Debt collector trying to pay on an account already paid.

[cwhitt8784]

I have a online payday loan with cashnet usa that has been paid already. Did a settlement and I have written proof of the agreement and payment, Now I have a collections agency calling me trying to collect on the debt. First time they called they told me I was being sued and would have a 3000.00 bond? I simply told the mail to mail a debt validation letter and that was it. I did contact my local courts and they said there was nothing filed against me and this was a scam and suggested I file a complaint against them. So just now I get a call from the collection agency saying I'm a liar and can get in trouble for lying to the police? LOL I told him he should lose the attitude and like I told the other man send me a letter in the mail,and he said he did but I havent got anything and he said stop lying. I said it's my right to recieve a debt validation letter and if you refuse then I wont speak anymore. He said emailing this was perfectly legal? Is that true? I told him this had been paid for and I will not send another dime and he then asked for proof and said he will leave me alone. I will not send them anything until I get the letter. Does this place seem legit? I've heard so much about scams regarding fake collection agencies with payday loans. Thanks! I live in VA if that matters.

 

[RRevak]

I have a online payday loan with cashnet usa that has been paid already. Did a settlement and I have written proof of the agreement and payment, Now I have a collections agency calling me trying to collect on the debt. First time they called they told me I was being sued and would have a 3000.00 bond? I simply told the mail to mail a debt validation letter and that was it. I did contact my local courts and they said there was nothing filed against me and this was a scam and suggested I file a complaint against them. So just now I get a call from the collection agency saying I'm a liar and can get in trouble for lying to the police? LOL I told him he should lose the attitude and like I told the other man send me a letter in the mail,and he said he did but I havent got anything and he said stop lying. I said it's my right to recieve a debt validation letter and if you refuse then I wont speak anymore. He said emailing this was perfectly legal? Is that true? I told him this had been paid for and I will not send another dime and he then asked for proof and said he will leave me alone. I will not send them anything until I get the letter. Does this place seem legit? I've heard so much about scams regarding fake collection agencies with payday loans. Thanks! I live in VA if that matters.

If you are certain you paid the debt in full, and have official written proof of such, why in the world are you communicating with these people?

 

[cwhitt8784]

If you are certain you paid the debt in full, and have official written proof of such, why in the world are you communicating with these people?

I will not in the future I should not have in the first place.

 

[RRevak]

I will not in the future I should not have in the first place.

Quick question though: Did you pay the loan place directly or was this through another debt agency?

 

[cwhitt8784]

Quick question though: Did you pay the loan place directly or was this through another debt agency?

I used a debt settlement company which I am afraid was a bad idea. I have a settlement letter from which cashnet signed off on agreeing to settle and for the amount and then I have proof payment was made to them. I have never been in a situation as dumb as this. The debt was settled for 1000.00 and the original amount was 1500. They are telling me I can go to jail which really makes me question this being legit.

 

[RRevak]

I used a debt settlement company which I am afraid was a bad idea. I have a settlement letter from which cashnet signed off on agreeing to settle and for the amount and then I have proof payment was made to them. I have never been in a situation as dumb as this. The debt was settled for 1000.00 and the original amount was 1500. They are telling me I can go to jail which really makes me question this being legit.

Well you can sleep easy that you won't be going to jail over the alleged debt (we got rid of debtors jail long ago ). As far as them being a scam, I've heard stories of debt collection agencies saying some pretty crazy things, esp when they're a less than scrupulous agency, so its not beyond the real of possibility that this is a legit agency who is just operating on the fringe of legal. Have you contacted the loan company to make sure their records show the debt has been paid?

 

[cwhitt8784]

Well you can sleep easy that you won't be going to jail over the alleged debt (we got rid of debtors jail long ago ). As far as them being a scam, I've heard stories of debt collection agencies saying some pretty crazy things, esp when they're a less than scrupulous agency, so its not beyond the real of possibility that this is a legit agency who is just operating on the fringe of legal. Have you contacted the loan company to make sure their records show the debt has been paid?

I will contact them right now. Also they are refusing to mail a debt validation letter they say they will only email documents? I thought if I requested that they have to mail it to me?

 

[RRevak]

I will contact them right now. Also they are refusing to mail a debt validation letter they say they will only email documents? I thought if I requested that they have to mail it to me?

This does sound like a scam agency to me but just to be sure I would try validating that the debt has in fact been paid from the original loan company. If their records show payment then you can tell this agency to pound sand then report them to your attorney generals office. Here is a link that gives some good information about fraudulent debt collectors and how to handle them.

http://www.consumer.ftc.gov/articles/0258-fake-debt-collectors

 

[cwhitt8784]

This does sound like a scam agency to me but just to be sure I would try validating that the debt has in fact been paid from the original loan company. If their records show payment then you can tell this agency to pound sand then report them to your attorney generals office. Here is a link that gives some good information about fraudulent debt collectors and how to handle them.

http://www.consumer.ftc.gov/articles/0258-fake-debt-collectors

I did contact XXX and it has been paid and she let me know this is a scam.
I will report this.
Thanks

 

[bdancer]

I will contact them right now. Also they are refusing to mail a debt validation letter they say they will only email documents? I thought if I requested that they have to mail it to me?

No email is not acceptable. Third party collection agencies are required to mail you validation within 5 days of initial contact. That consist of the name of the original creditor, amount, dates, and notices of your rights to dispute.

In this case, who cares if they do or don't send you validation? You have a settlement agreement and payment proof. Tell 'em to go pound sand. I'm not sure it's worth your time to check with the original creditor -- may be just an exercise in spinning your wheels.

Payday loans are notorious for have collectors who are way across the legal line ... threatening jail and holding your first born hostage, etc. Just hang up and don't waste your time on them.

 

[Stressed About]

I have a online payday loan with cashnet usa that has been paid already. Did a settlement and I have written proof of the agreement and payment, Now I have a collections agency calling me trying to collect on the debt. First time they called they told me I was being sued and would have a 3000.00 bond? I simply told the mail to mail a debt validation letter and that was it. I did contact my local courts and they said there was nothing filed against me and this was a scam and suggested I file a complaint against them. So just now I get a call from the collection agency saying I'm a liar and can get in trouble for lying to the police? LOL I told him he should lose the attitude and like I told the other man send me a letter in the mail,and he said he did but I havent got anything and he said stop lying. I said it's my right to recieve a debt validation letter and if you refuse then I wont speak anymore. He said emailing this was perfectly legal? Is that true? I told him this had been paid for and I will not send another dime and he then asked for proof and said he will leave me alone. I will not send them anything until I get the letter. Does this place seem legit? I've heard so much about scams regarding fake collection agencies with payday loans. Thanks! I live in VA if that matters.

Did you check to see if that was actually your debt ? I have had collectors call me and try to bully me into payments and I learned one of the first things to do is ask for some proof they are looking for me. Example, I will ask for the SSN tied to the bill or city and state of original bill. Right now, I do not have outstanding bills in collection, so everytime I get a call, I know they have the right name, but wrong person.

I have learned that they basically use an electronic phone book and just run down the list with your name and call them all till they get someone to pay or till they find the right person, it seems.

 

[Mark Maroon]

I used a debt settlement company which I am afraid was a bad idea. I have a settlement letter from which cashnet signed off on agreeing to settle and for the amount and then I have proof payment was made to them. I have never been in a situation as dumb as this. The debt was settled for 1000.00 and the original amount was 1500. They are telling me I can go to jail which really makes me question this being legit.

You should take ALL of the facts to a reputable attorney that knows about the Fair Debt Collection Practices Act (FDCPA). I believe that a debt collector telling you that you can go to jail for not paying a debt is in violation of the FDCPA. I think it's usually pretty easy for an attorney to evaluate whether or not you have a decent FDCPA case, and they are often willing to take on such cases even when they are for small amounts such as in your case because they can recover their attorney fees from the debt collector.