I worked there
Complaint
nonamedebtcollector
Country: United States
DO NOT PAY THESE PEOPLE!!! I took a job with them in Kansas and in order to keep my job we had to use practices that were bordering on illegal and I believe that some of it was illegal. I worked for a debt collection agency that followed the Fair Debt Collection Protection Act and telling people that they are paralegals investigators and using aliases is illegal and deceptive and against fdcpa. I refused to use their practices and when I didn't collect 10,000.00 dollars worth of debt in my first month I was fired. I believe that they are buying bad debt. It's resale debt, debt been collected, and I believe some medical that is medicare and medicade fraud. I am trying to figure out a way to stop this.
Comments
The debts were assigned to UMA by The Law Office of Daniel Slane. UMA also had purchased debt as well. Some were clearly inaccurate and illegitimate.. (I.e. loans for vehicles that were repossessed by the creditor)
I believe Cash Central was in compliance with all state laws. I believe they should be more responsible with the defaulted collection attempts they assign to 3rd parties.
We called from Kansas. Majority of the Cash Central collections we made were in Ohio. All collections were made within the US.
Loan cramming did not occur with cash central. If I understand the term correctly, it is when a loan is lower than its original amount. The amount was always the understood remaining balance of the original loan.
I've often found that the lies used in these collection rackets contain interestingly twisted semantics, often lying by ommission, by implication, etc. The deception was clearly intended, and the victim was in fact deceived, yet the perps think they can leave themselves a hole to crawl out of if they get caught. It generally works, too, not in a legal sense, but as an additional deception of the victim. It's really a "chicken" play.
"I don't know about your state but in mine your wages can be garnished by 50%"
There's the escape hatch, right up front. The second part is a baldfaced lie. Most states limit garnishment to 10% to 25% of takehome pay. Some don't even allow it at all.
Does Kansas garnish at 50%?
Does ANY state garnish at 50%?
"do you see that white car outside your house!? That is my process server and if you don't pay this debt RIGHT NOW I am going to have him serve you the legal papers".
Mentalists will recognize that as a "cold read", based on the odds that white cars are just very common.
"Mr.Slane was not an active participant nor was any attorney for that matter. "
Which would make all the threats or implications of some "lawsuit" violations of FDCPA.
Other collection agencies investigated for this sort of shakedown have been found to have conned and extorted relatives (despite the FDCPA violations due to third party disclosure) and even unrelated strangers called and threatened by mistake.
I ask about "loan cramming" because it shows up in one pattern associated with the "shakedown" style of "payday loan" debt collection, due to the total illegallity of the actual "debt", and appears to have an association with the Buffalo area.
By "loan cramming" I was referring to the illegal practice of depositing a phony "loan" into a sucker's bank account (typically in the $150 to $300 range), then rapidly removing it all in just a few weeks before he figured out what was up, then pretending not only that there was some "loan agreement" at rates above 450% APR (even 900% after "fees"), and that this "loan" was "interest only" so that all money taken, even at these outragous rates, did not diminish the "principal" still owed. Only way to stop it was for the victim to shut down his bank account, after which he would be hounded by "debt collectors" calling to collect the rapidly growing "principal", which "compounds" every 2 weeks at this "900%APR" rate to allegedly "several thousand dollars" (which is all gravy, as the original "lender" got back several times their "investment" even though the "loan" violates TILA all over the place.
You might think, how could anyone actually get away with this? First, the victim never actually agreed to anything. Predators choose victims, not the other way around. The victim typically had applied on some "payday loan" "broker" or "lead" site, that then sold his information, including name, address, employer, SSN, DOB, bank account number, etc, to whatever "lenders" would buy it. Some just pestered the sucker with calls offering loans at high rates, while the "loan crammers" made a call, commonly got no "agreement", but deposited the money anyway to create the pretense of a "loan" (and a "contract" the terms of which had never even been disclosed), and away they all went. Closest thing to loan sharking or protection shakedowns you will find over the phone.
The "lenders" typically show up hiding behind overseas or Carribean LLCs, (or in some cases "located in tribal jurisdiction"), to complicate legal jurisdiction. Once they are done draining the victim's bank account, or it gets shut down, the "debt" is sold off to "debt collectors", who can deny any knowledge of the fraud with a straight face. Many are concentrated in Buffalo and Las Vegas areas, severel periodically show up in Florida, and maybe a few scattered in several midwest states. As you can probably guess, the game is in how much pressure to apply, and how not to go too far so you don't have some AG sniffing around.
This is typical. Note the reply (probably by one of the "debt collectors" working this scam), which is the argument used in the shakedown calls.
http://www.ripoffreport.com/r/SGQ-Processing/nationwide/SGQ-Processing-I-applied-for-a-payday-loan-and-they-deposited-300-without-my-authorizatio-440267
BBB in Kansas City MO had a warning out on one cluster of them. Apparently they were using P.O. Boxes in Kansas City as mail drops under about 10 different names and BBB was getting complaints.
Also, many states require that on repossessions, the debtor be timely notified of the deficiency after sale at auction.
I think orange is a good color for them.
Cause my mama taught me better than that... Lol I'm a collector in nyc & I see bitter people hate online 24/7, pathetic much?