Can someone be arrested if they cannot repay their payday loan?

NO!!!  The lender cannot threaten or use criminal prosecution to collect.  However, the lender may file an action against you in civil court.  If you cannot repay the loan, you may request that the lender place you on a payment plan.  However, the lender is not legally required to grant your request.  If you wish to file a complaint regarding a payday loan vendor in Mississippi, please call either or both of the following offices:

Department of Banking & Consumer Finance – 1.800.844.2499

Consumer Protection Division of the Office of the Attorney General – 1.800.281.4418

To avoid future financial problems, do the following:

  • Create a budget.
  • Cut all unnecessary expenses.
  • Prioritize your debts (pay more expensive interest rate debts first).
  • Call your creditors and ask to waive late fees, reduce the interest rate, and/or work with you to establish a repayment plan that will work for you.
  • Set aside a small amount per paycheck to build up an emergency fund.

For more information on how a bankruptcy could help you with payday loan debt, click here.

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