Consumer complaint received 2021-07-14 00:00:00
Product: Payday loan, title loan, or personal loan — Personal line of credit
Issue: Charged fees or interest you didn't expect — 
Company: ENOVA INTERNATIONAL, INC.
State: WA

Complaint narrative:
Netcredit is operated by it's Parent Company " Enova '' and also uses Cashnet USA to do their underwriting for Line of Credit, which is what I have with my personal loan LOC amount is {$3200.00} they have an incorrect amount of {$3600.00}. My Netcredit Account # XXXX. My complaint is that this is a Predatory Lending Company taking advantage of myself ( a Veteran ) and many other struggling citizens by having High Excessive Fees, and Hidden Charges, that Do Not Reduce the Principal Amount of the Loan or LOC. The person I spoke to on the phone was telling me that they are exempt from abiding by the Usury Law as it pertains to the LOC. 

" Usury '' is the unlawful act of charging interest on a debt ( including discount points, fees and other charges ) at a rate greater than what is permitted under any applicable law or exemption from a law. 

Washington State has a usury law ( RCW 19.52 ) ) that sets limits on the maximum rate of interest a lender may charge a borrower. The usury law applies to consumer loans that are not related to a credit card debt, a retail installment contract or a consumer lease. 

According to RCW 19.52.020 ( 1 ), a lender may, if agreed in writing between the lender and borrower, charge an interest rate at a maximum rate of 12 % per year. Or, a lender may charge 4 % above the first auction quote on the Federal Reserves 26-week treasury bills made in the month preceding a written agreement between lender and borrower. A lender may use whichever rate is higher - 12 % or 4 % above the Federal Reserve rate on 26-week treasury bills. 

But if the borrowers make only the minimum payment each month, the interest rate quickly mounts and the debt balloons. Now loan companies use open-end lines of credit to entice people who are down on their luck to run up big, seemingly never-ending debts. And this is exactly what NETCREDIT is doing at the moment. 

My credit limit was {$3200.00} and its showing much more than that which is incorrect. I get paid once a month and my payment should reflect that as which was stated when I applied for the loan. Ive sent numerous emails and spoke with many representatives and added the multiple paystubs for the past three months and this circumstance is still UNRESOLVED on your end. It was my understanding as applying for the loan I would be making one payment according to the Line of Credit Utilized ( {$3200.00} ), with a major portion of the LOC being paid going to the principal amount of the loan. Im unhappy with the lack of follow through on your companys end and no timely response to fix this mistake of a loan and how its being handled. A ) One Payment Date : End of Month ( I GET PAID ONCE A MONTH ON THE LAST DAY OF THE MONTH - as specified in my loan application ) B ) MY LINE OF CREDIT SHOULD BE {$3200.00} NOT {$3600.00}. Since this has not been rectified on your end after calling and many email threads Im left with no option. Therefore, Im contacting the XXXX XXXX XXXX, Federal Trade Commission, Federal Reserve Consumer Help, Consumer Affairs, and Washington State Department of Financial Institution to forward my complaint. My banking records with XXXX XXXX shows the exact deposits which are {$3200.00} for the LOC. Im also aware that Netcredit is violating my home state 's usury cap of 12 percent, which applies to all consumer loans except those made by licensed finance companies, car-title lenders, payday lenders, credit card firms and banks. NetCredit HAS NO WASHINGTON STATE LICENSES with the WASHINGTON STATE DEPARTMENT OF FINANCIAL INSTITUTIONS & THE LOCAL ATTORNEY GENERAL. This is a major concern and violation as it seems this business is operating ILLEGALLY and NOT UNDER THE WASHINGTON STATE DFI 's STIPULATIONS SINCE THEY HAVE NO LICENSE AND/OR CHOOSE TO DISREGARD THE LAWS. It seems your business practices on Loan Terms IS NOT VALID. I will pay my obligation once your company addresses my concerns and updates the Legal Payment according to the 12 % Usury Law of the State of Washington. Your Company is a Predatory Lending Company that is Charging Unforseen/Hidden Fees and Outrageous Triple Digit Interest to people who are struggling!!!

Company response to consumer: Closed with explanation