Infuriating CA basically ignored my DV letter. What now?

[maxh]

A couple of years ago my girlfriend had a membership with a tanning salon. She tried to cancel it but they wouldn't cancel it. She sent in letters which were ignored and well over a year later they're still automatically drafting from her checking account. She ended up closing that checking account so they couldn't continue to draft from it. She hadn't used the tanning salon in well over a year.

Now a year later she was sent a collection letter from "Credit Management, LP" or from "CMI", I can't tell which is actually their name. They're claiming a debt for the seemingly random total of $249.95 is owed to "Way Too Tan" which was called "ProTan" back when she was actually a member.

This was infuriating. These scumbags already took her for hundreds of dollars by making it impossible to cancel the account. A google search on "Way Too Tan Austin TX" will show many other people with this exact same problem. And now they want to take even more from her!

I put together a debt validation letter that she sent CMRRR well within 30 days, and just today they've responded with another letter basically ignoring the validation request and simply saying that they've researched the records and verified that the account is overdue and that she continues to owe the amount of $249.95, and that they will report to 1 or more credit reporting agencies if she doesn't pay within 3 weeks.

Is this a violation of the FDCPA since they continued collection attempts after debt validation request without providing the validation? Should we file suit?

[maxh]

BTW, here's the text from the DV letter we sent:

To whom it may concern:

This is in regards to the letter you sent me dated June 25, 2010 and received by me on July 2, 2010.

In response to your terms of payment: I do not consent. I do not agree. Enclosed with this letter you will find a Debt Collector Disclosure Statement. Please fill it out and send it back with your reply. I ask that you please Validate this claim you allegedly have with me. I remember no contract that I agreed upon between me and you at any time. If there is one in existence, please send me a copy of the terms and agreements that stipulate such payment as you offered. Remember, I am not asking for you to Verify this debt as if you may or may not have my correct mailing address; I am asking for you to Validate this debt. Produce the terms and agreements of this contract. Show me a contract signed by me.

You should also be aware that sending UNSUBSTANTIATED demands or offers for payment through the United States Mail system may constitute mail fraud under federal and state law. You may wish to consider consulting with a competent legal advisor prior to future communications with me.

Your failure to answer the disclosure statement provided and to validate this debt by the requirements of the Fair Debt Collection Practice Act will be construed as your absolute waiver of all claims you may have with me. As well, I will expect compensation for cost and attorney fees should I decide to file suit. Remember, failure to validate this debt means you are not allowed to report it to credit reporting agencies, under the Fair Credit Reporting Act (FCRA). Doing so is a violation of the FCRA, and the FCRA states that I may sue for $1,000 in damages for each violation of the Act.

[squirellnutz]

I am not a lawyer nor do I play one on TV. I don't see the cease and desist contact wording in your letter. So they can keep on contacting you. As for their response to you it is BS! Send another DV letter preferably the one in the debt validation of this site that has all the wording you will ever need in it.

[WhoCares1000]

The response may be BS but the verification part is worded in a way to where that may fall under the law as a valid verification.

If I were you, I would send a C&D letter stating that you are not paying and hoping this ends up in court. Also inform them that if they report this to your credit report, you will look into a lawsuit under the FCRA.

You also mention that this tanning place has done this to many people. Have you thought of contacting your local TV station that does investigative reporting. Most local stations do so for ratings and this may just embarrass the company enough to stop what they are doing (crooks hate nothing more than light shining on them be it daylight, driveway light, or the light from a news camera).

[debtorshusband]

Your DV letter is very different than the one I would have sent; I'm personally not sure about the mail fraud stuff and the "Disclosure Statement" part.

You're in a very different situation from most people here, who most likely fell behind on payments due to economic difficulties, and whose best hope of victory is making sure those pursuing them follow the letter of the law.

In your case, you know what this is about, and you have strong reasons to dispute. My letter to the collection agency would have told them I deny owing the tanning salon any money, and they are not to contact me again. Then any lawsuit I was contemplating would be against the tanning salon to recover the money they took out after canceling. If you want stuff like a copy of the contract terms, you're better off demanding them from tanning salon directly.

Good luck,

DH

[maxh]

I found the sample letter in the debt validation area here and don't think mine is all that different. Anyways, I've drafted a response and was wondering what you think of it. Here it is:

-----------------------------

To whom it may concern:

This is in regards to your letter to me dated August 12, 2010 and received by me on August 14, 2010.

You have violated the Fair Debt Collection Practices Act. You sent me a letter attempting to collect an alleged debt to which I responded within 30 days with a request for debt VALIDATION. You have not properly validated this debt. You have not even come near to providing any validation at all. Yet you sent another collection letter. This is a violation of the FDCPA.

FDCPA Section 809. Validation of debts [15 USC 1692g] says that until a creditor has properly validated a debt:

• They are not allowed to collect the debt,

• They are not allowed to contact you about the debt, and

• They are also not allowed to report it under the Fair Credit Reporting Act (FCRA)

Since you violated the FDCPA by contacting me about a debt and attempting to collect a debt after I requested validation and before you provided it, I WILL BE SUING YOU for the federally provisioned $1000 in damages for the violation as well as legal and court fees. You should expect to be served soon.

I do not owe this alleged debt. I do not owe any money to Way Too Tan, or any other tanning company, and I do not owe you any money. I intend to defend myself in court vigorously. I once again request proper VALIDATION of this alleged debt, and request that you CEASE and DESIST all communications with me until you have PROPERLY validated this alleged debt.

In addition I will take this opportunity to remind you that § 1692g of the FDCPA clearly states that reporting a debt to the credit reporting agencies after a consumer requests validation and before that validation is provided constitutes a violation of the FCRA, and that the violator is liable to the consumer for $1000 per violation. Each report to each agency counts as a violation.

I look forward to seeing you in both state and federal court.

Sincerely,