They can sue you for breach of contract and execute on any non-exempt property. The most they can win is what you owe plus interest. It is rare for a payday leader to sue though. They make so much interest on the consumers that pay them that they oftentimes leave the ones that don't alone. I'm not guaranteeing anything though. Perhaps a AZ attorney will explain a bit about AZ exemption laws since I am specifically unfamiliar. Good luck! Thanks for visiting AVVO.
I am an attorney licensed to practice law in Ohio and some Federal Courts throughout the United States. I am not answering your question to solicit you as a client and there is a good chance that I am not licensed to practice law in the state that you reside. I hope that you find my assistance beneficial and, at most, use my advise as a finger pointing in the right direction. An attorney client relationship is not established by posting back and forth online. One of the most beneficial aspects of working with an attorney is the attorney client privilege which does not exist when you post personal facts online to faceless strangers. Hire an attorney if you want specific legal advise. If you cannot afford one, call your local bar association or search "(your city) legal aid" online. The fact that you took the time to post your question online likely means that you could use the aid of an attorney. Call around your area and see if any local attorneys offer free consultations.
If they loan you money and you do not pay they can sue you on your obligation to pay, it is normally a breach of contract action and they would likely ask for the amount owed, pre-judgment interest based on the interest rate in the loan agreement and attorney's fees. If they obtain a judgment, they could take any valid supplemental procedure to collect the judgment, including wage garnishment, bank garnishment, or attempt to collect against personal or real property. There are additional things that they would have to do after getting the judgment to collect, but they would be available.
This information is provided for general informational purposes and is not intended as legal advice. An attorney licensed in your jurisdiction can answer questions specific to your specific fact situation and provide you appropriate advice as necessary based on the specific facts of your matter and the jurisdiction in which you reside. If you are in Arizona and interested in discussing your matter further I can be reached at: (480) 838-9000 Mark D. Fullerton, P.C. 1839 S. Alma School Road, Suite 275 Mesa, Arizona 85210
Sure they can sue, the question is would they bother. Typically pay day loans are small and the cost and effort in filing a lawsuit which is easier than the cost and effort in collecting on a judgment after the lawsuit may not be worth it.
I am not YOUR lawyer. You should not rely on answers to questions as legal advice. For legal advice you should contact a law firm for a consultation. Tokarska Law Center 185 West F Street #100, San Diego, CA 92101 (619) 285-1992 www.sdbankrupt.com Tokarska Law Center is a Federal Debt Relief Agency representing individuals and businesses in filing for bankrutpcy protection under the U.S. Bankrutpcy Code.