collection agency writing to me for debt that is not mine

[innj2003]

What is the name of your state? NJ

Facts:

In early August 2002, I received a letter from a collection agency in Iowa claiming I owed an institution in Iowa 8000 odd dollars.

I have never heard of this institution before. I wrote to the collection agency and institution in mid August saying they had the wrong person. They have not replied or produced any documentation.

I also filed complaints with Attorney General's office in NJ and IA. The AGs office in NJ simply forwarded it to the AGs office in IA.

When I called the AGs office in Jan, 2003 I was told that my complaint had been forwarded to the collection agency in October but no reply has been received.

I also found out last week that the collection agency have reported this to the credit bureaus on my file . I have filed a dispute with the credit bureaus.

I have also filed complaints with my local police as well as with the Federal Trade Commission.

My Questions:

1. Is there anything else I should be doing to protect myself?

2. What can I expect from the Attorney Generals office in NJ or IA? What should they be doing?

3. Should I seek legal assistance at this point?

Thanks in advance.

 

[JETX]

You say that you have written the agency, but you don't say what you wrote.

Send the collection agency a 'request for validation' letter by certified RRR. A copy can be found at: http://www.creditinfocenter.com

Under separate cover (also certified RRR) send them a 'cease and desist' letter. A copy can be found at the same site above.

Then, if needed, you can file a lawsuit..... see the 'how to', again at the same site.

 

[innj2003]

I wrote to the agency saying that I had never heard of the institution before; that I did not have any dealings with them or owed them any money.

It was not in the format of the letter from the link you have suggested but does that invalidate my contention in any way?

Any idea on what I can expect from the Attorney General's office by way of assistance?

 

[JETX]

It doesn't invalidate your argument.... but doesn't force them to respond.

Send them the letters with 'proper' requests and content as provided on the reference site.

As for the AG's office..... you have probably gotten about what you are going to get (nothing). Most AG offices don't get too aggressive unless they have received several similar complaints.

 

[innj2003]

In your opinion what is the next step they will take?

They have reported it to my credit file and I have disputed it.

If they sue me, will it be in Iowa or NJ?

Should I be seeking legal assistance at this point?

Thanks for your help.

 

[Ladynred]

They have to sue you in the state in which you reside.

I would wait and give the validation process a chance to work before you go hiring an attorney. If its truly not yours, they won't be able to prove it and they will have to stop collections and remove entries from your credit report.

Read thru the DV process and follow it thru, it DOES work.

 

[innj2003]

I have sent them a letter for validation of debt as per your advice. I am going to wait 30 days.

If I do have to small claims court to get this matter resolved, can I do it in NJ?

 

[Ladynred]

Yes. You file the suit where you live. There may be a registered agent NJ for that CA. You should be able to find that out thru your state's licensing board. CA's don't have to be licensed in NJ, but they must post a bond.

If you want, email me the name of the collection agency and I'll see if I can dig up anything for you.

 

[innj2003]

I just emailed you the name of the CA from here. Hope it worked.

 

[Ladynred]

Got it.

I didn't find any registered agents with what's available on-line from NJ It only shows the Banking and Insurance Agents.

However, I did find info on Collection Agency bonding.. they must pay a bond in NJ. You might try calling them and asking about this CA.. ARE they bonded ? The state may be able to tell you if they have a registered agent in NJ.

New Jersey Division of Revenue
CAB Unit
PO Box 453
Trenton, NJ 08625


"New Jersey statutes (N.J.S.A. 45:18 et seq.) dictates that no person can operate a collection agency, collection bureau or collection office or engage in the business of collecting or receiving
payment for others of any account, bill, or other indebtedness without having a sufficient bond on file with the Secretary of State."

 

[innj2003]

Thank you so much. I will follow this up.

 

[JETX]

A collection agency operating IN New Jersey is required to post a $5000 surety bond, the state does not require a license or fee.

Also, the NJ statutes (bond require) ONLY apply to collection agencies with a business presence (office) located in NJ. An agency located in another state does not need to be bonded in NJ.

 

[innj2003]

Does this mean the CA in Iowa can freely operate in NJ without a license or bond requirement?

 

[Ladynred]

Ok JetX, question then.. what about this verbage:

"or engage in the business of collecting or receiving
payment for others of any account, bill, or other indebtedness without having a sufficient bond on file with the Secretary of State"

Is this IA CA not engaging in the business of collectin in NJ ?
(This CA also has an office in Indiana).

What's the fine line here ?

 

[JETX]

"What's the fine line here ?"

The 'fine' line is that NJ debt collection statutes do not apply to a business not located in NJ..... interstate commerce falls under the scope of the federal government. And since the federal government does not require a debt collector license, the out of state agency is not required to have one..... even to collect against a debtor located IN New Jersey.

However, the surety bond would be required if they have a 'presence' (office) in the state.