If my account becomes past due, will I face criminal prosecution?

If the payday loan provider that is responsible for your transaction is a member of the Community Financial Services Association of America (CFSA), then you will face no criminal charges in the event of a past due account. Non-CFSA payday loan lenders may have their own policies regarding past-due accounts, and it is possible that criminal charges may be applied.

CFSA members abide by a set of rigid Best Practices, which encourage the self-regulation and responsible management of the payday loan industry. This responsibility extends to the fair treatment of loan borrowers who have fallen behind on their repayment. If your account becomes past due, you will still be responsible for all incurred fees, including any returned check fees, in addition to your balance and any late fees that your provider or bank have within their policies to charge you. If your payday lender thinks the situation is appropriate, your account may be given to an outside collection agency. That collection agency will then take over the resolution of any past due accounts.