debt collection

Asset Acceptance Capital Corp. (NASDAQ: AACC), the parent company of the increasingly familiar “Asset Acceptance, LLC,” is a publicly-traded junk debt buyer located in Warren, Michigan.  Through its predecessors, it has been in existence in one form or another since 1962.  Asset Acceptance is one of the few debt collection agencies where ownership can be [...]

Asset Acceptance to be judged by a jury. The Take-Away Dopey Asset Acceptance, a debt collector, cannot hide behind procedure to exclude from evidence a voicemail that captured it accusing a consumer of being a “fat motherfucker.” Alleged Facts A consumer filed a lawsuit in the federal court of New Jersey alleging that Asset Acceptance [...]

Sen. Al Franken (D-MN), a Saturday Night Live sketch comedian (think “Daily Affirmation with Stuart Smalley”), writer, actor, and author, recently introduced legislation in the U.S. Senate to tighten and modernize the nation’s Fair Debt Collection Practices Act (FDCPA).  The FDCPA attempts to regulate what and how debt collectors can attempt to collect consumers debts.  [...]

Hamid v. Stock & Grimes.  In this consumer protection matter, a Pennsylvania consumer sued Stock & Grimes, LLP, a debt collection law firm, under the Fair Debt Collection Practices Act (FDCPA).  She sued Stock & Grimes for having first sued her in a state-court debt collection action.  She defended against the collection action claiming that [...]

LVNV Funding LLC is a junk debt buyer, aptly named, because its business model is built entirely around gambling.  The losers of its gambling, however, are flesh-and-blood consumers, not faceless casinos in Las Vegas, Nevada.  Junk debt buyers buy old, defaulted consumer debts for pennies on the dollar and then try to collect the full [...]

On the heels of robo signing and other consumer financial scandals, Bank of America recently sold the rights to collect defaulted credit card debts to a junk debt buyer, CACH LLC of Denver Colorado. Many of these credit card debts were sold for as little as 1.8 cents on the dollar. It was learned that [...]

Tough economic times have caused millions of American consumers to experience extreme financial problems and out-of-control debt.  Consumer bankruptcy may be a viable solution for those consumers who just need a financial fresh start.  Consumer bankruptcy was designed to provide consumers who are overwhelmed with debt a way to reduce, eliminate, or reasonably pay back [...]

When consumers get in over their heads financially, they may become the victims of harassing phone calls from overzealous debt collection agencies.  These agencies often practice other unscrupulous tactics that are illegal.  The Fair Debt Collection Practices Act (FDCPA) was passed in 1978 to protect consumers from abusive and harassing behavior by debt collectors.  The [...]

The Takeaway: In response to a consumer’s demand for verification of an alleged debt, the debt collector ordinarily must verify the debt by showing the creditor’s grounds for the claim and provide an explanation as to why the debt exists. The Facts: Apothaker & Associates (Apothaker) attempted to collect a junk debt that had been [...]

As Americans struggle in this slow economy, debt collectors are finding creative ways of separating struggling debtors from their dollars.  One way is the use of so-called “balance transfer programs.”  Many debts are legally unenforceable due to the expiration of the statute of limitations. A legally unenforceable debt is less valuable to a debt collector [...]

Judge Finds West Asset Management’s Collection of “Death Debt” Unlawful

The 68 year-old Florida widow, Linda Long, won the right to pursue West Asset Management (West Asset) for damages in a civil suit.  A Florida judge assigned to the case found in her favor after weighing facts that West Asset harassed the widow when it tried to collect a debt her deceased husband owed to [...]

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New Jersey Debt Collector Drops $43,386 Suit at Trial

First National Acceptance Co., LLC, (FNAC), a New Jersey debt collector represented by attorneys for Hayt, Hayt & Landau, LLC (HHL), suddenly dropped its $43,386.32 lawsuit over an alleged consumer debt at trial on the record in the Superior Court of New Jersey.  The lawsuit alleged that FNAC, a debt buyer of old defaulted consumer [...]

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Debt Collectors Reported Most by Consumers, FTC Says

For the last known year, 2010 was the worst year for consumers dealing with debt collection agencies.  According to the Federal Trade Commission (FTC), complaints about debt collectors are up 25% since 2008.  There were about 104,000 complaints in 2008 and about 140,000 in 2010.  All the while, debt collectors are aggressively lobbying Congress to [...]

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Debt Collectors Who Bilked Millions Sent to Prison

Two debt collectors were sentenced recently to 8 and 6-year prison terms for absconding with $2.7 million.  Darrian Summers and Stefan Miller both of the former debt collection agency, Maxwell, Turner & Associates, received their prison terms after being convicted of fraud conspiracy or money laundering.  The federal court ordered Miller and Summers to pay [...]

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Court Finds Attorney Debt Collection Letter Deceptive

  The Take-Away A notice on the back of a collection letter written on attorney letterhead stating that no attorney has reviewed the account does not cure the deceptive impression that it is from an attorney and that legal action is being considered. Facts Mr. Lesher had an unpaid home equity account.  The account was [...]

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Sex as Payment Demanded by Debt Collector

  When a woman can’t pay her bills, she should offer her body as payment demands a debt collector. ABC-24 of Memphis, Tennessee reports that a debt collector would accept sex in exchange for paying a consumer debt.  The victimized debtor, Mia Dodson, claims she has a telephone voicemail recorded by an employee of the [...]

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Debt Collector Arrested Pretending to Be a Sheriff

  A debt collector looking to get a leg up in collections donned a sheriff’s uniform while collecting debts says a NBC-2 reporter in Fort Meyers, Florida.  A Florida victim claimed in a police report that Angel Rosado arrived at his job wearing a deputy sheriff’s uniform and possessing a “warrant” for the victim’s arrest.  [...]

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Threatening to Sue on Time-Barred Debt Violates the FDCPA Says Appeals Court

The Take-Away: A debt collector who takes or threatens legal action on a consumer debt after the statute of limitations has expired violates the FDCPA. Facts: Mr. Huertas had a credit card debt with Applied Card Bank f/k/a Cross Country Bank (“ACB”) which he failed to repay.  The account was sold to Galaxy Asset Management [...]

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NCO Group’s Revenues Up in Down Economy

According to a recent press release, NCO Group, Inc. (“NCO”) reports greater revenue for the third quarter of 2011 as opposed to the same quarter one year prior.  Earning about $304 million, NCO beat its 2010 same-quarter earnings of $292 million.  The largest debt collection agency in the world continues to improve its income statement [...]

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A Perspective on Hayt, Hayt & Landau

Hayt, Hayt & Landau is a New Jersey debt collection law firm with an office in Philadelphia. Despite many other sources on the internet claiming otherwise, its dunning letters and especially its lawsuits should be taken very seriously. It is a “real law firm” despite many erroneous websites claiming otherwise. The collection law firm is [...]

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