Real Collection Agency, Fake Debt
Collection agencies will stop at nothing to get money from consumers, even making up fake debts. Moreno and Woods, a collection agency, made up a debt and lied about a court judgment to get a consumer, Erin, to pay a $20,000 debt, reports The Consumerist. The post includes Erin's details about an encounter with the collection agency and how she handled their allegations.
Erin knew her rights, asked all the right questions (like the court where the supposed-judgment had been obtained), and withheld all the right information (like the last for digits of her social security number).
Collection agencies like these prey on consumers who are uneducated about their rights. As the saying goes "Knowledge is power." If you know your rights, sneaky collectors won't trick you out of your money.
Spend as little time as possible on the phone with collectors. They sit in front of computers with scripts telling them what to say to you. You, on the other hand, are caught off guard and immediately put on the defense. Communicate in writing, keeping copies of everything.
Don't give out any personal information. Many times these are phishing scams to get your social security number or bank account number.
Don't make an agreement to pay. If the debt is real, you could reset the statute of limitations giving the collector more time to sue you for the money.
More on Dealing With Collectors
Comments
Sounds like that collection agency committed fraud. Hopefully that consumer will pursue that.
That is one of the most blatant violations of the FDCPA I have never heard of.
Over 85% of all American’s have unsecured debt, and over 50% of that is in a collection company some where getting passed around. Which, by the way “the debt collection industry has the highest level of outsourced employment to small world countries than most all other industries combined,and know to housing terrorism. Perhaps the WMD could be found on a collection floor next to this collector Todd, who by the way now has your personal information, unprotected, and available for sale to highest bidder.
I spoke to a collector today who used the name “JACK” and he worked for the Attorneys legal department in Buffalo. When I asked him where he was, he told me “INDIA”. Fact is I just wanted the truth, and could not get him to tell me anything but lies. As expected, after this call I had another 13 calls today from the same thug collecting on the same client.
Debt collection violations and consumer abuse comes in many shapes and sizes, but all are violations and must be stopped. I do not think that you should avoid your debt. In fact, they should be hit head on and fixed. But to rid the abuse, one should either know all their rights, or hire an expert with a great reputation.
An IAPDA Certified Debt Arbitrator will know how to best resolve your issues. Be sure to find one with a perfect BBB report.
Visit our FAQ page for clear direction from the FTC on what collectors can and can’t do.
www.absolutedebtsolutions.com
Best wishes,
Tom