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debt collectors
Posts Tagged “
Debt Collectors
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debt collectors
geriatric fury
80-Year-Old Woman Files Lawsuit Over $6 Sears Datebook
Margaret Vail (pictured left), an 80-year-old woman from Mansfield, OH., is fed up with Sears and the numerous collection agencies that claim she ordered a $6 datebook back in 2003. According to the Mansfield News Journal, Margaret never ordered the datebook, yet Sears sent her one anyway and put it on her Sears charge card. Her local store won't accept returns on mail-order merchandise and she refuses to pay shipping to return it. Over the years, the balance has ballooned to $130 which doesn't faze Margaret who is spending over $200 in fees to file her lawsuit. Details, inside... More »
debt collectors
How To Protect Yourself Against Aggressive Debt Collectors
Millions of Americans are in debt, so it stands to reason that there are over 6,500 collection agencies in the U.S.. Most of these agencies operate under the law but a growing number of them do not. According to statistics from the Better Business Bureau, complaints filed against debt collectors rose 27% in 2007. Even if you legitimately owe the debt, you should know there are laws that protect you against harassment and the unfair practices often employed by these rogue debt collectors. CNN Money discusses the Fair Debt Collection Practices Act and laws which protect the consumer. Details, inside... More »
debt
A Debt Collector Offers You A Credit Card, What's Wrong With This Picture?
Like countless others, reader Ryan is in debt. His debt is to the tune of $1,364. He received an interesting offer from the debt collector who is offering "debt reduction" in the form of a pre-approved Visa card in which his $1,364 debt would be reduced to a $1,200 balance if he accepts the card. He would need only to to pay off the balance under the terms of the credit card to eliminate his debt. Ryan wisely wrote to us to ask if this is a good idea. Actually Ryan, it's a really really really bad idea. His letter and our advice, inside... More »
new york magazine
How would you feel to learn that not only had your household become subscribed to a magazine against its will, you were not getting threats that your account was overdue and was about to be sent to a debt-collection agency? That's exactly what happened to husband and wife Keith and Stacy with New York Magazine. After our post went up about them, NYmag, wanting to defend what Communications Manager Lauren Starke called, "the good name of our circulation department—one of the most solid in the industry." We put them in contact with Keith. After a flurry of testy emails between the two, here's what happened.
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Closure For NYMag Sub Never Ordered, Collections Threatened
How would you feel to learn that not only had your household become subscribed to a magazine against its will, you were not getting threats that your account was overdue and was about to be sent to a debt-collection agency? That's exactly what happened to husband and wife Keith and Stacy with New York Magazine. After our post went up about them, NYmag, wanting to defend what Communications Manager Lauren Starke called, "the good name of our circulation department—one of the most solid in the industry." We put them in contact with Keith. After a flurry of testy emails between the two, here's what happened.
More »
zombie debt
Third-Party Debt Collectors Misusing Courts To Increase Profits
The Chicago Tribune writes that "More than 119,000 civil lawsuits against alleged debtors are clogging [Chicago] courtrooms," but since collection agencies make money off of volume business, the suits filed are based on too little information. The result: cases based on mistaken identities, or for debts already settled, or against debtors who have made good-faith efforts to work out repayment plans. "The system is out of control," one attorney tells the paper. More »
scams
Moreno And Woods: Scammy Debt Collectors Who Lie And Harrass
Erin was the recipient of a recent scam attempt from Moreno and Woods, a debt collection agency that—according to her account and others found online—uses abusive tactics and fraudulent claims to try to con people into paying off debts they never owed to avoid things like wage garnishments and lawsuits. Erin fought back, and shared her story with us to warn others. More »
new york magazine
You know we're at death's door for the print industry when they have to resort to a sleazy subscription tactic like this debt collection warning New York Mag sent Keith's wife for a subscription she believes she never signed up for. Keith called the number on the back of the card and a customer service rep said that an "affiliate" put in the order. Dawn let Keith cancel the order without fuss. When Keith asked why the company was threatening to send people to collections for something they never ordered , "Dawn" said, "Don't worry...it doesn't make a difference since we don't have your social security number and we will never ask for it." As if that's going to protect you from a debt collector. UPDATE: NYmag says the subscription renewal was valid and the customer must have forgotten about it. Full response inside.
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UPDATED: NYMag: Collections Threatened For Sub You Think You Never Ordered
You know we're at death's door for the print industry when they have to resort to a sleazy subscription tactic like this debt collection warning New York Mag sent Keith's wife for a subscription she believes she never signed up for. Keith called the number on the back of the card and a customer service rep said that an "affiliate" put in the order. Dawn let Keith cancel the order without fuss. When Keith asked why the company was threatening to send people to collections for something they never ordered , "Dawn" said, "Don't worry...it doesn't make a difference since we don't have your social security number and we will never ask for it." As if that's going to protect you from a debt collector. UPDATE: NYmag says the subscription renewal was valid and the customer must have forgotten about it. Full response inside.
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dc
DC Tickets And Tows Stolen Car, Releases It To Thief, Then Sends Collection Agency After Owner
Steve Steinberg refused to pay a parking ticket issued after his car had been stolen, so the Washington, DC Department of Motor Vehicles sent a collections agency after him. Steinberg's car was stolen in September of 2006. After he reported the theft, Steinberg says, the DC police and DMV ticketed his car, towed it, then released it to the thief. More »
bills
AT&T Sends Bills To Collections Ten Days After They're Mailed Out
Reader Tom wrote in to let us know that during a conversation with AT&T customer service, a representative told him that it is typical to send out collection notices ten days after the original bill is mailed. Factoring in two or three days for the bill to arrive, two or three days for the check to get back to AT&T, and a Sunday or two, that leaves three to five days for customers to pay their bills before the angry letters and phone calls begin. More »
consumer rights
38.6% Of Reported Debt Collectors Demand More Money Than Is Legal
Debtors have rights, and sometimes they get violated. The FTC released its annual Fair Debt Collection Practices Act report, part of which documents the number of complaints they get about debt collectors violating consumers rates. FTC received 70,951 DCPA violation complaints in 2007. Of them:
38.6% demanded more money than allowed by law
19.7% harassed consumers with repeated calls
9.2% used obscene, profane, and abusive language
2% called before 8am or after 9pm
.3% threatened violence
6.5% falsely threatened lawsuits
13.2% called third parties repeatedly to get information about the consumer
Here's more information about the FDCPA. You can lodge complaints with the FTC about FDCPA violations by calling filling out this online form or calling 1-877-FTC-HELP.
complaints
Mugger Used Our Credit Card, Now CapitalOne Sued Us Without Us Knowing For $1200 And Won
Andrew's wife got mugged, the thief rand up purchases on her credit card, and now CapitalOne has sued them for $1200 and won. How can this be? Andrew writes:In May of 2005 my wife was mugged at one of the elevated train stations in Chicago. After calling the police and filing a police report, she started calling each credit card company to cancel each account. Except she forgot about one card, her CapitalOne card. A card hardly ever used and only had a $500.00 limit...More »
debt collectors
Debt Collectors Don Sheep's Clothing
"[Debt] Collectors actually care about consumers... They want to teach consumers how to get out of debt. They're trying to put themselves out of business." - Rozanne Andersen, general counsel of ACA International (formerly the American Collectors Association) as quoted in this morning's NYT article, "Debt Collectors Try to Put on a Friendlier Face." As times get tougher and the options for borrowing from Peter to pay Paul shrink, more accounts are becoming delinquent. This means booming business for debt collectors, but increased activity could bring scrutiny from politicians and regulators, as well as consumer backlash. So, infamous for harassing debtors with abusive and threatening language and incessant calls (all violations of Federal regulations), the industry is trying a new tactic: playing Mr. Nice Guy. They're conducting personal finance management courses, writing columns about how Abraham Lincoln couldn't pay his debts, and opened a full-time lobbying office in Washington DC this month.
(Thanks to George!) (Photo: Getty)
debt
Consumers Reported 69,204 Fair Debt Collection Practices Act Violations. FTC Responds With One (1) Lawsuit
Consumers have filed over 69,000 complaints against scummy debt collectors for violating the Fair Debt Collection Practices Act, prompting the FTC to rush to our collective defense by taking action against three debt collectors who showed a "culture of harassing the debtors from which they collect." Two debt collectors settled and one went to court. Still, when you receive over 69,000 complaints—and these are from the people who know to complain to the FTC—it's reasonable to assume that more than three collectors encourage a culture of harassment. More harrowing revelations from the FTC's annual report to Congress, after the jump. More »
A consumer who received a collections notice that began, "DEAR SHITFACE," will sue the collections agency next week. [Caveat Emptor]
success stories
Case Closed: Comcast Billing Gone Bonkers
After we posted SM's battle with Comcast to stop fraudulently billing her for over a year, , Comcast took notice and asked to get in touch with SM. We played matchmaker and now Comcast reports that the problem is solved. The account is cleared and CMI has been notified to stop trying to collect on it. Inside is the letter they are sending to SM. Hooray, problem solved. Comcast's billing system, however, remains a mess. Hopefully CMI won't still try to collect, for CMI's sake. Otherwise SM will now really have a very good basis for making quick and easy cash by suing them in small claims court for violations of the Fair Debt Collection Practices Act.
PREVIOUSLY: Comcast Billing Gone Bonkers
complaints
Comcast Billing Gone Bonkers
SM writes:This story starts in March 07 when my sister moved out of the country and canceled her Comcast account. I returned her modem, and they told me her account was settled. Then, my mom (who has power of attorney) gets a bill for around $193. Comcast customer service tells my mom that she really only has to pay around $35, so she sends a check for that amount, but another bill arrives for $135.35. Again, Comcast customer service tells her, no actually you only need to pay $43.86. My mom tries to dispute the bill, but Comcast sends my sister's account to a collection agency called CMI...More »
telemarketers
Get Rid Of Telemarketers, Debt Collectors, And Other Vermin With Phone Tones
Chris recorded a little sound file onto his answering machine that stopped a debt collector robot that kept calling him, seeking people who didn't live there. This .WAV is the U.S. Special Information Tone signal for "vacant circuit", which signifies and out-of-service or nonexistant number. You know it better as "boo-boo-BOOP!" Chris recorded a new message on his answering machine with the tones at the beginning and the next time the robot called, it thought it was getting a dead line and dutifully erased the number from its system. Voila, automatons be gone. Some places have autodialers that don't (or have been tweaked) to respond to SIT tones, but if you've got a persistent unwanted robot caller, it's worth a shot.
SIT-VC.WAV [Art Of Hacking]
