CA Deceitful!

[LorenaMarie]

Hello everyone! I'm a newbie, but I have been reading the forum posts now for a few days. Thank God I found you! Here's my story.

Im married to a man who brought enormous CC debt into the marraige. I have no CC's nor have I ever ... I don't believe in them! Anyway, due to some unfortunate circumstances, we haven't been able to pay on the CC's for the past 6 months though previously we've never missed a payment or paid late. We haven't pulled his CR yet, to know what has happened to the other two (discover and hsbc), but his BofA card is now with a CA.

My DH received a call from the CA on his cell phone on 4/9. The gentlemen told my DH that he was from BofA and was in a position to settle the account for pennies on the dollar. He said that if the account wasn't settled that BofA was prepared to put a lein on our house. My DH told the gentleman to call and speak to me (I'm not on the card) because I handle the finances. DH gave his permission, and soon the CA called me.

This gentleman asked me about our finances, monthly household bills, etc. He told me that I have several options, I could get a loan from family members, attempt a HELOC, borrow from 401K, etc. He told me that they were willing to settle for 50% of the debt, so long as we could pay by 4/28. He said that he wanted me to give him my checking acct. numbers and routing numbers and they could take the payment straight from my checking acct. I told him I would speak with my DH and get back with him.

At that point, I knew I wasn't dealing with BofA! They already have our acct or routing numbers ... our accts are with them! I immediately called the number he gave me, and the person who answered the phone said the company was CollectCorp!

I told him I wanted their mailing address so that I could send a letter requesting verification that this debt was now owned by them and that they have authorization to negotiate the debt. They refused to give me their address. Instead, they argued with me and demanded that I give them MY social security number!!! I refused and asked to speak with a manager and the next gentleman who got on the phone also demanded to know my social security number ... and also refused to tell me their address. When I refused to identify myself (hey, they didn't appropriately identify themselves either), the gentleman said, " Isn't your name *******, wife of *******, because that's what is showing up as the phone number you're calling from!"

I immediately hung up! At that point, I went looking and found this forum! I prepared a DV letter and had my DH sign it, but decided to wait and see if we get a dunning letter. It arrived yesterday. I get that I should now send the DV, but are there any other suggestions? Being that I've never had CC's before ... or any loans in the last 15 years , I've never had to deal with anything like this!!!

Any suggestions???

[jasen]

Whatever you do, do not give them your bank account and routing numbers. I would only pay with a money order, cashier's check, etc.

It's obviously his debt, but a DV is still a good idea, just to ensure for your sake, that they are the right ones to be negotiating and paying.

No matter what deal you negotiate, get it in writing, signed by whoever is authorized to make those decisions over there. If negotiating for less than the full amount, ensure that part of the agreement states that the remainder cannot be sold off to another CA again, or they will sell it off and someone else will come calling for it later on.

[swirlgirl]

Send the DV letter since you received the dunning. You will also want to pull all 3 free credit reports for both you and your husband to see what's reporting. Then, follow the basic credit repair steps. you can do a search to find a flowchart of what do do.

[NASCAR_Devil]

I would also not sign the DV. Use a cursive font for the name and regular for the address.

[LoveToGod]

Whatever you do, do not give them your bank account and routing numbers. I would only pay with a money order, cashier's check, etc.

It's obviously his debt, but a DV is still a good idea, just to ensure for your sake, that they are the right ones to be negotiating and paying.

No matter what deal you negotiate, get it in writing, signed by whoever is authorized to make those decisions over there. If negotiating for less than the full amount, ensure that part of the agreement states that the remainder cannot be sold off to another CA again, or they will sell it off and someone else will come calling for it later on.

I like the signature line8-)

[LoveToGod]

Hello everyone! I'm a newbie, but I have been reading the forum posts now for a few days. Thank God I found you! Here's my story.

Im married to a man who brought enormous CC debt into the marraige. I have no CC's nor have I ever ... I don't believe in them! Anyway, due to some unfortunate circumstances, we haven't been able to pay on the CC's for the past 6 months though previously we've never missed a payment or paid late. We haven't pulled his CR yet, to know what has happened to the other two (discover and hsbc), but his BofA card is now with a CA.

My DH received a call from the CA on his cell phone on 4/9. The gentlemen told my DH that he was from BofA and was in a position to settle the account for pennies on the dollar. He said that if the account wasn't settled that BofA was prepared to put a lein on our house. My DH told the gentleman to call and speak to me (I'm not on the card) because I handle the finances. DH gave his permission, and soon the CA called me.

This gentleman asked me about our finances, monthly household bills, etc. He told me that I have several options, I could get a loan from family members, attempt a HELOC, borrow from 401K, etc. He told me that they were willing to settle for 50% of the debt, so long as we could pay by 4/28. He said that he wanted me to give him my checking acct. numbers and routing numbers and they could take the payment straight from my checking acct. I told him I would speak with my DH and get back with him.

At that point, I knew I wasn't dealing with BofA! They already have our acct or routing numbers ... our accts are with them! I immediately called the number he gave me, and the person who answered the phone said the company was CollectCorp!

I told him I wanted their mailing address so that I could send a letter requesting verification that this debt was now owned by them and that they have authorization to negotiate the debt. They refused to give me their address. Instead, they argued with me and demanded that I give them MY social security number!!! I refused and asked to speak with a manager and the next gentleman who got on the phone also demanded to know my social security number ... and also refused to tell me their address. When I refused to identify myself (hey, they didn't appropriately identify themselves either), the gentleman said, " Isn't your name *******, wife of *******, because that's what is showing up as the phone number you're calling from!"

I immediately hung up! At that point, I went looking and found this forum! I prepared a DV letter and had my DH sign it, but decided to wait and see if we get a dunning letter. It arrived yesterday. I get that I should now send the DV, but are there any other suggestions? Being that I've never had CC's before ... or any loans in the last 15 years , I've never had to deal with anything like this!!!

Any suggestions???

I see you live in Texas. According to Texas Finance Code 392. See link on my signature...

[LorenaMarie]

I read that in Texas, a CA doesn't need to be licensed, but does need to be bonded. Is there some link I can click on that will give me a list of bonded CA's in the state of Texas?? Also, Josephl, you said I should see the link for the Texas code... do you think they did anything to violate that code??

[LoveToGod]

I read that in Texas, a CA doesn't need to be licensed, but does need to be bonded. Is there some link I can click on that will give me a list of bonded CA's in the state of Texas?? Also, Josephl, you said I should see the link for the Texas code... do you think they did anything to violate that code??

I think they violated 392.202(. In my signature tag there is a link to a Texas site that has this finance code.

[LorenaMarie]

Okay, I've pulled my 3 CR's, and on two of them my hubby's Discover card is listed as charge off ... on MY CR! I'm not joint on any card, although since my hubby is military and gets called out alot, I am an authorized user on his Discover Card, for emergency purposes only. Is it legal for them to list this bad debt on MY CR when I'm not legally responsible for the debt?? Should I DV this, or just disput it with the CRA's, or do I have no recourse?

I have another question also. Since I've paid cash for everything throughout the years and really have NO credit, is that a bad thing? I've heard before that having no credit is just as bad or worse than having bad credit. Should I (God Forbid) go out and try to get credit .... and if I do, should I try to piggy back my DH on my credit in order to raise his credit scores?

[LorenaMarie]

I think they violated 392.202(.

Okay, Josephl, I must be reading it wrong. What I read was regarding information being reported wrong to the CRA's by a third party CA. So far, I don't know that the CA has reported to the CRA's yet. Am I reading that wrong??

[debtorshusband]

You've received some good advice already, but I can't help add my 2 cents:

My DH received a call from the CA on his cell phone on 4/9. The gentlemen told my DH that he was from BofA and was in a position to settle the account for pennies on the dollar.

This alone made me begin to suspect you weren't talking to BofA.

He said that if the account wasn't settled that BofA was prepared to put a lein on our house.

This is a violation of the law. They're lying to you, or at the very least, misleading you. No one can just "put a lien on your house." They must file a lawsuit, win, then do the paper work for a lien.

My DH told the gentleman to call and speak to me (I'm not on the card) because I handle the finances. DH gave his permission, and soon the CA called me.

This gentleman asked me about our finances, monthly household bills, etc.

I hope you told him it was none of his business.

He told me that I have several options, I could get a loan from family members, attempt a HELOC, borrow from 401K, etc.

All bad ideas. Nothing tears a family apart like borrowed/owed money. There's nothing smart about replacing unsecured credit card debt with debt that puts your house at risk. And don't put your retirement at risk for unsecured credit card debt. These "helpful" suggestions are only good for the CA - he gets money from you.

He told me that they were willing to settle for 50% of the debt, so long as we could pay by 4/28. He said that he wanted me to give him my checking acct. numbers and routing numbers and they could take the payment straight from my checking acct. I told him I would speak with my DH and get back with him.

At that point, I knew I wasn't dealing with BofA! They already have our acct or routing numbers ... our accts are with them! I immediately called the number he gave me, and the person who answered the phone said the company was CollectCorp!

And now you've confirmed they're not BofA. They lied to you from the beginning. Aren't your just bubbling over with eagerness to continue dealing with these people?

I told him I wanted their mailing address so that I could send a letter requesting verification that this debt was now owned by them and that they have authorization to negotiate the debt. They refused to give me their address. Instead, they argued with me and demanded that I give them MY social security number!!! I refused and asked to speak with a manager and the next gentleman who got on the phone also demanded to know my social security number ... and also refused to tell me their address. When I refused to identify myself (hey, they didn't appropriately identify themselves either), the gentleman said, " Isn't your name *******, wife of *******, because that's what is showing up as the phone number you're calling from!"

I immediately hung up! At that point, I went looking and found this forum! I prepared a DV letter and had my DH sign it, but decided to wait and see if we get a dunning letter. It arrived yesterday. I get that I should now send the DV, but are there any other suggestions? Being that I've never had CC's before ... or any loans in the last 15 years , I've never had to deal with anything like this!!!

Any suggestions???

Just send the DV and see how they respond, then come back here.

Good luck.

DH

[LorenaMarie]

Actually, DH, I did tell them about my household bills, etc., because at that point I believed I was dealing with BofA.

Anyway, I have sent the DV letter today, so we'll see where that gets me. I will post as soon as I have additional information.

Thank you so much to everyone who has helped!!!

[NASCAR_Devil]

I read that in Texas, a CA doesn't need to be licensed, but does need to be bonded. Is there some link I can click on that will give me a list of bonded CA's in the state of Texas?? Also, Josephl, you said I should see the link for the Texas code... do you think they did anything to violate that code??

Here's the link to the TX SOS website. Enter in the first few letters of the CA's name and %:

http://direct.sos.state.tx.us/debtcollectors/DCSearch.asp

[AISLE4]

Collectcorp will violate every consumer law in existence. I KNOW that they will continue collection efforts after getting your validation request without first validating. They will call everyone you are related to or live near in an attempt to shame you into paying. Document it all. The few collectors I dealt with at Collectcorp were astoundingly brazen about their complete disregard for consumer laws.

A well-worded intent to sue letter and a copy of the summons you are about to file (after collecting violations) faxed to them will get you a settlement check. They pay fast.

Record phone calls. Document all contact with them. I wouldn't give them a cent if I were you. They are scoundrels. Don't reward them. Sue them.

More about Collectcorp (be sure to read the consumer comments):

http://www.budhibbs.com/debtcollectorpages/collect_corp.htm

[mycorrado]

You might want to also post in the "is there a lawyer in the house" section..

If the debt was incurred prior to the marriage (or at least the portion incurred prior to the marriage) they cannot be collected from you!!!

A strong DV with your name alone stating it is not your debt and to provide validation of why this debt is owed by you, Jane Doe.

Send it all with green card receipt and certified as per the DV steps. Once you rack up enough violations and check on the bond status in TX you can right a nice ITS.

[Debt Guy]

Lorena

You stated that your husband has a BofA account in default. You also stated that you have a deposit account at BofA.

Be warned that your deposit account is at risk of setoff. If your husband has the right to transact on the deposit account, BofA has the right to seize all funds in your account and apply it to the defaulted credit card.

I encourage you to close the deposit account and move the funds to a different bank. It is always a bad idea to have deposits in any bank to whom you owe money.

If the deposit account is in your name only, then the deposit account should be OK. But, I would still move it anyway. If the bank grabs cash wrongfully, you'll have to fight to get it back. Why fight if you don't have to?

Just a side note to some of the advice you are getting from others. I know nothing about this collection agency. Your statements lead me to believe they have violated the FDCPA. Your husband has the standing to bring legal action (you do not have standing). Just be sure you have all your ducks in a row. First, as plaintiff, the burden of proof is on your husband -- he said/she said won't cut it with the judge. Second, the maximum judgment against the CA is $1000, regardless how many times they violate the FDCPA. Not all judges award the maximum. If your husband sues and prevails, the court can also award attorney fees. You may wish to contact a consumer rights attorney and discuss the matter.

At this point sending a DV is probably a good choice but only a temporary respite at best. I strongly discourage you from sending a cease and desist.

Be advised that BofA commonly pursues litigation/arbitration on their accounts. Regardless that the CA may be scum, I would encourage you be thinking about a longer range strategy to deal with the problem.

[AISLE4]

Collectcorp will violate the FDCPA, FCRA, TCPA, state laws, federal laws...There is really no limit to their flagrant disregard for laws. You'll get them on a lot more than $1000 worth of violations if you know what your doing.

[Debt Guy]

You'll get them on a lot more than $1000 worth of violations if you know what your doing.

The FDCPA is explicit that the maximum judgment is $1000 per action plus legal fees, if any.

To receive more than $1000, you would need to file individual lawsuits for each violation. I've never seen that done. My guess is that the Creditor would move to consolidate the suits and that the judge would grant such a motion in the interest of judicial efficiency.

I do believe that the FCRA provides for a maximum of $1000 per violation.