DID NOT WANT TO ACCEPT MAIL IN PAYMENTS
Complaint
CARLA C CORTEZ
Country: United States
MY HUSBAND ASKED ME TO CALL A COLLECTION AGENCY BECAUSE HE WANTED TO SETTLE A DEBT. I CALLED TO LTD FINANCIAL SERVICES, AND I SPOKE TO 5 DIFFERENT PEOPLE. THE LAST PERSON WAS VERY RUDE. I WANTED TO SEND THEM MONEY ORDERS ON A PAYMENT PLAN TO SETTLE AN ACCOUNT AND THEY SAID NO.. THAT WE NEEDED A CHECKING ACCOUNT AND THERE WAS NO OTHER OPTION. WELL WE DONT HAVE A CHECKING ACCOUNT AND I TOLD THAT PERSON. I ALSO ASKED HIM IF I CAN WESTERN UNION THE PAYMENTS AND HE SAID NO, WE KNOW YOUR HUSBAND HAS AN ACTIVE SAVINGS ACCOUNT AND WE NEED THAT INFORMATION. WE ARE TRYING TO SETTLE AND THEY DIDNT HELP. AND I WAS VERY UPSET AND TOLD HIM NEVERMIND AND I HUNG UP.
Comments
Many debt collectors attempt this, for various reasons. Sometimes they are trying to make their end of month numbers, but other times this may be an indication of possible fraud.
This may be an indication that they intend to debit amounts beyond what you may have agreed to, purhaps taking scheduled payments ahead of the dates you agreed to, or taking total amounts beyond some verbal "settlement" they offered. It may also indicate that the unerlying debt itself is suspect, and they want direct access to your account to take your money in case you realize something isn't correct.
This also shows up with fraudulent debt collection where phony debt collectors prefer EFT transfers rather than checks or money orders, to hide their location, avoid the U.S. Mail that may get them caught on mail fraud charges, and leave a slimmer paper trail. Refusing to wire the payment by Western Union is odd, as even fraudulent phony debt collectors often use that means, since it allows them to pick up the money anywhere in the world, not just where they tell you they are located.
The situation sounds suspicious, for the reasons outlined above.
What is the debt collector, what is the nature of the alleged debt and to what alleged creditor do they claim it is owed, and what proof have they provided that you owe it, or that you owe it to them?
Have they sent you a demand letter in writing, identifying the debt collector, their location, and the debt, and notifying you of your right to dispute, as required by federal law (FDCPA)?
http://www.ripoffreport.com/collection-agency-s/ltd-financial-servic/ltd-financial-services-unprofe-8wdde.htm
FTC v. LTD Financial Services Complaint:
http://www.ftc.gov/os/caselist/0523012/071105ltdfinancialcmplt.pdf
Settlement with FTC. They agreed to pay a $1.3 Million penalty for illegal threats and harassment. They are also permanently barred by their agreement from illegal collection.
http://www.ftc.gov/opa/2007/11/debtcol.shtm
Contact FTC if you have ANY problems with this company. They may be in violation of their consent decree.
The second letter looked like a retail sales or insurance payment letter. It had the choice of two palns. Just tear off the coupon and mail it it. This second letter stated that the current creditor "Candica, LLC" and the original creditor was "Capitol One" A phone call to the Capitol One fraud line found that no such debt was ever turnde over to collections. The payment plan letter provides a link to make a payment on line and states " ..this offer will completely obsolve you of this debt with abive named creditor."
Just appears to be all wrong.