Extortion Scam Related to Delinquent Payday Loans

Washington, D.C.
December 07, 2010  FBI National Press Office
(202) 324-3691

? filed under: Press Release

The Internet Crime Complaint Center has received many complaints from victims of payday loan telephone collection scams. Callers claim the victim is delinquent in a payday loan and must repay the loan to avoid legal consequences. The callers purport to be representatives of the FBI, Federal Legislative Department, various law firms, or other legitimate-sounding agencies. They claim to be collecting debts for companies such as United Cash Advance, U.S. Cash Advance, U.S. Cash Net, and other Internet check-cashing services.

According to complaints received from the public, the callers have accurate data about victims, including Social Security numbers, dates of birth, addresses, employer information, bank account numbers, and the names and telephone numbers of relatives and friends. How the fraudsters obtained the personal information varies, but in some cases victims have reported they completed online applications for other loans or credit cards before the calls started.

The fraudsters relentlessly call the victim?s home, cell phone, and place of employment. They refuse to provide any details about the alleged payday loans and become abusive when questioned. The callers have threatened victims with legal actions, arrests, and, in some cases, physical violence if they do not pay. In many cases, the callers harass victims? relatives, friends, and employers.

Please do file reports with the FBI, your state attorney general and Department Of Justice,FTC & FCC..

http://www.ic3.gov/default.aspx
http://www.fbi.gov/
https://www.ftccomplaintassistant.gov/#&panel1-1
https://esupport.fcc.gov/ccmsforms/form1088.action
http://www.consumerfinance.gov/complaint/

Also read up on the laws and your rights:

http://www.ftc.gov/os/statutes/fdcpajump.shtm
http://www.consumerfinance.gov/askcfpb/search ...
http://www.consumer.ftc.gov/articles/pdf-0096-fair-credit-reporting-act.pdf

And see:

http://800notes.com/forum/ta-86217073a9c8dad/ ... 077595690349410
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http://www.consumer.ftc.gov/articles/0258-fake-debt-collectors
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http://www.deadiversion.usdoj.gov/pubs/pressreleases/extortion_scam.htm
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http://800notes.com/arts/Jb8EW-eDhQA/harassin ... ou-need-to-know
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Section 809 of the FDCPA http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre27.pdf requires 3rd-party debt collectors to give debtors written notice of debt (the key word is *shall*) :
"§ 809. Validation of debts
(a) Within five days after the initial communication with a consumer in connection with the collection of any debt, a debt collector shall, unless the following information is contained in the initial communication or the consumer has paid the debt, send the consumer a written notice containing?
(1) the amount of the debt;
(2) the name of the creditor to whom the debt is owed;
(3) a statement that unless the consumer, within thirty days after receipt of the notice, disputes the validity of the debt, or any portion thereof, the debt will be assumed to be valid by the debt collector;
(4) a statement that if the consumer notifies the debt collector in writing within the thirty-day period that the debt, or any portion thereof, is disputed, the debt collector will obtain verification of the debt or a copy of a judgment against the consumer and a copy of such verification or judgment will be mailed to the consumer by the debt collector; and
(5) a statement that, upon the consumer?s written request within the thirty-day period, the debt collector will provide the consumer with the name and address of the original creditor, if different from the current creditor."
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A Collection Agent May Not?

Here are the top 11 actions prohibited by the The Fair Debt Collection Practices Act:

Misrepresent Him or Herself

  A debt collector may not misrepresent himself as an attorney or law enforcement officer.

Use the Telephone to Annoy or Harass

  A collection agent may not cause a telephone to ring or engage any person in telephone conversation repeatedly or continuously with an intent to annoy, abuse, or harass anyone at the called number.

Threaten Arrest or Lawsuit

  A collection agent may not threaten a consumer with arrest. It may not threaten legal action that is either not permitted or not actually contemplated. In other words, a the threat of a lawsuit may be an empty one.

Use Abusive or Threatening Language

  A debt collector may no use abusive or profane language in the course of communication related to the debt.

Publish a Bad Debt List

  Publishing the consumer?s name or address on a "bad debt" list is prohibited.

Contact By Embarrassing Media

  A debt collector may not communicate with a consumer by post card. It may not use any language or symbol, other than the debt collector?s address, on any envelope when communicating with a consumer by use of the mails or by telegram. A debt collector may use its business name if such name does not indicate it is in the debt collection business.

Contact a Consumer at Work

  A collection agent may not communicate with consumers at their place of employment after being told this is unacceptable or prohibited by the employer.

Seek Unjustifiable Amounts

  A debt collector may not demand any amounts not permitted under an applicable contract or as provided under law.

Contact a Consumer Represented by an Attorney

  A collection agent may not contact a consumer after it learns the consumer is represented by a lawyer.

Communicate With a Consumer After Receiving a Validation Request

  If a consumer sends a written §1692g response within 30 days, the collection agent may not communicate with the consumer until it mails the consumer the requested verification of original creditor's name and address.

Communicate With Third Parties

  A debt collector may not reveal or discuss the nature of a consumer?s debts with third parties other than the consumer?s spouse or attorney. A collection agent may contact neighbors or co-workers only to obtain location information. It may contact a third party again if it has reason to believe the information the party provided previously is false.

Bills.com FDCPA FAQ

Below are questions Bills.com readers ask frequently:

Can a Collection Agent Call My Cell Phone?

  Yes. However, if you tell the debt collector it may not use that number because it is a cell phone, it may not contact you again at that number.

I Keep Receiving Dozens of Calls From Collection Agents. Is That Legal?

  No. Unscrupulous collection agents will use "block parties" or "office parties" where they contact a consumer, multiple neighbors, or co-workers telling them they need to reach the consumer on an urgent matter. This is not permitted under the FDCPA.

A Collector Says I Will Be Arrested if I Do Not Pay

  This was a true statement before the US Civil War, but has not been true since. People may be arrested if an aggressive judge files a bench warrant for a person who does not appear at a hearing relating to a lawsuit regarding a debt. However, in that case, the offense is the failure to respond to a court order, and not the existence of the debt. As stated above, it is illegal under the FDCPA to threaten a consumer with arrest if the consumer does not pay the debt.

Saying they were a debt collector and I had a outstanding debt with them.

You certainly know about stealing.

Obviously you are a shill.

Obvious troll is obvious.

WHAT DO YOU EXPECT FROM TAKING MONEY THAT YOU NEVER PLANNED ON PAYING BACK,,,STEAL MUCH?

OBVIOUSLY YOU TOOK MONEY YOU PLANNED ON NEVER PAYING BACK,YOU I AM SORRY ARE THE WRONG OE HON.

MABY YOU PEOPLE SHOULD NOT TAKE PAYDAY LOANS YOU KNOW THAT YOU WILL NEVER PAY BACK. AND YOU ARE MAD IF YOU GET A CALL...WHAT YOU DO IS OK?????????????I THINK NOT FOOLS

They have called my cell numerous times but a few days ago I received the following email.
*****DO NOT REPLY TO THIS EMAIL - CALL THE PHONE NUMBER BELOW*****

05/14/12

Dear T*************

This letter is to inform you that your account is now in Advantage Cash Services-FC-Dep. Account # 0004176434 is currently in a collection status with a balance of $560.00

Our goal is to help you resolve this as soon as possible, so that further action is not taken on your account.

Please call (800)327-4115 immediately.

Thanks for being our customer,

Advantage Cash Services-FC-Dep

*****DO NOT REPLY TO THIS EMAIL - CALL THE ABOVE PHONE NUMBER*****

I get call at work and on cell all the time; a different person all the time.  Wayne, Chelsa and Tim.  They are soooooo rude.

I get calls from these people at least 2-3 times a day at work and on my cell.  If I don't answer the phone and somesone asks to take a message all they ask is to be put into voicemail.  When you say there is no way to do so, and you ask to take a message they give a different name each time and get smart and cocky sounding.

That sound like the same dirtbag that called me a couple weeks ago.I think he got a big surprise because the nastier he got, the nastier I got and then some. I showed him no mercy, not that the ripoff artist deserved any.

He did not have an accent either, but sounded like a hayseed from some backwater place. I told him to go home to his sister;

Haven't heard from him since. Guess he found someone he could not intimidate and couldn;t handle a dose of his own medicine.

I also rcvd a call at my job.  I do not even work in the office that they called,  stating I have filled out an application and they are not sure how to process it.  I have not filled out any applications and I get these phone calls all the time.  They usually have a heavy accent but not this one her name was Teea Hutson.  I called the number back and a man answered and when I asked to speak to her he hung up on me.  I am not going to give in to these stupid people.  I am sure if I owed a debt I would be receiving information via cert. mail.  I am embarrassed that I have became a victim of this scam.

Got a message left at work from "Katy".  When I called back, it was a guy on the phone who said I couldn't talk to "Katy", but I should talk to him.

He claimed I owed money on a payday loan and said the company was Advantage Cash, and I let him know I have never had one.  He told me that I did have one and they sent $300 to me.  I asked how this money was received, and he said "to your bank account".  I told him - I don't even have a bank account!  I am a cash only person, that way I am never in debt to ANYONE.  He told me I would have to pay him, because he wouldn't just "make it up".  

I told him to mail me verification of a debt, and he said he didn't have to.  I then told him that if he doesn't send proof, they will get nothing from me & my employer doesn't allow personal calls at work, so do not call again.  He said he will keep calling every day at my job if he wants.  I then told him under the FDCPA that is illegal; his response was "F*** the FDCPA, I do what I want!"  He then told me that if I knew the regulations of the FDCPA, I must be "a career debt criminal".  I let him know that I am not, but rather a law student that has done her homework.  He then told me, "I promise you or your boss will hear from me every day at this work number until you pay."  He then called me a profane name and hung up.

By the way, this guy never gave me his name and did NOT have an accent...so this is a new one on me!  Usually it is those middle-eastern sounding people trying to scam, but this one sounded very American with no accent whatsoever.  Maybe they are getting better at this scam...

anyone had calls from this number?

A Tom left a message with my work supervisor said he needed to update my status profile.  Said he was from ACS