. Business Response /* (4000, 10, 2021/08/19) */ As she has requested, a self addressed and Stamped envelope will be sent to the customer so that she can make payment. It was not our intent to suggest the Customer was lying but rather to explain our actions and decisions by listing the information we had available to us. If someone applied for a loan in the customer's name we would urge the customer to follow up with law enforcement, change all usernames and passwords, and review her physical security procedures to determine who may have had access to her devices, usernames, passwords and personal details. As previously stated, we are committed to fighting fraud against our customers, their financial institutions, and this company. If the customer has been the victim of fraud we will work with her to ensure that she is not held responsible for the loan. In order to so we would as that the customer set up a three way call with the credit union and our customer service representative so we can determine what happened. We would also request that the customer send us a copy of a police report or an affidavit confirming that they have been the victim of fraud and / or identity theft. Consumer Response /* (2000, 12, 2021/08/19) */ (The consumer indicated he/she ACCEPTED the response from the business.) Remove my account from your establishment as well. As I cannot get into my account. Not that it's any of their business but I no longer have my original email. ************************************************************************************************************************ I never wanted anything from this company just to simply have them stop accusing me of requesting a loan I never requested. As it appears, I have ***** not ***. So to assume it was me with my other email is absolutely absurd as I haven't been on it for quite some time. Either way this ************** company will be getting their money. They don't care about the people or the situations just about money. It's why I stopped using them to begin with. Now I'm dealing with them again because of someone who stole my personal information. If they had such great security, this wouldn't have happened to begin with.

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