We’re no stranger to the shady tactics that debt collection companies use to pry money from consumers. But the latest scam to be shut down by U.S. authorities might be one of the most egregious we’ve ever seen. [More]
debt collection
Authorities Arrest Owner, Six Employees Of Debt Collection Group That Scammed $4.1M From Consumers
By 11.18.14
CFPB Finds Older Consumers Face Illegal, Harassing Tactics From Debt Collectors
By 11.5.14
As if we hadn’t said it enough, but debt collectors are the worst, especially when they use illegal tactics to pry money from older American’s living on fixed incomes. A new report from the Consumer Financial Protection Bureau shines light on the issues older consumers face when it comes to their financial well-being. [More]
Sketchy Retailer That Sued Soldiers Promises To Be Less Sketchy, Still Suing Soldiers
By 10.7.14
In July, we told you about USA Discounters, a retailer that took advantage of underpaid soldiers with no credit histories to charge them exorbitant financing fees and then sue them when they couldn’t pay up. Now USA Discounters has changed its name and is promising to change its ways, but it’s really just another case of putting a wig on a pig. [More]
Study: One Third Of Americans Have Debt In Collections
By 7.29.14
Sometimes debt isn’t so bad, and sometimes it is, but one thing is clear: 80% of Americans owe someone, somewhere, some money. It might be a mortgage or student loan, or a five-year-old fee that got forgotten about, but the vast majority of us have some outstanding debt. And worse: a third of the country may have debt collectors chasing after them for that cash. [More]
FTC Halts Debt Collection Company That Allegedly Used Illegal Tactics To Collect $8.7M
By 7.21.14
And another one bites the dust – kind of. The Federal Trade Commission, along with the New York Attorney General’s office, received an order to temporarily halt a Buffalo-based debt collection operation that allegedly used lies and threats to collect more than $8.7 million from consumers. [More]
Even Scofflaws With $270K In Debt Have The Right To Not Be Cyberstalked By Collectors
By 7.14.14
We recently told you about the woman who admitted she indeed owed Kohl’s $20, but sued the retailer for being over-eager about collecting on the debt. But does a debt collector have more leeway to be a pest when the debt is 13,500 times that amount? [More]
Debt Collection Scammers Calling Victims’ Family & Co-Workers To Squeeze Money From People
By 7.1.14
A debt collection scam operates on two principles: That lots of us have debt, and that the con artist is good enough at his art to trick some of us into believing we have to pay immediately. But some scammers are bringing outside parties into their grift, contacting victims’ families and co-workers in the hopes that this will result in pressure to pay up on the bogus debt. [More]
Kohl’s Shopper Sues Store For Bugging Her About $20 Debt
By 6.19.14
While most of the complaints we hear about debt collection involve consumers who don’t owe the money they are being hassled to pay. But what often goes undiscussed is the fact that the anti-harassment rules still apply to collectors regardless of whether or not they are trying to collect a bona fide debt. [More]
CFPB Report Confirms Payday Lenders And Debt Collectors Are The Worst
By 5.22.14
For decades, payday lenders and debt collectors did their work while being largely ignored by federal financial regulators. And a new report from the Consumer Financial Protection Bureau, which recently gained oversight authority over the largest of these businesses, calls out many of the sketchy, sometimes illegal, practices some in these industries have been getting away with for far too long. [More]
Most Debt Collector Complaints Made By Consumers Being Hounded For Money They Don’t Owe
By 3.20.14
We’re not sure how many times we’ve said it, but it’s worth repeating: Debt collectors are the worst. It’s not just that they’re often rude and occasionally violate the law. What really puts collection agencies at the bottom of the barrel is the fact that they consistently go after debt that consumers simply don’t owe. [More]
How Did $42 Girl Scout Cookie Purchase Become $800 Legal Bill?
By 3.5.14
A Colorado man says he was just trying to help out his local Girl Scout troop (and get some cookies in return, of course) when he wrote a check for $42, but it’s turned into a monster headache that has made him the target of a debt collector and cost him hundreds of dollars. [More]
In Vermont, Debt Collectors Can’t Seize Your Goats Or Bees, But Your Car May Be Up For Grabs
By 10.10.13
Every state has some level of protection for debtors so that they are able to continue living and working while repaying their debts. But the level of protection covers the spectrum from protecting reasonably priced homes, vehicles, and necessary goods, to protections so minimal that the debtors will likely remain in the red, unable to ever climb out of debt. [More]
No, Comcast Will Not Threaten To Arrest You If You Don’t Pay Your Bill
By 10.4.13
So you’ve received an e-mail from Comcast saying you’re $25 late on your cable bill and that if you don’t resolve the issue ASAP, you could be arrested. First, that’s simply not true, and second, that message isn’t from Comcast. [More]
Dear Debt Collectors: Using This Envelope Will Only Get You In Trouble With The FTC
By 9.25.13
Remember that rundown of debt-collection practices that violate federal law? Here’s one to add to the list: When sending debt collection notices to consumers, don’t use an envelope that depicts a man being turned upside-down and having his pockets emptied. [More]
U-Haul Charges Me For 3-Year-Old Speeding Ticket, Won’t Give Me Any Details
By 2.8.13
Consumerist reader Dave says he hasn’t rented anything from U-Haul in around two years, so he was surprised this morning to receive a text from the company. Even more alarming: The message said he owed U-Haul money for a speeding ticket from three years ago. [More]
5 Examples Why Just About Everyone Hates Debt Collectors
By 2.6.13
People go into debt. The businesses that own that debt want their money. This is why the world needs debt collectors. But what the world doesn’t need are debt collectors who harass, lie, and threaten to take debtors’ children and pets away. [More]
Regulators Looking To Rein In Debt Collectors Who Use Facebook To Contact Consumers
By 1.24.13
Even though there’s a lengthy “no-no” list of things debt collectors can’t do, it makes no mention of how collections agencies can use social media. But that may be about to change as the Consumer Financial Protection Bureau gains oversight control over the largest members of the collections industry. [More]
23 Things Debt Collectors Are Not Allowed To Do
By 1.21.13 — Updated: 12.6.16
Though it sometimes seems like debt collectors will try anything, even impersonating Ed McMahon, to their money, the law actually puts some pretty strict limits on what these people and companies can and can’t do. [More]
