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theadventuresofolliebelle

Threats of being Sued - Help!

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Hello. 

 

I have an old debt with Kay Jewelers (credit card account). November 2014 was contacted about debt (and not knowing what I know now) paid the debt and thought it was over. Never received any confirmation of the debt or that I paid it. The only proof is the amount on my back statement. 

Fast forward to August, I begin receiving calls about the debt mentioned above from a company called RW Financial. They state that they own the debt and that I must pay, or they will take me to court for the amount. I began by calling Kay and following the companies that bought the debt till I learned that this debt has passed the statute of limitations and that the clock started 7/9/11. How do I get rid of this company and avoid going to court? I would like them to stop harassing me. 

 

I found this letter in the information on this site and wondered if it would help to send to RW Financial. 

 

"Date

Your Name
Your Address
City, State Zip

Collection Agency
Collection Agency Address
City, State Zip

Re: Acct # XXXX-XXXX-XXXX-XXXX

To Whom It May Concern:

I am continually being called on the telephone by your firm over an alleged (fill in the amount) debt. According to the information given to us by your firm, the date of last activity by the original creditor was (date). The State of Limitations on this alleged debt, even should it be ours, is X years in the state of (your state). Since the debt is out of the statute of limitations, and you are reporting this on my credit report, you are conducting collection activities on zombie debt.

I'm sure you are aware of the provisions in the Fair Debt Collection Practices Act (FDCPA). However, I would like to point out that your firm has violated provisions of the FDCPA by implying that the legal status of the debt is collectible by reporting the alleged debt to the credit bureaus. The exact statute:

[15 USC 1692e]
(2) The false representation of --

(A) the legal status of the alleged debt

and

(B) any services rendered or compensation that may be lawfully received by any debt collector for the collection of a debt.

I am also doubtful that you would have adequate documentation to prove in court that you have the right to report this negative information on my credit report, and, therefore, you are in violation of the Fair Credit Reporting Act as well as the FDCPA. However, I will give you the chance to prove that you are lawfully entitled to report this information by requesting an investigation.

Under the FDCPA, I am also invoking my right to ask you to stop contacting me unless you can provide adequate validation of this alleged debt or notification that you are ceasing collections activities.

Please remove this account immediately from my credit report or I will have to take legal remedies which may include lawsuits and notifying our state attorney general's office. In addition, I'm sure your legal staff will agree that non-compliance with this request could put your company in serious legal trouble with the FTC and other state or federal agencies. Under the FCRA and the FDCPA, each violation is subject to a $1,000 fine, payable to me.

Sincerely,

Your Signature"

 

Thanks for all of your help.

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 you are reporting this on my credit report, you are conducting collection activities on zombie debt.

I'm sure you are aware of the provisions in the Fair Debt Collection Practices Act (FDCPA). However, I would like to point out that your firm has violated provisions of the FDCPA by implying that the legal status of the debt is collectible by reporting the alleged debt to the credit bureaus.

 

DO NOT send this letter or any other letter from this site for that matter.  They are LITTERED with errors.  All sending this letter will do is tell this creditor that you can cut and paste.  With regards to the above text this account is NOT zombie debt.  Zombie debt is past the SOL for suing AND collecting.

 

That said there are TWO SOLs.  One for suing which based on your post is expired if you are in CA and the date of default was in July 2011.  However, if the date of default is indeed July 2011 LEGALLY that debt can be reported for 7 years and 7 months from that date regardless of whether they can sue you or not.  So it is NOT a FDCPA violation to report a debt that cannot be collected through the courts.  The SOL for suit expiring merely limits the remedies a creditor has to collect it does NOT render the debt uncollectable or non-reportable.  

 

Under the FDCPA, I am also invoking my right to ask you to stop contacting me unless you can provide adequate validation of this alleged debt or notification that you are ceasing collections activities.

Please remove this account immediately from my credit report or I will have to take legal remedies which may include lawsuits and notifying our state attorney general's office. In addition, 

 

You have NO legal remedies through either of those agencies to demand removal of a legitimate collection activity.  You also DO NOT send a DV letter and tell them to cease and desist contacting you.  

 

The only proof is the amount on my back statement. 

How do I get rid of this company and avoid going to court? I would like them to stop harassing me. 

 

Get a copy of the bank statement showing WHO you paid and how much.  Get a letter from that entity showing the debt was paid.

 

There is NO guaranteed method of ensuring that they won't take you to court.  If they do you have to be ready to defend and proof of payment would give you an iron clad counter claim of an FDCPA violation for suing when they can't due to the SOL being expired and the debt being paid already.  BUT there is one caveat:  you need to make sure that what you paid in November 2014 was the full debt and NOT a payment that simply reset the SOL for collection.  Unless it settled the account in full then you may have a major problem that it was enough to reset the SOL for both suit and collection.  Once you verify that is didn't then I would send the following letter:

 

Dear RW Financial:

 

I received your dunning letter dated [date]  regarding an alleged account belonging to me.  This debt was paid in November 2014 and I retain proof of this payment settling the account in question in full.  You are not owed any money and I am certain that as a junk debt buyer you are aware that the burden of proof that an account can be collected is on you and that all accounts purchased may not eligible for collection.  This is one of them.

 

The SOL in California is four years and it is a violation of the FDCPA to threaten legal action you cannot take as well as a violation for misrepresenting the character/status of the debt.  The FDCPA provides for damages up to $1000 for this violation should I pursue this action in Federal court.  It would also be a violation for you to report this as a collection account to the bureaus as no money is owed to anyone with the payment settling the account almost a year ago.

Should I discover that you have reported this debt I would be forced to file a suit for the FCRA violation and actual and punitive damages.

 

If you wish to settle this matter with me you can do so by remitting payment of $1000 for the violations of the FDCPA as well as cease all collection activity and remove all trade line(s) from the reporting bureaus. 

 

Sincerely,

 

PISSEDoffConsumer

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DO NOT send this letter or any other letter from this site for that matter.  They are LITTERED with errors.  All sending this letter will do is tell this creditor that you can cut and paste.  With regards to the above text this account is NOT zombie debt.  Zombie debt is past the SOL for suing AND collecting.

 

That said there are TWO SOLs.  One for suing which based on your post is expired if you are in CA and the date of default was in July 2011.  However, if the date of default is indeed July 2011 LEGALLY that debt can be reported for 7 years and 7 months from that date regardless of whether they can sue you or not.  So it is NOT a FDCPA violation to report a debt that cannot be collected through the courts.  The SOL for suit expiring merely limits the remedies a creditor has to collect it does NOT render the debt uncollectable or non-reportable.  

 
 

 

You have NO legal remedies through either of those agencies to demand removal of a legitimate collection activity.  You also DO NOT send a DV letter and tell them to cease and desist contacting you.  

 

 

Get a copy of the bank statement showing WHO you paid and how much.  Get a letter from that entity showing the debt was paid.

 

There is NO guaranteed method of ensuring that they won't take you to court.  If they do you have to be ready to defend and proof of payment would give you an iron clad counter claim of an FDCPA violation for suing when they can't due to the SOL being expired and the debt being paid already.  BUT there is one caveat:  you need to make sure that what you paid in November 2014 was the full debt and NOT a payment that simply reset the SOL for collection.  Unless it settled the account in full then you may have a major problem that it was enough to reset the SOL for both suit and collection.  Once you verify that is didn't then I would send the following letter:

 

Dear RW Financial:

 

I received your dunning letter dated [date]  regarding an alleged account belonging to me.  This debt was paid in November 2014 and I retain proof of this payment settling the account in question in full.  You are not owed any money and I am certain that as a junk debt buyer you are aware that the burden of proof that an account can be collected is on you and that all accounts purchased may not eligible for collection.  This is one of them.

 

The SOL in California is four years and it is a violation of the FDCPA to threaten legal action you cannot take as well as a violation for misrepresenting the character/status of the debt.  The FDCPA provides for damages up to $1000 for this violation should I pursue this action in Federal court.  It would also be a violation for you to report this as a collection account to the bureaus as no money is owed to anyone with the payment settling the account almost a year ago.

Should I discover that you have reported this debt I would be forced to file a suit for the FCRA violation and actual and punitive damages.

 

If you wish to settle this matter with me you can do so by remitting payment of $1000 for the violations of the FDCPA as well as cease all collection activity and remove all trade line(s) from the reporting bureaus. 

 

Sincerely,

 

PISSEDoffConsumer

Clydesmom, 

I have received proof that the payment made in November 2014 was PAID IN FULL and that RW Financial should not be contacting me for this account. 

 

Should I send the email with an attached copy of the statement saying the account was paid in full? Do I have a case against RW Financial? Should I contact someone to let them know they are trying to collect on debts that have been settled?

 

Thanks again for your help. 

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Clydesmom, 

I have received proof that the payment made in November 2014 was PAID IN FULL and that RW Financial should not be contacting me for this account. 

 

Should I send the email with an attached copy of the statement saying the account was paid in full? Do I have a case against RW Financial? Should I contact someone to let them know they are trying to collect on debts that have been settled?

 

Thanks again for your help. 

 

You have two options on this:  one to send a cease and desist all contact with me because I paid this debt and then enclose proof.  OR

 

You can send a letter disputing their collection call and statement that they can sue you for the debt.  They DID violate the FDCPA threatening an action they cannot take and misrepresenting the account but unless you recorded the phone call it is your word against theirs.  If it is this option I would head straight to a consumer attorney and turn it over to them to sue them.  

 

If you want to send the cease and desist let me know and I will craft a snarky letter for you.

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