IF YOU’RE LOOKING FOR A BUSINESS DEBT SETTLEMENT COMPANY, VISIT DELANCEY STREET. CLICK HERE NOW.
-Running a small business is tough. You have to worry about paying employees, keeping customers happy, managing inventory, and a million other things. With all those plates spinning, it can be tempting to take out a merchant cash advance loan to keep things running. But those loans come with sky high interest rates and aggressive collection tactics. If you took out one of these predatory loans in Wisconsin, don’t panic. There are experienced Wisconsin merchant cash advance lawyers who can help get you the debt relief you deserve.
How Merchant Cash Advances Work
Merchant cash advance loans seem like an easy way to get quick cash when you need it most to keep your Wisconsin business going. You don’t even need good credit or collateral to qualify. But they work more like extremely expensive credit cards than traditional small business loans.Here’s how it works. The lender gives you an upfront lump sum of cash – let’s say $50,000. In exchange, they get to take a percentage of your future credit card sales until they’ve been repaid $75,000 or more. The catch is there’s no fixed repayment schedule. The lender just keeps taking their cut every day until the balance has been paid.So if you’re having a slow month, you still owe the same high payment amount as if business was booming. Miss a few daily payments and the interest keeps building at rates over 50% or even higher. It’s an easy debt spiral to get trapped in.
Aggressive Collection Tactics
And if you do fall behind on repaying a merchant cash advance loan, get ready for the aggressive collection calls to start. Some lenders even:
- Threaten to sue your business, you personally, or both
- File an involuntary bankruptcy petition against your company
- Freeze your business bank accounts
- Intercept new incoming credit card payments
- Send an attorney to your premises to collect credit card receipts
This kind of extreme harassment is totally unacceptable. But it’s also perfectly legal unless you have an experienced Wisconsin merchant cash advance lawyer on your side.
-Wisconsin Merchant Cash Advance Laws
Wisconsin has some good consumer protection laws on the books. But merchant cash advance loans exploit loopholes that leave small business owners vulnerable:
- No limits on interest rates or fees
- No fixed repayment schedule
- Personal liability for business debts
However, having a skilled Wisconsin merchant cash advance attorney review your loan documents can reveal violations of other state and federal laws, like:
- Wisconsin Consumer Act
- Fair Debt Collection Practices Act
- Truth in Lending Act
- Fair Credit Billing Act
- Electronic Funds Transfer Act
How a Wisconsin Merchant Cash Advance Lawyer Can Help
If you feel trapped and harassed by an abusive merchant cash advance loan, contact an attorney right away. An experienced Wisconsin merchant cash advance lawyer can help you:
- Negotiate a settlement for pennies on the dollar
- Make the collections calls stop
- Sue for damages from unfair lending practices
- Defend against a lawsuit if you get sued
- File bankruptcy to eliminate the debt entirely
Getting professional legal advice is critical if you ever hope to get out from under a predatory merchant cash advance loan. You took out the loan to help your Wisconsin business, not to keep paying for years on a debt that never seems to shrink. The right lawyer can stand up to your lender and make sure you get the relief you deserve.
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IF YOU’RE LOOKING FOR A BUSINESS DEBT SETTLEMENT COMPANY, VISIT DELANCEY STREET. CLICK HERE NOW.
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