Washington State Department of Financial Institutions

Consumer Alert:
Cash Web USA

Unlicensed Payday Lender

March 28, 2013

The Washington State Department of Financial Institutions (DFI) received a complaint from a consumer related to transactions entered into with Cash Web USA. The consumer alleged that this entity was operating without a license and was offering payday loans to Washington State consumers.

Cash Web USA is not licensed with DFI and is not registered to do business with the Washington Secretary of State or Department of Revenue.

The entity’s website is cashwebusa.com and is located in Costa Rica. This entity is not registered to conduct business in Washington State by the Department of Licensing, the Department of Revenue, or the Secretary of State. Washington residents are advised that state law provides in RCW 31.45.105(1)(d) and (3) that a small loan made by an unlicensed entity to a person physically located in Washington is uncollectible and unenforceable in Washington State.

Verify Licenses

DFI strongly recommends that consumers deal only with those lenders that are properly licensed to conduct business. Consumers can determine whether lenders are properly licensed using the "Verify a License" feature on the DFI’s website at www.dfi.wa.gov.

Payday Loan Debt Collection Laws

Consumers should know that Washington state law prohibits threatening or harassing behavior by individuals attempting to collect a payday loan. Only licensed companies are permitted to make payday loans in Washington.

The federal Fair Debt Collection Practices Act says debt collectors must send consumers a written notice within five days of their first phone call, showing how much the consumer owes and where the debt is from. The law says collectors can not say or even imply that nonpayment is a crime.

They can't call before 8 a.m. or after 9 p.m. Collectors are not allowed to speak to a consumer’s employer about their debt. They are prohibited from harassing or abusing consumers and they must stop calling if the consumer asks them to.

Report Fraud

If you are suspicious of unlicensed activity by a payday lender contact the Department of Financial Institutions at 1-877-RING-DFI (746-4334), or online at www.dfi.wa.gov.

If you feel you have been the victim of a loan scam, contact the Federal Trade Commission at 1-877-FTC-HELP (382-4357), or online at www.ftc.gov.

If you feel you have been the victim of a scam involving the Internet, contact the Internet Crime Complaint Center at www.ic3.gov.

If you feel you have been the victim of a scam and are concerned about your personal financial information, contact your banking institution and the three major credit bureaus.

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