Tag Archive for fdcpa violations

FTC Steps in on Debt Collection Company Deceiving Consumers

Debt Collection Company to STOP deceiving and abusing consumers at FTC request

At FTC’s Request, Court Orders Debt Collection Operation to Stop Deceiving and Abusing Consumers: More debt collection problems for us consumers by shady operations. The company also has a “debt management” DBA which is quite scary considering they collect debts. Having your personal information in the hands of someone as a debt management firm that operates as a collection agency as well is quite scary.

At the request of the Federal Trade Commission, a U.S. district court has halted a debt collection operation that allegedly deceived and abused consumers – making bogus threats that consumers had been sued or could be arrested over debts they often did not owe.  As part of itscontinuing crackdown on scams that target consumers in financial distress, the FTC charged two individuals and seven companies in a Corona, California-based debt-collection operation doing business as Rincon Debt Management.  The court order stops the illegal conduct, freezes the operation’s assets, and appoints a temporary receiver to take over the defendants’ business while the FTC moves forward with the case.

Operating since March 2009, the defendants have been unjustly enriched by at least $9.4 million, according to documents the FTC filed with the court. Read more.

Debtor Wins 1.5 Million from Collection Agency

From ABC News, a man from Texas has won 1.5 million from a lawsuit against a collection agency who was harassing him relentlessly. While collection agency groups often defend the actions of its members, and claim these attacks are rare, it’s happening more and more.

Those of us who deal with collection agency complaints from consumers know that this type of abuse happens a lot. Debtors however are learning through education that they can fight back against abuse.

This man’s lawsuit proves that you should never take financial bullying from anyone. Watch the video below.

Lawyers for Allen Jones, of Lewisville, Texas, say he was subjected to harassing phone calls from Advanced Call Center Technologies. Employees, lawyers said, used the n-word and the f-word and made racially-charged remarks about Jones, who is black.

In one voicemail message, a collector suggested that Jones “go pick some m*****f****** cotton fields,” according to recordings provided by Jones’ lawyers.

“It got out of control,” Jones, 26, said. “It was horrific.”

Dean Siotos, a lawyer for Advanced Call Center Technologies, called the language in the voicemails “indefensible” and said that the calls allegedly placed by ACT employees “must have been in some sort of personal attack unrelated to the business.”

“It’s not in any way, shape or form consistent with the way ACT’s collection deparment attempted to collect debts,” he said.