Violationg of debt verification request

[randomguy]

Violation of debt verification

What is the name of your state? California

I made debt validation request to collection agency after demand for payment. I received no information from but they placed negative mark on my credit report

1) can i sue them for violating fair debt collection act?

2) do i have any chances of getting this mark off my credit report

3) If i send them Cease and Desist Letter, can they report me again to credit reporting agency or will their only choice at that point be sue or sell the debt?

Thank you

 

[TiredOfAbuse]

I made debt validation request to collection agency after demand for payment. I received no information from but they placed negative mark on my credit report

Did you make the DV request within the first 30 days of contact? Contact can be from Telephone or a Letter in the mail. If you made the request after 30 days of the first contact, the Collections Agency can still make contact with you.

This does not apply to an Original Creditor. Note that some states (like Texas) require the CA to validate no matter when the request was made. I do not believe California is one of those states.

1) can i sue them for violating fair debt collection act?

That depends on what sections of the FDCPA they had violated. Did you send a timely DV? Did they violate any other laws, State or Federal? If you think they have violated then by all means document it as best you can. Once you have several violations, then speak with an NACA attorney. www.naca.net

2) do i have any chances of getting this mark off my credit report

You might be able to if the information is incorrect. The Fair Credit Reporing Act outlines how information can be reported to your credit rating. You should look it up. This does take a fair bit of research though.

3) If i send them Cease and Desist Letter, can they report me again to credit reporting agency or will their only choice at that point be sue or sell the debt?

If they already have an open trade line on your credit report, they will more then likely adjust if as needed. It may be a FCRA violation if they post a second tradeline for one single debt. Monitor your credit report if you can.

As for will they sue you or sell, it all depends on your situation. It depends on if you work or not. It depends how old the debt it. It depends on how high the balance is. It depends on how mean the collector is feeling that day.

There really are too many "what if's" to give a reliable answer to the Sue or Sell question. I do, however, believe they are less inclined to sue if the skip/asset research they have done shows them you aren't worth the effort.

Can you provide any other information? You did not give a lot to go on.

TiredOfAbuse

 

[Chien]

This does not apply to an Original Creditor. Note that some states (like Texas) require the CA to validate no matter when the request was made. I do not believe California is one of those states.

CA’s Rosenthal Act (the state’s version of the FDCPA, beginning at Civil Code sect. 1788 et seq.) is more extensive than the FDCPA and does include Original Creditors. You can read it here:
http://www.leginfo.ca.gov/cgi-bin/calawquery?codesection=civ&codebody=&hits=20

The state’s Consumer Credit Reporting Agencies Act, the counterpart to the FCRA, begins at CC sect. 1785.1 (same URL).

The Office of Privacy Protection - https://www.dca.ca.gov/privacyprotection/index.html – is probably the most complete starting point but may offer much more information than you need. You are a bit short on information, but the state is actually at the forefront of individual privacy rights and protections.

 

[randomguy]

Thank you for both of your replies.

To answer some of the questions

I send them debt validation letter with in 30 days,well it was same day as i got the letter from them. I sent it certified. The balance in question is really small, $51

The mark on my credit reporting agency made by collection agency and not the original credit

for payment status it says this "Seriously past due date / assigned to attorney, collection agency, or credit grantor's internal collection department
Comments: Account in dispute-reported by subscriber"

I got no clue how old the debt is, as they never told me for what debt this is. All i got is original creditor name and amount i owe.

edit:I got plenty of asset to go after but would they for only $51? and would they still not have to validate the debt in court?

edit2:if some other info you need, please let me know

 

[TiredOfAbuse]

Thank you Chien! This forum lacks private messages (and probably for good reason), so I'll say it here- you use the forums as intended, to inform without flaming. Believe me it has not gone unoticed and it is greadly appreciated. I have learned from you, and I always welcome your constructive corrections.

Randomguy: I will go along with Chien, but I have not done the research on CA state Law.

Personally I would not worry over a balance of $51, but they have attacked your credit rating over a debt that (from what you have said) is not yours. It is good you aren't ignoring this!

Federal, and as Chien points out, State law forbids the Collections Agency to continue their collections effort once timely Debt Validation has been requested. Once validation is sent to you, only then the collections could resume. It really does sound like they have violated. Document it yes, but I would give them another chance to come clean and stop breaking the law.

If they do persist, know that you do have a cause for action.

I got no clue how old the debt is, as they never told me for what debt this is. All i got is original creditor name and amount i owe.

edit:I got plenty of asset to go after but would they for only $51? and would they still not have to validate the debt in court?

I would send a second Debt Validation letter asking them politely to Validate. I would also remind them in the letter you are documenting all perceived violations and that they have missed the first opportunity to validate at their peril. Tell them you need absolute proof this is yours. Do they have a contract with your signature on it? Do they have any kind of accounting for this account that proves it is yours?

If this ever goes to court, you have the ability (called Discovery) to make them prove the debt is yours. If you are taken to court, first you Answer the summons, then you file your Discovery.

If this thing is keeping you up at nights, why not contact and consult with an attorney? Most attornies will give a free consultation and you will get a good picture of what yor rights are.

Good luck with your situation!

TiredOfAbuse

EDIT: Also - send letters to the Credit Reporting Agencies and contest their trade line on your credit report. If the Collection Agency validates with the CRA's, and not with you it will put them into even deeper water if you take action against their violations later.

 

[randomguy]

Thank you TiredOfAbuse for reply, this actually not keeping me up at night at all, just got letter from letting me know that they put negative mark on credit reporting history. This didn't have any negative affect on my credit score but rather have totally clean one.

I will send them second leter and see what happenes, also will send the reporting agency a dispute letter, requesting that they take it off

 

[TigerD]

They aren't required to notify you or do anything other than what they have done and that is notify the CRA that you disputed the account.

No violation.

DC