Image Cash Letter ICL

Image Cash Letter-ACH Alternative

Payday Loan & Car Title ACH Alternative – The Offering:

Image Cash Letter: A web based portal that will allow for the following:

1) Collection of payments in as early as 1 day

2) Verification of the account prior to deposit to minimize return items and fees (option to push payment regardless)

3) The ability to collect payments by batch, single payments and recurring payments

4) The ability to use the system for scheduled and unscheduled collection payments

5) The ability to use account verification independent of payment processing

6) The ability to push money to customers

7) The ability to collect from persons or businesses.

There are no reserves or extensive underwriting like ACH as the company does not hold your funds or provide you credit. All funds flow directly from your customers account to your account. If an item is returned, it is returned into your account. We do not charge return fees.

ACH for Payday Loan Business

The first service is defined as E Check Draft. An Electronic image is printed out and submitted to your bank for payment. If you bank with Chase, BBT, SunTrust, 5th 3rd or PNC, Payment is credited next day. This is RDC but we create and scan all the items. If you bank at any other bank, payment would not be removed from your customer’s account for 3-5 days and credited to your account.

The preferred solution is ICL (image cash letter) which is also built into the system. This will allow for an electronic file to be set up directly with the bank. This is not check 21 and no image is required to be printed out. This can work with any bank and generally takes 2 weeks to set up. We can guide you on the steps necessary to request this product from your bank so that we may set up ICL. In that case, regardless of where you bank, the money would post out of your customers account next day.

Differences from RCC

ICL creates an electronic file and not a check image like RDC or RCC. RCC takes at least 1 day or more whereas ICL funds enter your account same day if before cut off.

It’s a much faster delivery. Quicker by at least a day over RCC.

Its posts direct to fed same time as bank.

The bank is hands off so they are happier with little involvement on their side once it is set up.

For example with Chase, if you were to send 10,000 items now by 8 pm, they would post SAME DAY unless bank has special holding rules.

We pre-scrub each item (included in fee) so you know if it’s bad before you send it! This greatly assists you in your decision process.

This SERVICE WILL greatly reduce returns and help in the collection process.

If you would like to discuss this service in greater detail, and how it can benefit you,  schedule a call here to determine if you are qualified. Click to “Schedule a Call.”

ACH for Payday Loan Business


Payday and Car Title Loans


Filing Criminal Charges Against Consumers

Under Section 393.201(c)(3) of the Texas Finance Code, a contract between a consumer and a credit access business (CAB) offering payday or car title loans must state that “a person may not threaten or pursue criminal charges against a consumer related to a check or other debit authorization provided by the consumer as security for a transaction in the absence of forgery, fraud, theft, or other criminal conduct.”

This means that a CAB may not pursue criminal charges against a consumer unless it has specific evidence of criminal conduct, sufficient to support one of the specified exceptions. For example, if a consumer postdates a check to pay for a payday loan, and that check later bounces, this is not sufficient evidence to show that the consumer committed criminal conduct. A CAB should not pursue criminal charges in this situation unless it has additional evidence showing that the consumer intended to commit a criminal act.

Along the same lines, a CAB should not use a district attorney’s hot-check division simply as a means for collecting on delinquent loans. Generally, the hot-check provisions of the Texas Penal Code apply to dishonored checks bearing the date they are issued, where the writer of the check represents that funds are available even though they are not. Postdated checks are generally not subject to these provisions.

When a CAB accepts a postdated check or ACH transfer authorization, the CAB should understand that there might not be available funds at the time of the transaction. Before threatening or pursuing a criminal charge, a CAB should have specific evidence that the state could use to prove—beyond a reasonable doubt—that a consumer knowingly or intentionally violated a criminal law when entering the transaction. Otherwise, the CAB risks violating Chapter 393 of the Finance Code, as well as the Texas Debt Collection Act (Chapter 392 of the Finance Code).


Moneytree-Washington Payday Loan Laws

UPDATE ON WASHINGTON PAYDAY LOAN LAWS: A bill backed by Seattle-based Moneytree to reshape the state’s payday loan regulations and allow longer-term borrowing survived a contentious Senate debate but was not taken up by the House. Senate Bill 5899 would replace traditional two-week, high-interest consumer loans with “installment loans” that could extend – and accrue interest and monthly fees – over several months.