Officials with the Federal Trade Commission (FTC) have shut down a debt collection company operating in California due to the organization illegally collecting payments from consumers. The Los Angeles Times reported that collection agents from the company posed as process servers when contacting debtors and used false threats of lawsuits to obtain payments. In taking action, members of the FTC stated they had put a stop to an “elaborate debt collection scheme.” According to the agency, four people operating under seven different company names with locations throughout Riverside and Orange Counties, consistently switched names to “avoid law enforcement scrutiny.”
Among the illegal activities engaged in by the company, collection agents falsely threatened lawsuits against consumers, contacted family members, friends, and coworkers of debtors, did not inform debtors of their right to dispute or verify debts, did not disclose the names of the companies they were calling for or properly state they were calling to collect a debt, all in violation of the Fair Debt Collection Practices Act. If you have been targeted by unfair debt collection practices, get in touch with consumer rights attorney Howard D. Silver. Through the help of the Law Offices of Howard D. Silver, he can help you stand up and begin to obtain damages against collection companies. To learn more, call (855) 341-2611.