Can I be arrested for not paying back a payday loan?

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There is no debtor's prisons in the United States. In order to collect on a debt, a creditor/collection agency must file a lawsuit and obtain a civil judgment. 

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Which state are you residing in? If payday lending is prohibited in your state, then you're not needed to pay the interest. Only paying off the principal might do the required. However, you cannot be arrested for not paying back a payday loan as it's a civil offense and not a criminal one. You could just be sued by the lender, however! Hope this helps!

 


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