I would bet money that 99% of the time calls to collect a past due payday loan are a scam.  Shocking, right?  (sarcasm font off)

Not one day goes by that a client, former client, or someone on www.avvo.com asks about a debt collector threatening them with arrest or someone waiting around the block to serve a lawsuit.

More often than on the person’s cell phone or home phone, the collector calls at work.  This is simply a scare tactic.

See the email below a client received last week.  I have protected identities by blocking certain portions out with xxxxx…

From: xxxx xxx
To: undisclosed-recipients:;
Sent: Tue, Jan 13, 2015 1:00 pm
Subject: Notice of appearance in court

CASEFILE#: xxxxxxxx

LOAN INFORMATION

DUE AMOUNT-$1875.00

LOAN COMPANY- xxxxxxx

You are going to be legally prosecuted in the Court House within couple of days.. Your SSN is put on hold by US Government, so before something goes wrong we would like to notify you about this matter. It seems apparent that you have chosen to ignore all our efforts to contact you in order to resolve your debt with Payday Services. At this point you have made your intentions clear and leave us no choice but to protect our interest in this matter.?

UNITED LEGAL INVESTIGATION BUREAU HAS STATED 4 SERIOUS ALLEGATIONS

AGAINST YOU UNDER THE DEBT COLLECTION PRACTICES Act, SECTION 349B AND THEY ARE:

(1) VIOLATION OF FEDERAL BANKING REGULATION

(2) COLLATERAL CHECK FRAUD

(3) THEFT BY DECEPTION

(4) AND THE BIGGEST ONE IS E.F.T. THAT IS ELECTRONIC FUND TRANSFER

Now, this means few things for you. If you are under any state probation or payroll we need you to inform your superior or manager what you have done in the past and what would be the consequences once the case has been downloaded and executed in your name. If we do not hear from you within 24 hours of the date on this letter, we will be compelled to seek legal representation from our in-house attorney. We reserve the right to commence litigation for intent to commit wire fraud under the pretense of refusing to repay a debt committed to, by use of the internet. In addition we reserve the right to seek recovery for the balance due, as well as legal fees and any court cost incurred.

WE HAVE ALL THE RIGHTS RESERVED TO INFORM TO FBI, FTC, YOUR EMPLOYMENT AND BANK ABOUT FRAUD.

And once you found guilty into the court house than you have to bear the entire cost for this law suite $xxxx.xx which is excluding loan amount, attorney’s fees, and the interest charges. You have the right to hire an attorney. If you don’t have one or if you can’t afford then one will be appointed to you. We believe that this was not your intent and that these steps are unnecessary. We merely require you to contact our recovery asset location department at +1-(xxx)-xxx-xxxx between 9.30 to 6.30 (EST).

IF YOU HAVE ANY QUESTION OR QUERIES PLEASE FEEL FREE TO CALL US BETWEEN WORKING HOURS ON : +1-(xxx)-xxx-xxxx

xxxxxxxx

LEGAL GROUP OF ATTORNEYS

+1-(xxx)-xxx-xxxx

This is clearly not from a reputable company or collector.  There are too many violations of consumer protection laws to list in this article.  There are also so many spelling, grammar, and syntax problems, that it probably did not even originate in this country.

Do not fall prey to these scammers.  There is no proof they are actually collecting for the original creditor or payday loan company.  You may not even owe this debt anymore.  In the case of some of my clients, they have already discharged the debt in bankruptcy, so they definitely do not owe the debt.

What can you do?  Usually nothing.  Yes, they are violating the law, many laws.  But the ability collect penalties against them is zero, since they are hiding overseas almost all of the time.

Here is what I suggested to one client who was being threatened with arrest, loss of driver’s license, and a lawsuit waiting to be served:

Go ahead, sue me.  She told the scammer that over the phone.  Their response:  silence.

They were at a loss as to what to do when someone challenged their threats.

Should you do this to every debt collector who calls?  Absolutely not.  There are legitimate debt collectors who collect legitimate debts.  So you don’t want to play games on a debt you actually owe and can be sued upon.

You should know when you are being bluffed.  Bluffing back may end the calls and your headaches.

Our office would be glad to help you with harassing phone calls.

Call us at (407) 749-0080 or contact us now.