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Fill out our contact form. We'll reach out and conduct a thorough assessment of your situation, and how we can help you. Our goal is to understand your situation, and determine if our program is the right for you, and the type of debt you have.

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Once we determine our program is right for you, we start working on your behalf. We conduct a thorough evaluation of the type of debts you have, and put together an action plan on what a realistic, and beneficial outcome would look like for each debt.

We Get Results

The final step is the most important, we restructure your debt and put you in a better position than we found you. We work with you to adhere to the new debt restructuring program, and are with you every step of the way to make sure your business is thriving.

Program Results

$450K Merchant Cash Advance

Extra 24 Months

Transformed into a monthly payment, and extended by 2 years, with a 15% reduction in balance.
$110K Merchant Cash Advance

55% Reduction

Transformed into a monthly payment, and extended by 2 years, with a 55% reduction in balance.
$100k Business LOC

50% Redution

Our client had an LOC with a MCA hybrid lender, and saw a drastic reduction in balance.

How We Help

Business debt settlement through Delancey Street involves restructuring your corporate debt, in a manner that allows you to keep your doors open, and results in an increase in cashflow.

Get a affordable plan that works for your business cash flow as a part of the debt settlement process.

Get potential resolutions with Delancey Street in a timely and effective time frame once you enter our debt relief program.

You Have a Powerhouse team of financial and legal experts on your side, advising you on how to interact with predatory creditors.

5 Star Google Rating trusted by 100's of people who are struggling with business debt.

Pennsylvania Merchant Cash Advance Legal Help – Attorneys, Debt Settlement

Pennsylvania Merchant Cash Advance Legal Help – Attorneys, Debt Settlement

Merchant cash advances have become a popular alternative financing option for small businesses in Pennsylvania. Unlike traditional bank loans, merchant cash advances provide fast access to capital by purchasing a portion of a business’s future credit card sales.However, some merchant cash advance companies engage in predatory practices that take advantage of small business owners. Excessively high interest rates, misleading terms, and aggressive collection tactics are common complaints. If you feel trapped in an abusive merchant cash advance agreement, legal help is available.

Understanding How Merchant Cash Advances Work

Let’s break down the basics first. A merchant cash advance provides money upfront in exchange for a fixed percentage of future credit card sales. Typically, the merchant cash advance company takes 10-20% of daily credit card receipts until the advance has been repaid in full, plus fees and interest.For example:

  • You receive a $10,000 cash advance
  • The provider takes 15% of your daily credit card sales
  • On a day you have $1,000 in credit card transactions, $150 goes to repaying the advance

Because payments fluctuate based on sales volume, there is no set repayment schedule. Advances can cost the equivalent of 60-350% APR when all fees and interest are calculated.

Common Predatory Practices

While merchant cash advances provide fast access to capital, they come with risks. Unethical providers often mislead applicants about the true cost of borrowing. Here are some predatory practices to watch out for:

Excessive Rates and Fees Merchant cash advance companies typically charge 1.10 – 1.50 for every $1 provided. This equates to an annualized rate between 60-350% when all costs are considered. These excessive rates can trap borrowers in debt.

Misleading Terms Agreements often contain confusing terminology that obscures the real costs. Key terms like “factor rate,” “holdback percentage,” and “reconciliation period” should be clearly defined.

Aggressive Collections Some providers will attempt to seize assets or force borrowers into bankruptcy to recoup their investment. Tactics like accessing bank accounts without warning, pressuring friends/family, and making false threats are unacceptable.

Deceptive Marketing Unethical lenders downplay risks and exaggerate benefits. Read the fine print carefully to understand repayment terms and costs. Consult with legal counsel if the agreement seems misleading.If you feel trapped in a predatory merchant cash advance agreement, legal help is available. An attorney can review your case for free and discuss options.

Your Legal Rights and Defenses

The law provides protections against unfair lending practices. By understanding your rights, you can better defend yourself from abuse. Potential claims related to merchant cash advances include:


If an agreement is unjustly one-sided or contains unreasonably harsh terms, it may be ruled unconscionable. This makes the contract void or subject to revision.

Usury Violations

Charging excessive interest rates above state limits is illegal. Usury laws generally cap rates at 6-24% depending on the state and type of transaction.

Deceptive Trade Practices

Predatory sales tactics, false promises, and misleading marketing violate consumer protection laws. This provides grounds to nullify contracts and sue for damages.


Overly aggressive collections activity is prohibited under federal and state debt collection laws. Tactics like nonstop calls, threats, accessing accounts without permission, and contacting employers/family often qualify as harassment.**Breach of Contract **If a merchant cash advance company violates terms spelled out in the agreement, this constitutes a breach of contract. For instance, seizing assets without notice despite contractual provisions stating otherwise.


While challenging, merchant cash advances can sometimes be discharged in bankruptcy thanks to recent case law. An attorney can advise if your specific situation may qualify for debt relief.

Finding Legal Help in Pennsylvania

If you need assistance getting out of a predatory merchant cash advance agreement, legal help is available. Look for a lawyer with experience fighting merchant cash advance companies and consumer protection laws. Telltale signs of an abusive agreement include:

  • Excessively high interest rates over 100% APR
  • Confusing terminology that hides the true cost
  • Threats, harassment, or overly aggressive collections activity
  • Claims that seem too good to be true

Reputable attorneys offer free case reviews to determine the best course of action. Common options include:

  • Negotiating a settlement for less than the full balance
  • Filing claims against the merchant cash advance company
  • Challenging the agreement’s validity based on legal defenses
  • Discharging the debt through bankruptcy

When searching for legal help, make sure to choose an attorney licensed in Pennsylvania. Relevant legal specialties include banking law, consumer protection, commercial litigation, debt relief, and bankruptcy.Ask the attorney if they have experience fighting merchant cash advance companies specifically. Providers like Yellowstone Capital, Kabbage, and Pearl Capital are frequent offenders. An attorney familiar with these companies can better target potential violations.

What to Expect During the Legal Process

Here is an overview of what you can expect if you pursue legal action against an abusive merchant cash advance provider:

1. Case Review – The first step is a free case review with your attorney. They will examine the agreement terms, applicable laws, and potential defenses. This assessment determines the recommended course of action.

2. Demand Letter – In most cases, the attorney will first send a demand letter asking the provider to release you from the agreement and waive any remaining balance. Reasons cited may include unconscionable rates, usury violations, or harassment.

3. Negotiation – If the provider agrees violations occurred, settlement negotiations begin. The goal is getting you the best possible deal, often for pennies on the dollar. Having an attorney greatly improves leverage.

4. Litigation – If negotiations fail, filing a lawsuit is the next option. Common claims include breach of contract, deceptive trade practices, usury violations, and harassment. Expect a lengthy process often lasting over a year.

5. Bankruptcy – As a last resort, merchant cash advance debt can potentially get discharged in bankruptcy. Case law is evolving, so legal counsel can advise if bankruptcy merits consideration.With an experienced attorney on your side, you can defend yourself against predatory merchant cash advance companies. Don’t hesitate to seek help reclaiming control of your financial future. Most attorneys offer free consultations and case reviews.

Finding the Right Attorney for Your Situation

As you conduct your search for legal help, keep the following tips in mind:

  • Check Licensing – Verify the attorney is licensed to practice law in Pennsylvania. The Pennsylvania Bar Association offers an online directory to confirm status.
  • Read Reviews – Look for client testimonials and reviews on sites like Google, Facebook, and Avvo. These provide insight into an attorney’s track record fighting merchant cash advance companies.
  • Compare Experience – Not all consumer protection attorneys possess relevant experience with merchant cash advances specifically. Look for a lawyer who regularly handles these cases.
  • Offer Free Review – Reputable lawyers will examine your case at no cost and explain your options. Avoid any firm asking for upfront fees before assessing your situation.
  • Discuss Fees – Understand fee structures and payment plans upfront. Many attorneys handling consumer protection cases work on contingency, taking a portion of any settlement or judgment.
  • Specialize Locally – Search for legal help within your local Pennsylvania community. Nearby firms have a better grasp of state laws and local courts.

Don’t let predatory lending practices keep you trapped in debt. The law provides protections, and legal help is available. Consult with a qualified Pennsylvania attorney to understand your rights and options. With an experienced lawyer on your side, you can reclaim control of your financial future.

Delancey Street is here for you

Our team is available always to help you. Regardless of whether you need advice, or just want to run a scenario by us. We take pride in the fact our team loves working with our clients - and truly cares about their financial and mental wellbeing.

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