| |
Frequently Asked Questions:
|
Q: |
 |
Do most
people use a payday advance service for the same reason I do? |
| A: |
|
Probably so. Surveys show that
while Americans do a pretty good job of managing household budgets, most of
us need occasional help. An increasing number of consumers choose a payday
advance to cover unexpected expenses or to bridge a short-term cash crunch
between paydays, without incurring revolving debt. A payday advance is a
short-term financial management tool that can provide a sensible alternative
to costly bounced checks, late payment charges and tarnished credit ratings.
However, you should evaluate the costs and benefits of all alternatives
before borrowing. Other forms of short-term credit that may be less
expensive include a loan from another institution or from family or friends,
a credit card cash advance, an account with overdraft protection or a salary
advance. |
Back to
top
|
Q: |
|
What
happens if I change my mind after taking out a payday advance? |
| A: |
|
Check Advance abides by
CFSA’s Best
Practices, which enable you to rescind the transaction at no cost before
the end of the following business day by returning the full amount of the
advance. |
Back to
top
|
Q: |
|
How
often do most people use this service? |
| A: |
|
Since a payday advance is a
short-term solution to an immediate need, it is not intended for repeated
use in carrying an individual from payday to payday. When an immediate need
arises, we’re here to help. But a payday advance is not a long-term solution
for ongoing budget management. Repeated or frequent use can create serious
financial hardships. Should you need help with budgeting or debt management,
call the National Foundation for Credit Counseling at 1-800-388-2227. NFCC
is a national network of nonprofit Financial Care Centers™, dedicated to
helping people learn how to better budget their money and use credit wisely.
With one toll-free call you will be connected to the center nearest you. |
Back to
top
|
Q: |
|
Is my
transaction confidential? |
| A: |
|
We respect our customers’
desire for privacy in managing their personal financial matters. The payday
advance transaction is confidential, and your personal information will be
treated accordingly. |
Back to
top
|
Q: |
|
How is
my advance amount determined? |
| A: |
|
State law generally regulates
the maximum advance amount available. Within the allowed range, you qualify
for a particular advance amount based on your current income. Sometimes you
may not be able to get as much as you’d like, but a payday advance should be
part of a short-term financial solution. We wouldn’t really be helping if
you received more than you have the ability to repay. |
Back to
top
|
Q: |
|
How are
fees established? |
| A: |
|
The fee is competitive and in
compliance with applicable state or federal law. It is our goal to offer you
the best service at the most competitive fee possible. |
Back to
top
|
Q: |
|
Is my
credit rating checked before I receive an advance? |
| A: |
|
No. Unlike many other financial
institutions, Check Advance does not obtain a complete credit report and
does not require that you have good credit or, for that matter, any credit
history at all. Check Advance does, however, subscribe to a risk assessment
service. It reports if customers are current in their payments and whether
they have cash advances outstanding with other companies that subscribe to
the same service. |
Back to
top
|
Q: |
|
Getting
a payday advance is such a simple and easy process, why is there so much
information in the Customer Agreement? |
| A: |
|
The Agreement you read and sign
prior to receiving a payday advance is a contract that complies with all
applicable state or federal disclosure requirements. It fully outlines the
terms of the payday advance transaction, including the cost of the service
fee both as a dollar amount and as an annual percentage rate (APR). Although
a payday advance is a short-term financial solution and not intended as a
long-term source of credit, you are provided with the APR as our practice of
full disclosure and compliance with federal law. |
Back to
top
|
Q: |
|
Can I
renew or roll over my advance by just paying the fee again on my due date? |
| A: |
|
Some state laws allow
rollovers, while most do not. Even where rollovers are permitted, CFSA
member companies limit rollovers to four or the state limit, whichever is
less. Additionally, some financial institutions do not allow any rollovers,
regardless of state law provisions. The limiting of rollovers, where
permitted, is a consumer protection designed to ensure responsible,
short-term use of the service. |
Back to
top
|
Q: |
|
What
happens if I don’t have the funds necessary to repay the advance on my due
date? |
| A: |
|
Just like you, we hope this
doesn’t happen. But if it does, Check Advance is committed to collecting
past due accounts in a professional, fair and lawful manner. If your check
is deposited and returned by your bank due to insufficient funds, Check
Advance may charge a returned check charge if permitted by applicable law.
(You should be aware that most financial institutions will also charge an
NSF fee for a returned check and in some circumstances might revoke your
checking account privileges.) You will be responsible for full payment of
your account, including the returned check charge. We will contact you to
collect the amount due. If necessary and appropriate, your account may be
turned over to a collection agency. |
Back to
top
|
Q: |
|
If my
account becomes past due, will I face criminal prosecution? |
| A: |
|
No. In accordance with
CFSA’s Best Practices, our company policy is not to pursue criminal
actions against a customer as a result of the customer’s check being
returned unpaid. If it becomes necessary and is appropriate, however, we may
seek civil remedies to collect past due amounts. |
Back to
top
|
Q: |
|
What
can I do if I’m ever dissatisfied with the service received from Check
Advance? |
| A: |
|
We strive to provide friendly
and professional customer service and receive very few customer complaints.
But an occasional problem may arise. If you have a concern that is not
resolved to your satisfaction by the Manager, we invite you to call our
Customer Comment Line toll-free at 1-800-705-4885. We welcome the
opportunity to address your concerns. In the unlikely event that your
concern continues to be unresolved at that point, our Agreement states that
you can take your issue to small claims court or request arbitration by a
neutral third party who hears both sides of the issue and makes a binding
decision. |
Back to top
|
