Cash Advance America
Advance Fee Scam
Updated: February 19, 2014
Originally posted: October 26, 2012
The Washington State Department of Financial Institutions (DFI) has received several reports of possible scams conducted by individuals claiming to represent Cash Advance America and Advance America Payday Loans.
One Washington consumer reports that he has received multiple harassing collection calls from a person claiming to represent Cash Advance America. The caller claims that the consumer owes debt for a 2007 payday loan, but refuses to provide any details about the debt. The consumer states that he did not take out any payday loans in 2007.
Two other consumers received phone calls from people claiming to represent Cash Advance America and Advance America Payday Loans where the callers offered loans in exchange for an upfront fee. Although one consumer had never applied for a payday loan, the callers insisted that they were calling to discuss her online application for a payday loan. The other consumer reports that, when she refused to wire money to the caller, the caller threatened legal action against her.
Cash Advance America and Advance America Payday Loans are associated with the following contact information:
Cash Advance America and Advance America Payday Loans are not licensed by Washington State Department of Financial Institutions to provide loans. They are also not licensed to do business in Washington State.
There is a company called Advance America which is licensed by DFI to provide payday loans. However, there is no indication that Advance America is related to the apparent scams described above.
DFI strongly recommends that consumers deal only with those lenders that are properly licensed to conduct business. Consumers can determine whether lenders are properly licensed using the “Verify a License” feature on the DFI’s website at www.dfi.wa.gov/consumers/findcompany.htm.
Payday Loan Debt Collection Laws
Collection activities are subject to the federal Fair Debt Collection Practices Act. Therefore, if you have questions regarding debt collection laws please contact the Federal Trade Commission at 1-877-FTC HELP, or online at www.ftc.gov.
Debt collectors cannot state or imply that failure to pay a debt is a crime. They cannot call before 8:00 a.m. or after 9:00 p.m. They cannot harass or abuse consumers, or contact consumers' places of employment.
Washington State residents, if you are suspicious of unlicensed activity by a payday lender please contact the Washington State Department of Financial Institutions at 1-877-RING-DFI (746-4334), or online at www.dfi.wa.gov.
If you live in another state, find your state regulator.
If you feel you have been the victim of a loan scam please contact the Federal Trade Commission at 1-877-FTC-HELP (382-4357) or online at www.ftc.gov; or contact the Consumer Financial Protection Bureau (855) 411-CFPB or online at www.consumerfinance.gov. Because the scammers have access to bank account information and social security numbers, victims should consider themselves victims of identity theft and take appropriate precautions. The Federal Trade Commission has information for victims of identity theft available online at www.ftc.gov.
If you feel you have been the victim of a loan scam involving the Internet please contact the Internet Crime Complaint Center online at www.ic3.gov.
If you feel you have been the victim of a loan scam and are concerned about your personal financial information, contact your banking institution, and the three major credit bureaus.