Payday Loans Class Action Lawsuit
How to File a Class Action Lawsuit Against Your Payday Loans Lender
This article is a legal primer related to a class action lawsuit – whether you are involved in one or more payday loans. This type of lawsuit is generally filed by those who were defrauded of either money or services. In the past, class action lawsuits were filed on behalf of those injured in car accidents, but that has become increasingly rare. Nowadays, the lawsuit usually arises out of fraud committed by the payday loan industry. Those who were defrauded either did not receive the money they applied for, received a different version of what they applied for, or were given the money but not told that it was an illegal loan. The payday loans industry is estimated to be worth over $25 billion annually in the United States alone.
If you have been harmed through no fault of your own, you may be able to recover monies owed to you from the payday loans industry.
The first step is to contact an attorney experienced in representing consumers like yourself. Such an attorney should be familiar with the laws governing this type of class action lawsuit. It is likely that your state has some laws that apply to your specific situation. If not, contact a state law firm that represents consumers like yourself that have been hurt by payday loans and are seeking justice.
You should be prepared to undergo a thorough investigation during the class action lawsuit process. Attorneys representing you will contact former creditors, banks, and other third parties. They will attempt to gather financial information and evidence that pertains to your finances. You will be asked to provide them with proof of how much money you owe them.
Attorneys handling your class action lawsuit will meet with you and discuss the scope of the lawsuit.
They will look at the facts of your situation and determine whether or not you have a legitimate claim to be compensated for your injuries. It is possible that your attorneys will seek a temporary restraining order or temporary injunction to stop the payday loans lenders from taking steps to take your money right away. This is also known as a “preliminary injunction.” This type of order is granted by a judge based on what is known as “proved facts.”
If you happen to negotiate an out of court settlement with your payday loans lender(s) prior to them being served with a complaint, you will have more leverage when it comes to negotiating an out of court settlement.
This is because creditors often feel more willing to settle out of court if they believe they may lose nothing on the deal. Payday loan attorneys know this and make sure their clients receive the maximum amount of compensation. Therefore, you could receive a substantially higher settlement sum.
Once the class action lawsuit is filed, you and your attorneys will schedule a pre-trial conference.
This conference is the place where the attorneys will present all the facts and evidence that is needed to prove the case in front of a judge. After this conference, the case will be heard by a jury. You can expect a final verdict at this point.
You may be wondering how payday loans work if you are going to file a class action lawsuit against your payday loans lender.
In a class action lawsuit, there are only two sides to a dispute. One side is the plaintiff or plaintiffs who have been harmed through the lending of payday loans. The other side is the defendant or the company who made the faulty loan. Once both sides agree to settle the case before a trial date, the plaintiff or plaintiffs will receive a portion of the money that the defendant owes them.
How does a class action lawsuit work? Class action lawsuits occur all the time in courts across the country. For instance, if you are a plaintiff in a slip and fall case, you should contact an attorney. You will learn what kind of damages you can seek in court as well as the time limit for filing such cases. Payday loans are similar to any other kind of business transactions, so you should also be aware of your rights in terms of obtaining payday loans.