107 E Eureka Ave, #1
Eureka, IL 61530
121 N Main St
Bloomington, IL 61701
309-467-3213 schedule consultation
schedule consultation

Can A Payday Loan Company Have Me Arrested For A Bad Check?

Published on March 17th, 2015

Joe Pioletti

Are you being threatened by a payday loan company? Has a representative called and threatened to have you arrested if you do not pay your payday loan? If so, you need to contact an attorney as soon as possible. You have rights that a payday loan company cannot violate. The best thing you can do is learn what your rights are with regard to payday loans, so that you can make an informed decision how to proceed.

What is a Payday Loan?

A payday loan is a short-term loan that can have a term as short as a couple of weeks or up to four months. These loans carry extremely high interest rates that are sometimes 10 to 15 times higher than the interest rate on a credit card or personal loan. Many payday loan companies target those with fixed incomes who need money to make ends meet such as the elderly and those who are desperate and need money quickly. In many cases, the borrowers have a very low income and the interest rate charged for the payday loan makes it very difficult to pay back the loan in a timely manner.

Payday loan companies typically require borrowers to do one of three things to ensure that the money is paid back:

  • Require the borrower to agree to have the payment debited from the borrower’s bank account;
  • Require the borrower to sign a wage assignment allowing the payday loan company to deduct up to 15% of your income from your paycheck until the debt is paid (this does not apply to members in the military); or,
  • Require the borrower to provide the company with a post-dated check for the loan amount.

The requirement to provide a post-dated check worries many borrowers because they fear going to jail for writing a bad check. While borrowers may need to worry about borrowing money from a payday loan company because it will cost them much more in interest, they do not need to worry about going to jail if they cannot repay the debt.

Can I go to Jail for a Payday Loan Check?

No, you cannot go to jail for writing a post-dated check to a payday loan company. If the company threatens to have you arrested for a “bad check,” you need to notify the Illinois Attorney General’s Office. Payday loan companies cannot file a criminal complaint and they are prohibited from threatening a borrower with legal action that they cannot take.

What Should I do if I am in Trouble Because of Payday Loans?

It is easy to get into trouble with payday loans. If you are struggling to pay your debts but finding it difficult to do so because you have very little money left over each month after paying your living expenses, filing a bankruptcy may be the solution to your debt problems. Payday loans and other unsecured loans are included in your bankruptcy and are discharged, meaning you no longer are legally required to repay these debts.

You can get a fresh start to recover from your financial crisis and begin rebuilding your finances. Contact our office to schedule your free bankruptcy consultation to learn more about how a bankruptcy can help you with your payday loans and other debts.

Contact Our Office for a Consultation with an Experienced Illinois Bankruptcy Attorney

The attorneys of Pioletti Pioletti & Nichols represent individuals who need experienced bankruptcy attorneys. We help clients throughout McLean, Woodford, Tazewell, and Peoria counties by providing compassionate, competent legal services. Contact our office at 309-938-4838 to schedule your free bankruptcy consultation.

When you need the assistance of an experienced bankruptcy attorney in Central Illinois, call the knowledgeable and skilled attorneys of Pioletti Pioletti & Nichols. We are dedicated to giving our clients exceptional service and support throughout the bankruptcy process.

Don Pioletti
Latest posts by Don Pioletti (see all)

Back to News


107 E Eureka Ave, #1
Eureka, IL 61530


24/7 live phone answering


121 N Main St
Bloomington, IL 61701


24/7 live phone answering


2 Dearborn Square #1D
Kankakee, IL 60901


24/7 live phone answering


1 W Old State Capitol Plz Ste 721
Springfield, IL 62701


24/7 live phone answering

Contact Us Today!