We do not write about lawsuits and judgments because we focus on what the consumer can do to challenge the collection agency harassment and POSSIBLY avoid being sued. The collection harassment includes dunning notices and phone calls. Have debt collection lawsuits have increased in the courts and are the courts being used as a mere extension of a collection agency?
According to November 29, 2010 Wall Street Journal: The biggest explosion in lawsuits is coming NOT from the lenders but from firms who buy debt. The four largest publicly traded debt buyers – Encore, Asta Funding, Asset Acceptance Capital Corp. and Portfolio Recovery Associates – purchased $19.6 billion in distressed debt last year. They typically recover THREE TIMES what they spend buying (worthless) debt, according to the Association of Credit and Collection Professionals, a trade group. Our emphasis in red.
If this is not enough to have consumers shout a little louder to their Attorney General in their state to crack down on collection agencies – then what is? PURE PROFIT collections from a debt that is worthless! This industry has become more aggressive in the past six months since the last six months when we noticed the change.
You can stop debt collectors and challenge them. More than 450 buyers scooped up an estimated $100 billion in distressed loans last year, according to the latest estimates by Kaulkin Ginsberg, a debt collection industry advisor.
Portfolio Recovery Associates and Asset Acceptance are known for their 1099C scam. Don’t fall for it!
If you are contacted by Portfolio Recovery Associates or Asset Acceptance, contact us immediately.
NEXT LEVEL CREDIT
“Taking Your Credit to the Next Level”
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