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A Setback That I'm Not Sure How To Handle

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Established Contributor

A Setback That I'm Not Sure How To Handle

Here's hoping someone could tell me how to handle this (my apologies in advance; this could be a long post)...

 

I'm helping a few people with getting their credit back on track.  One of the people in the group made arrangements to pay an OC with automatic monthly payments from a debit card that's only used for CA payments.  Arrangements were made in June, with the first payment being made on the same day over the phone; and monthly payments were set up to be automatically taken on the last business day of the month, beginning in July.

 

The first and second monthly payments (as well as the payment that was made over the phone) went through...smooth sailing; another payment was supposed to be debited on 09/30/19, but it wasn't.  An email was sent when the payment hadn't debited by 10/06/19, and a response was received a day or two later; apologizing for not processing the payment. It was confirmed that all of the payment information was correct, and the payment that should have been processed on 09/30 would be processed in a day or so; it never did, despite the fact that the funds have been sitting in the account since August, and are still sitting in the account as of today.  Another payment was scheduled to be debited on 10/31; again, the payment was not processed, and another email was sent...and a response was received a day or two later apologizing for not processing the payment (they still have the emails that were sent and received; including a confirmation of the payment arrangements, a confirmation of the payment that was made over the phone the day the arrangements were made; as well confirmation that payments were received in July and August).

 

Yesterday, an email was received stating that the account was sold to a collection agency because the OC had not received the necessary funds to put the account back into a good standing. They have not received a dunning notice from the collection agency itself, but that person is very upset right now (and I feel that it is for good reason); they don't feel that the account should've went to a collection agency because the funds were in the account to be paid according to the arrangements, and it is not their fault that the OC's system failed to process the payments when they were due.

 

Is there anything that can be done about this?  They were making progress on their rebuild...only to have this happen.  Also, is the email that they received about the account being "sold or placed" (wording taken directly from the email that was received) considered the dunning notice; or does that come from the CA itself?

Enjoying your freedom? Thank a servicemember and their family!

In the garden since 26 Jun 14...

I am digitaldiva's alter-ego


Message 1 of 13
12 REPLIES 12
Senior Contributor

Re: A Setback That I'm Not Sure How To Handle


@the_jan_b wrote:

Here's hoping someone could tell me how to handle this (my apologies in advance; this could be a long post)...

 

I'm helping a few people with getting their credit back on track.  One of the people in the group made arrangements to pay a collection agency with automatic monthly payments from a debit card that's only used for CA payments.  Arrangements were made in June, with the first payment being made on the same day over the phone; and monthly payments were set up to be automatically taken on the last business day of the month, beginning in July.

 

The first and second monthly payments (as well as the payment that was made over the phone) went through...smooth sailing; another payment was supposed to be debited on 09/30/19, but it wasn't.  An email was sent when the payment hadn't debited by 10/06/19, and a response was received a day or two later; apologizing for not processing the payment. It was confirmed that all of the payment information was correct, and the payment that should have been processed on 09/30 would be processed in a day or so; it never did, despite the fact that the funds have been sitting in the account since August, and are still sitting in the account as of today.  Another payment was scheduled to be debited on 10/31; again, the payment was not processed, and another email was sent...and a response was received a day or two later apologizing for not processing the payment (they still have the emails that were sent and received; including a confirmation of the payment arrangements, a confirmation of the payment that was made over the phone the day the arrangements were made; as well confirmation that payments were received in July and August).

 

Yesterday, an email was received stating that the account was sold to a collection agency because the OC had not received the necessary funds to put the account back into a good standing. They have not received a dunning notice from the collection agency itself, but that person is very upset right now (and I feel that it is for good reason); they don't feel that the account should've went to a collection agency because the funds were in the account to be paid according to the arrangements, and it is not their fault that the OC's system failed to process the payments when they were due.

 

Is there anything that can be done about this?  They were making progress on their rebuild...only to have this happen.  Also, is the email that they received about the account being "sold or placed" (wording taken directly from the email that was received) considered the dunning notice; or does that come from the CA itself?


Please clarify. First paragraph says payments to CA then it went to OC? Which one is it?





My posts are JMHO. I DO NOT claim to be a FICO expert. Just sharing my experiences from rebuild to recovery after BK DC. My siggy is not to brag at all. Just to show fellow members what can be accomplished when you do it right and play the FICO Credit Game.
Message 2 of 13
Established Contributor

Re: A Setback That I'm Not Sure How To Handle


@FireMedic1 wrote:

Please clarify. First paragraph says payments to CA then it went to OC? Which one is it?


My apologies; I was typing while that person was telling about what happened.  The error has been fixed.

Enjoying your freedom? Thank a servicemember and their family!

In the garden since 26 Jun 14...

I am digitaldiva's alter-ego


Message 3 of 13
Senior Contributor

Re: A Setback That I'm Not Sure How To Handle

Next question. Who's the OC? That will help.





My posts are JMHO. I DO NOT claim to be a FICO expert. Just sharing my experiences from rebuild to recovery after BK DC. My siggy is not to brag at all. Just to show fellow members what can be accomplished when you do it right and play the FICO Credit Game.
Message 4 of 13
Established Contributor

Re: A Setback That I'm Not Sure How To Handle

 

I believe the OC is Net Credit.

 

Enjoying your freedom? Thank a servicemember and their family!

In the garden since 26 Jun 14...

I am digitaldiva's alter-ego


Message 5 of 13
Senior Contributor

Re: A Setback That I'm Not Sure How To Handle

I hope you kept the confirmation number of payments by printing them out for a paper trail. It doesnt sems right to do such a thing. But when it come to like payday loan online companies. They are brutal.You could file a BBB complaint and send off a CFPB complaint with proof of payment which they screwed up and then send it off to collections. Hopefully they sent a settlement letter that they agreed to the terms of paying them back. The more ammunition you have. The better for your case. That sucks royally!





My posts are JMHO. I DO NOT claim to be a FICO expert. Just sharing my experiences from rebuild to recovery after BK DC. My siggy is not to brag at all. Just to show fellow members what can be accomplished when you do it right and play the FICO Credit Game.
Message 6 of 13
Established Contributor

Re: A Setback That I'm Not Sure How To Handle


@FireMedic1 wrote:

I hope you kept the confirmation number of payments by printing them out for a paper trail. It doesnt sems right to do such a thing. But when it come to like payday loan online companies. They are brutal.You could file a BBB complaint and send off a CFPB complaint with proof of payment which they screwed up and then send it off to collections. Hopefully they sent a settlement letter that they agreed to the terms of paying them back. The more ammunition you have. The better for your case. That sucks royally!


They have the emails thanking them for their recent payment on the loan; however, the emails do not have a confirmation number, but they are time and date stamped (of course).  They also have the email agreeing to the terms of the arrangement, and they have their bank statements showing when the payments were deducted.

Enjoying your freedom? Thank a servicemember and their family!

In the garden since 26 Jun 14...

I am digitaldiva's alter-ego


Message 7 of 13
Senior Contributor

Re: A Setback That I'm Not Sure How To Handle

Perfect. Time to get to work filing complaints. As you said calling them is basically useless and they werent really turthful about it. You got the ammo now. Start with the CFPB first. They are the watchdogs for us the consumers:

https://www.consumerfinance.gov/complaint/  (Upload all the e-mails)

https://www.bbb.org/consumer-complaints/file-a-complaint/get-started 

 





My posts are JMHO. I DO NOT claim to be a FICO expert. Just sharing my experiences from rebuild to recovery after BK DC. My siggy is not to brag at all. Just to show fellow members what can be accomplished when you do it right and play the FICO Credit Game.
Message 8 of 13
Established Contributor

Re: A Setback That I'm Not Sure How To Handle


@FireMedic1 wrote:

Perfect. Time to get to work filing complaints. As you said calling them is basically useless and they werent really turthful about it. You got the ammo now. Start with the CFPB first. They are the watchdogs for us the consumers:

https://www.consumerfinance.gov/complaint/  (Upload all the e-mails)

https://www.bbb.org/consumer-complaints/file-a-complaint/get-started 

 


Thanks, FireMedic1 for your help!  Smiley Happy They are gathering all of the documentation, and stated that they will be filing complaints within the next couple of hours. I'll post updates as they happen.

 

Also, will the email from the OC count as the dunning notice; or that will be sent by the CA itself?

Enjoying your freedom? Thank a servicemember and their family!

In the garden since 26 Jun 14...

I am digitaldiva's alter-ego


Message 9 of 13
Super Contributor

Re: A Setback That I'm Not Sure How To Handle

Contact a consumer protection attorney and sue for breach of contract and for damages from the collection agency reporting. While a payment arrangement for digital payment isn't a postdated check, I'm sure a good enough lawyer could make a valid argument that there's an FDCPA violation in there also because a postdated check has a certain time frame where it must be deposited (10 days). Good luck to them.







Message 10 of 13
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