Rebuilding Your Credit

[FairCredBen]

I called them and finally got in again - 

Adcanced Cash Services - 

They have my old address - 

They have my SSN - 

They say that this was a payday loan for the amount of 300$

[Datx]

So it went from 1050.78 in their email, now to $300 when you called? The scammers seems kinda desperate to me. Did you ever have a payday loan in the past?

[FairCredBen]

I had a payday loan for 50$ with a small town Oklahoma deal, that I paid back to them the next day when I got paid (needed gas)

I know their number is on a lot of scam sites.... Also I have found a lot of emails that are almost verbatim 

[FairCredBen]

Should i be worried that they have my SSN though?? I am in the middle of the pre-approval home loan stuff...

Once again NOTHING is on my CR for them! 

[raggamuffin]

BadCredBen.

This is a long response, but I would be very hesitant to pay anything to them.  I had the same problem once I finally finished paying everything off, rebuilding for my credit, and getting my student loans out of default mid-2011.

Last November I was just about to apply for a credit card when a bogus collection agency called Northern Resolution posted a $500 tradeline on my TU report.  Of course, there was no contact information except for an address.  I did a lot of internet research and found no website, etc.  But there were random online forums where people complained that the agency had ALL of their personal information and threatened to file court papers if they didn't receive debit card info immediately.  They also said that the collection agency frequently changed addresses and the name of the company after investigations by state/federal agencies.  Some said that they never got a payday loan or had actually paid it off well in the past.  I was finally able to find a number for the company so I called them and was hesitant to give them my SSN.  Out of frustration I called back and gave them my SSN and they said I owed for a payday loan in 2006.  I asked them to send me something in writing about the alleged debt.  In 2006 I did get a payday loan, but quickly paid it.  I called the payday loan place and got mixed answers; one rep said it was paid but another branch of the company said it was unpaid.  Makes no sense to me...wouldn't the same info be available throughout the company?

I finally decided to just dispute it TU.  I then called Northern Resolution and they knew that I disputed with TU.  Later that week I received the written bill I requested for the collection agency.  It was a notarized letter, but my address was handwritten on the front and the return address was hand-stamped.  The stamp wasn't even level, so it looked unprofessional.  Soon after, I got an alert from TU that the bogus debt was reduced to 300 bucks. Not sure why.   Then at the conclusion of the investigation, TU removed the whole tradeline and I haven't heard anyting else from Northern Resolution.  I guess they couldn't validate the debt.

Since then I've gotten an 8k credit card and one for 3k.  Both have zero balances.  This week I got alerts from this website that my TU rose to 700 and my EQ is now at 665.

[FairCredBen]

300$ from 50$ though?

Im going to call my AG shortly. 

[raggamuffin]

Yeah, I'm not sure.  I'm guessing they are casting a wide net to see who they can snag.  Fortunately, they didn't post anything on your credit report.  I thought the bureaus had set standards for companies before they were allowed to post anything on someone's credit report.  TU let Northern Res post the tradeline and then only took it off after I disputed.  I was also freaking out that it would remain on my report.  It's crazy how these jokers have all your personal info.

I would definitely check with your AG and dispute with the bureau if anything gets posted.  Good luck.

[FairCredBen]

Spoke with my AG and the guy said that they have gotten at least 5 calls already today about this company - they are currently being investigated by the FBI 

[llecs]

Ben, I'm sorry, but I had an awesome post ready to post and it was deleted (stupid backspace button).

In a nutshell, assume it is valid. Send a DV ASAP. Assume the $1000 sum is valid, but calculate interest to see if you come up with that. Check out your state's usury laws too. Also check to see if you did indeed do business with that lender. While waiting for the DV results, ready $$$ just in case. I can see how $50 can turn into a thousand overtime at shark loan rates. It might be legal.

But also know that on the surface, I found at least 4 FDCPA violations in that letter. I'm all about leverage. I lost a great post, but IIRC, look up the FDCPA. Particularly, their mention of "press charges against you" is a violation (see Sect 807). Mentioning of a judgment is a no-no unless they do indeed plan to follow through. Calling your employer is not a violation, and they didn't say they would, however, making an implication that the creditor would might be a violation in 807(6). And misrepresenting the balance is illegal under the FDCPA, especially claiming $3600 in collection costs (See Sect 808), not to mention attorney fees. Also, it strikes me as odd the keystroke pattern is not random.....4 - 7 - 8 - 9 - 8 - 7. I think they made it up. That's a violation.

But I would wait for their response before telling them any of this.

[FairCredBen]

Llecs, if i hadnt paid it, then maybe i can see it ... but i paid it lol....

and yeah the amounts are outrageous....