Weird Collections Call -- Don't Know How to Proceed

[Anonymous]

Hello, everyone!

I've been a longtime lurker and this forum has helped me immensely as I improved my credit. However, today I got a call that completely stumped me. A collections agency called and stated that they had a bill in their office with my name. They were able to verify current and past address, and at least the last digits of my SSN. They claimed I had taken out a payday loan in 2013, which I do not recall. The tricky part is at the time, I had some pretty severe health issues that essentially left me with limited memory of that part of my life. I have always been very against these types of loans, but I also had healthcare costs and limited income so I can't completely rule out having taken one out. Obviously ID theft is also a possibility as well.

The interesting part is the collection agency claimed that "the payday company sat on the debt until 2019 before sending it to us." When I asked when this account went into default, she answered that the account didn't actually go into default until 2019 when it was sent to them. I asked several ways, and always received an answer similar to this. They sent me a debt verification via email, saying the original creditor was "Personal Installment Loans Inc," which I can't find any contact information for online. When I asked who this was with, they said Personal Installment Loans Inc was a parent company, so they don't know if the original loan was a Cashtime or whatever other businesses they listed that I don't recall the exact name of.

I never caught the name of the collection agency, and the automated receptionist simply said "Please hold while we connect you with the account services department." The debt verification email came encrypted via "verifiedocs.com," and the body of the message does not list the name of the collection agency. The agency claims they sent a letter to a former address 45 days ago. Googling the phone number provides nothing.

I am fully stumped. Can an original creditor "sit on" a debt for 6+ years before claiming it is in default? I'm sure SOL is well passed on this, so they couldn't sue me, but I am concerned about it ending up on my credit if they are claiming DOFD was in 2019, which would put it within the 7 year limit. Without being able to contact the OC and see what info they have, I really can't tell if this is an elaborate scam or what.

Thanks for any help you can provide!

Edit: Some additional info

- Verifiedocs.com has a private domain, so WHOIS provided no details. One link was broken on their webpage, which directed to a Wordpress login under their domain. I find this highly suspision that an email encryption company would use a CMS that leaks like a sieve.

- The document showed a different phone number than the one I called. It, too, has no results on Google.

- Found a BIG red flag: as I was inspecting the source code of the verifiedocs.com homepage, the images were uploaded in March of 2021. The domain was registered 2021-03-04 

- No company information found on D&B database

[Cowboys4Life]

Elaborate SCAM.

First red flag:  you cannot track them down at all via multiple methods.  Most likely they are using untraceable cell phones with spoofed numbers and mailbox drop as mailing address/location.

Second red flag:  claiming the default is 6 years after the alleged loan.  It does not matter one iota when they got the account if it is real.  ANYTHING defaulted on in 2013 is well outside the SOL and legally they cannot report it or sue.  Well they could sue but you have a gold plated defense unless you are in one of a few states that have a 10 year SOL.

Third red flag:  no clear business name(s).

DO NOT pay this.  Warn friends, family, employers you have been targeted by scammers.  

[Anonymous]

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@Cowboys4Life wrote:

Elaborate SCAM.

First red flag:  you cannot track them down at all via multiple methods.  Most likely they are using untraceable cell phones with spoofed numbers and mailbox drop as mailing address/location.

Second red flag:  claiming the default is 6 years after the alleged loan.  It does not matter one iota when they got the account if it is real.  ANYTHING defaulted on in 2013 is well outside the SOL and legally they cannot report it or sue.  Well they could sue but you have a gold plated defense unless you are in one of a few states that have a 10 year SOL.

Third red flag:  no clear business name(s).

DO NOT pay this.  Warn friends, family, employers you have been targeted by scammers.  

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That's just it -- there is zero contact information besides the phone numbers. Now that you mentioned this, I don't even have a physical address for the collection company, much less the OC. This is what really points to a scam for me, but they are doing an exceptionally good job at it. If it werent for the information vacuum, I'd have no reason not to suspect it at every point. They called, left an automated voicemail. I called the number back, which reached an autoattendant before talking to a live person. Encrypted emails at an actual domain, etc. I do side with you, for sure, as far as scam red flags.

The confusing part of the default was, essentially, the CA claimed the OC did not considered the account delinquent/defaulted until 2019. I'm assuming it was unpaid the whole time since she used the words "sat on it," but without an original contract and account records to comb through, I have no way of figuring out if this was paid consistently by an unknown third party who stopped paying in 2019, or if it was always unpaid. Or if an OC could even consider an unpaid account as not in default for 6 years in order to extend collection ability. If i knew DOFD was 7+ years ago, I'd have told them to go pound sand like another zombie debt I have.

[Nikita2008]

I got one of these calls a few years back. They seemed to have some of my personal info as well. They knew my name, last 4 etc. Where I got freaked out was when they spouted off year, make, model and registration of my car.

I never took out any payday loans, and I'm sure of it. They were calling me in 2014-2016, about something allegedly taken out in 2004-2006. They had little info about the supposed original creditor etc. I was monitoring my credit and these accounts were not on my reports either.

I pretty much told them to fry ice. They said they were having me arrested immediately. Ok ( I laugh at them).

I contacted FTC, and AG. I was told to report it to police, as potential identity theft. I did, the police actually called the number they gave me. As soon as they heard officer so and so, badge number they hung up.

Police said that much of that info is publically available. They traced one to a boiler room operation in Miami for scamming an elderly man.

In short SCAM, SCAM, SCAM pay them nothing. Monitor your credit.

[Horseshoez]

@Nikita2008, well said!

I can't tell you the number of times I've gotten a call (or voice mail) saying if I didn't respond to the call or pay some bogus charge, they were going to have me arrested, I mean seriously, by now I'd be spending an eternity in prison if they were telling me the truth. 

[Nikita2008]

Lol, I've gotten the call from the IRS and the Social Security Administration lol. I laugh at them all.

I also get weekly calls about my Chase card ( I don't have one). 

The Payday loan people seemed to have too much personal information.

[Cowboys4Life]

LMAO I got one of these calls last Friday.  When they threatened to come by my house or place of employment I told the chick to please do and bring donuts and I would put on a pot of coffee.  She got irate and nasty (big surprise) and stated that I was not taking this seriously I could go to prison.  LMAO.  I informed her of course I was not taking her seriously anyone who has developed beyond sperm and egg knows she is a scam artist and it would be foolish to pay her.  [insert profanity from her here] at which point I told her to try someone else or come by my house so I could teach her a lesson.  CLICK.