Collection agency cannot validate debt what happens next

Debt validation is an important part of dealing with debt collectors under the FDCPA (Fair Debt Collection Practices Act).

So you send a validation notice.

Collector cannot or will not validate -- what are the options after this?

This is what we talk about in the video.

Basically, the collector can do nothing, can validate, or can get rid of the debt by sending it somewhere else.

Be sure and leave comments below thanks!

John

John G. Watts
Watts & Herring, LLC
Representing consumers across Alabama
205-879-2447

"No representation is made that the quality of the legal services to be performed is greater than the quality of legal services performed by other lawyers."

[andonly_j-rod]

just wanna let yal know. i'm 26 in construction trade and i won in under 10 minutes. do not settle. they will come at you with a crap deal. 25$ a month on $1900 😂 i said dang how old u reckon i'll be when that's done and over with. but yea they'll slap 2-3 billing statements on the table. ( mine had 2 different addresses!)😂 and could not produce the original contract. i felt like the man. thanks john. youre the TRUTH.

[cosmicpowwow]

so when you use the word "collect"...does that mean actively sending you letters, calling you, sending emails.... does that not constitute actively reporting on the credit report. to me, they are saying I owe them the money and telling everyone I owe them the money so in essence, they are letting me know I owe money..what if the debt is really not yours and they keep the debt without collecting. it affects your financial decisions I they park the debt there and not collect per se right?

[ashlandanimaland]

Interesting i thought they had no legal obligation to respond to the validation letters

[sallyjames]

Does credit bureau reporting constitute collection activity?

[openyoureyes]

Can you ask for a validation letter even after they are suing you?

[jayvion]

I sent a vod and they replied with account statements, what do I do next?

[coronalives]

Hi John,
I sent my validation letter, certified mail, it was received and acknowledged by the debt collector. Now I received an email from them asking me to send them copies of checks, invoices and contract that I have with their client. They insist on getting this information from me before conducting an investigation. Isn't this what they are suppose to do for me?

[sweet_fauxpas]

What if you get a letter back that says they can't respond because they're unable to identify the account? I can't find any info on this response

[carribbeannatural]

There are companies that are paid to validate, correct? people don’t know you can opt out…. Therefore, if they can’t validate the debt they get rid of it. Is this true?

[Not_Your_Ordinary_Family]

I sent a verification letter for 3 accounts and then they sent back a letter saying they were gonna close 2 of those accounts and that's all they said .. they didnt verify or anything what do i do next? Bc a closed account still affects your score right?

[autumnathree]

To Whom It May Concern,
This letter is being sent to you in response to notices sent to me from your company. Please be advised that this is not a refusal to pay, but a notice sent pursuant to the Fair Debt Collection Practices Act, 15 USC 1692g Sec. 809 (b) that your claim is disputed and validation is requested. This is NOT a request for “verification” or proof of my mailing address, but a request for VALIDATION made pursuant to the above-named Title and Section. Now, I respectfully request that your office(s) provide me with competent evidence that I have any legal obligation to pay you.

Please provide me with the following:
1. Please validate a debt as allowed to the debtor under 15 USC 1692 (g) Section 809 (b);
2. Please provide a valid basis for the debt, such as the original contract/agreement, the promissory note between Consumer and original creditor, bearing Consumer wet-ink signature;
3. Please provide proof when the original creditor claims this debt became due and when it became delinquent;
4. Please provide a valid basis for the debt, such as the original contract/agreement, the promissory note between Consumer and Collector, bearing Consumer wet-ink signature;
5. Please provide a copy of the last billing statement sent to Consumer by the original creditor;
6. Please provide late payment notice and/or account closing notice provided by the original creditor;
7. Please provide me a verified (sworn to by Affidavit) copy of the contract your firm has with the original creditor authorizing your firm to engage in collection activities on their behalf against the above-alleged account;
8. Please provide me a verified certificate of authority, and/or proof that your company are licensed to collect in my State;
9. Please provide general ledger statement showing the full accounting of the alleged obligation you are attempting to collect, accompanied by a commercial affidavit by the original custodian of the books and records;
10. Please provide the account and general ledger statement showing the full accounting of the alleged obligation that you are now attempting to collect. Such as FR 2046 balance sheet (OMB #'s 2046, 2049, 2099), 1099 OID report, S-3/A registration statement, 424-B5 prospectus, RC-S, and RC-B call schedules;
11. Please provide verification and/or copy of any judgment if applicable;
12. Please provide proof of any interest, fees or other charges expressly authorized by the agreement;
13. Please provide a certified copy of all Public Hazard Bond(s) and Liability Insurance Policy(s) and accounting demonstrating the financial capability of Collector;
14. Please provide proof that the alleged debt has not already been satisfied by any means available including but not limited to, a Tax write-off, an Insurance Claim or selling the purported debt to third party debt collector;
15. Please provide a Statute of Limitations expressly authorized by the agreement;
16. Finally, please provide an affidavit signed under Penalty of Perjury that Collector or any agent(s)acting on their behalf has not violated any portion of the Fair Debt Collection Practice Act.

At this time, I also inform you that reporting invalidated information to major credit bureaus (Experian, Equifax, TransUnion or any third party) might constitute defamation of character, as the negative marks on my credit report harm my credit and prevent me from enjoying all the benefits of good credit. Also, this action might constitute fraud under both Federal and State Laws. Due to this fact, if any negative mark is found on any of my credit reports by your company or the company that you represent, I will not hesitate to bring legal action against you for the following:
⦁ Violation of the Fair Credit Reporting Act;
⦁ Violation of the Fair Debt Collection Practices Act;
⦁ Violation of the Consumer Collection Practices Act in my State;
⦁ Defamation of Character.
If your offices can provide proper documentation as requested in the following Declaration, I will require at least 30 days to investigate this information and during such time all collection activity must cease and desist.
Also, during this validation period, if any action is taken which could be considered detrimental to any of my credit reports, I will consult with my legal counsel for the suit. This includes listing any information with a credit reporting repository that could be inaccurate or invalidated or verifying an account as accurate, when in fact there is no provided proof that it is accurate.
If your company fails to respond to this validation request within 30 days from the date of your receipt, all references to this account must be deleted and completely removed from your firm records and my credit report if reported and a copy of such deletion (to any/all of the major credit reporting bureaus: Equifax, Experian, TransUnion or third party) request shall be sent to me immediately.
I would also like to request, in writing, that no telephone contact be made by your company to my home or my place of employment. If your offices attempt telephone communication with me, including but not limited to computer-generated calls and calls or correspondence sent to or with any third parties, it will be considered harassment and I will have no choice but to file suit. All future communications with me MUST be done in writing and sent to the address noted in this letter by United States Postal Service.
It would be advisable that you assure your records are in order before I am forced to take legal action against your company. This is an attempt to correct your records, any information obtained shall be used for that purpose.
I am waiting for your immediate action to my requests.
Best Regards,

[fdr]

I was contacted by a medical collecting agency asking me to pay a medical debt. When I requested them to validate the debt, they just kept sending me the medical bill put up by the physician’s office. This medical bill is not a proof that I owe the debt and I have already disputed it with the physician’s office before. I have sent them 2 letters with very specific requests to prove that I am liable for the medical charges on the bill. Yet they just ignore my letters and now they say they have reported the debt to the credit bureaus. What legal options do I have now?

[burninglight]

what happens if i asked for a signed contract with my signature and they sent billing statement?

[phillipromain]

Thanks for ALL your help.
My SITUATION is I responded within 30 days with a debt validation letter. 3rd party debt collector. They responded back with the none of the original documents. All in house proof of the debt, was provided, but none from the original creditor. I did ask for specific proof of the debt, but they responded in general information, all in house documents for proof. It hasn't been reported to any credit agencies. I'm in the middle of responding with a 2nd letter asking to show proof of any and ALL orginal contract are documents, and other item of proof to verification of the debts If they DON'T show proof of any orginal proof. what are my options? From them trying to collect on this debt

[blkmagneto]

My debt validation letter was returned to me (the sender).... Was delivered to collections P.O. box, Sat for 15 days and returned to me...
Is this considered proof of no response after the 30day period? Thanks

[dhart]

What happens if I am never served but was notified by server that left a notice on door. And server will not answer call to come back to serve paperwork.

[EasyBakeBBQ]

Caled Collection agency and informed them that i disputed the debt and no longer wanted to be contacted via phone. was told that they will send me an invoice but they only communicate via phone. and that I could not mail them? How do you deal with that?

[qmccall]

What Exactly is validating the debt under the Fdcpa? Are Account statements considered validation?

[michaelvillanueva]

Hi, I think I messed up, . I was rushing and I didn't sign my debt validation letters? Does that matter or it is just a request for information and is not for contract purposes?

[jean-michelargentin]

That’s was very clear and to the point my friend.
Thank You