We Are Stressing Over Our Payday Loans and Moving


Dear Steve,

My wife and I moved to Las Vegas, NV. two years ago we fell into the payday loan and installment loans from plain green, rapid cash, and opp loans. We stopped making payments because we were going to end up homeless. We owe a total of about 7,000. We are moving to Georgia next week. The loan company’s say they are going to start legal action.

I guess my question is… how long before they can hit my wife’s check and can we file bankruptcy on the loans. They tried to settle but we cannot afford what they want per month. We are Stressing! Than you!



Dear Anthony,

If you are already delinquent on the loans then they could already report that payment history. You may want to take a look at your credit reports for free and see what is on them. Go to AnnualCreditReport.com or CreditKarma.com for the report and free tools.

Filing bankruptcy as you leave town is a bit problematic.

The 730-Day (2-year) Rule
Before you can use a state’s bankruptcy exemptions, you must be continuously domiciled in that state for at least 730 days (2 years) prior to your bankruptcy filing date. Otherwise, the 180-day rule determines which state’s exemptions you must use. As a result, if you recently moved to a new state and want to use that state’s exemptions, you will typically need to delay filing your bankruptcy.

The 180-Day Rule
If you have not lived in your new state for at least two years, then you have to use the exemptions of the state where you were domiciled for most of the 180-day (6 month) period before the two years preceding your bankruptcy filing. So if you still want to use your old state’s exemptions, this rule can help you as long as you file your bankruptcy within two years of moving (otherwise you will have to use your new state’s exemptions). – Source

You will be able to discharge the payday loans through bankruptcy and I suspect you have little in the way of assets that would not be protected in bankruptcy in either state. However, the only way to tell is to contact a licensed bankruptcy attorney in Nevada or Georgia and discuss your situation with them.

Decide which is the most pressing issue. Is it the move or dealing with the debt?

Steve Rhode
Get Out of Debt GuyTwitter, G+, Facebook

If you have a credit or debt question you’d like to ask, just click here and ask away.

This article by Steve Rhode first appeared on Get Out of Debt Guy and was distributed by the Personal Finance Syndication Network.

The post We Are Stressing Over Our Payday Loans and Moving appeared first on Personal Finance Syndication Network.

About Damon Day

As a Debt Coach and a Financial Advocate, I have saved my clients Millions of Dollars by exposing the debt relief scams that other consumers fall victim to. I work directly for my clients to create custom debt relief strategies based on their own unique circumstances. Consumers who speak with me first, come out far ahead of those who don't, every single time. Guaranteed. +Damon Day