What to do about a Bogus Account Validation Letter?
Date: Mon, 03/03/2008 - 10:21
Hello, I'm new to these forums and have been going through some of the questions and responses - very informative!
I do have a question/problem that I'd like to throw out there & hopefully someone can shed some light for me.
I have an alleged debt with Credigy that I'm almost positive I've never had...I think I've done everything right: originally I rec'd a debt collection notice from a Law Office representing Credigy (for about $4,800) - I made sure to dispute the debt within 30 days of that letter and requested validation. The law office promptly sent me a notice saying they were no longer representing Credigy and were closing their files. This was back in 2005.
Great. I thought things had been cleared up. Not... In June, 2007 I received another collection attempt from Credigy themselves asking for $7,500. Again, I responded within 30 days disputing the debt and requesting validation (specifically complete payment history, letter of agreement/letter of sale or assignment). They responded in July, 2007 with an "Account Verification Statement" that had the original creditor's name, address, account #, and the beginning balance due, and a current balance of $7,700 typed up on one page.
I responded with a "your unofficial shoddy account statement isn't good enough" letter and requested a breakdown of the fees, interest rates used, and again asked for payment history & a copy of the original credit card app bearing my signature.
Long story short - they've ignored my rejection of their account statement and requests for proper validation and they've sent me the SAME lame statement to me (each with a higher balance, of course) in response to each of my responses - the latest one (Feb, 2008) makes it THREE times I've received their bogus statement and I now "owe" about $8,600.
I know this is mild compared to problems that some other people face (no phone calls - so far everything has been in writing), but the letters are driving me & especially my wife crazy...we just want them to STOP.
If anyone could offer some advice or point me in the right direction I'd REALLY appreciate it!
Thanks for for your time...
Was the correspondence actually from Credigy or a 3rd party coll
Was the correspondence actually from Credigy or a 3rd party collector acting like they were Credigy. The reason I ask is that the fdcpa only applies to third party collectors. Many of them pose as the original lender to avoid the law?
Send them a copy of my validation letter (you can find it throug
Send them a copy of my validation letter (you can find it through the link in my signature) be sure to include the FTC staff opinions enclosure. That leaves them very little wiggle room. Make sure you send it certified mail, return receipt requested. If they send you that fluff again remind them that validation is to consist of documentation from the original creditor.
Also, the interest they are charging is only that which is provided for in the contract or 6% if it is not provided for in the contract. It sounds like they are charging something else.
Wow!
Johnny K.
I do hope you're keeping a paper trail of all this? Might come in handy sometime in the future. I would give them 1, maybe 2 (if I'm in a "giving" mood) chances, to try and validate this debt properly. That's per CA, not overall. Sometimes, when you request validation, a CA will then just sell the debt to another CA. That starts the validation requests all over again with the new CA. If they can't get it correct the second or third time, then there is no more point in trying. Are you also sending these requests via certified mail, return receipt requested? If not, you might want to send any future requests that way, that might also prompt them into taking your request seriously.
Thing is, if they continue to collect without properly validating, then they are in violation of the fdcpa. It might take a lawsuit, from you, in order to get their attention.
Also, have you checked your credit reports yet, to see if this supposed debt shows on it? I might recommend doing that and also disputing it with the reporting agencies, if it does.
I could be wrong, but I was under the impression that Credigy is
I could be wrong, but I was under the impression that Credigy is only a third party collector--that they are not a first-person creditor for anything. I know that frog mentioned the third-party stipulation above so I wanted to mention that.
you are correct in everything you have done thus far--and everything you have said. No, they didnt send you proper validation by any stretch. My only question is, did you send all these letters by certified mail? Hopefully you did, so you will have the receipt cards as proof.
OK, you did say that they listed the name of the original creditor, good--that means they are definitely third party. Ron gave really good advice--check your credit reports too.
Thanks all for the quick responses! Yes, I've been sending ev
Thanks all for the quick responses!
Yes, I've been sending everything by certified mail/RRR and I've kept all the back and forth correspondence just in case.
I think I'll take Ron's advice & draft a final validation request letter (I'll use your template JCEMT) to see what happens. If they ignore that one too, I guess I'll have to seriously consider legal action to make them stop (wish it wouldn't come to that...)
I haven't checked my credit report in about 2 years now - I should probably do that as well...
Thanks again for your support - this community seriously rocks...
Johnny What is the status on the Statute of Limitation?
Johnny
What is the status on the Statute of Limitation?
If the California at the top of your post means that where you live. Then you could be very close to the SOL expiring (4 years). Which means they may try suing you prior to its expiration or try to get it reaged. This gives you more power in negotiating with the creditor.