Complaint Review: Americian Web Loan

This company should be reported as a scam. The payments you make on $4 goes towards repayment of the loan. When I applied for the loan I was under the impression that the processing fee would be taken out 4 times then the total amount borrowed would be deducted out of your checking account.

But no that is not the case. The APR is outrageous. I borrowed $300 in the first week of February. I was told that $88.83 would be taken out in accordingly to my Bi-Weekly paychecks, and that the last and total amount of the loan plus interest would be taken out the first week of April. But that was not the case.

I had to call the company to arrange for the total loan amount to be taken out of my account after having paying $370.32 just in interest alone of which $4 was applied to the loan. I noticed that only $88.83 was being drafted from my account on a Friday. So I called the company to have the entire amount drafted from my account to find out that you have to call 2 days prior to the day you would like to pay off the loan.

More fees $5.75 per day. So in addition to my $88.83 payment on a Friday to pay off my loan would be the loan amount plus an added $16 because every day including weekends accrue interest. So my $300 loan turned into a total of $671.32. Wow I could have just paid my credit card late fee :(