Product: Debt collection

To Whom it May Concern, I am writing this to file a formal complaint against a creditor and debt servicer for deceptive collection practices under the Fair Debt Collections Practices Act ( FDCPA ). I wish to file this complaint against the original creditor, XXXX XXXX XXXX XXXX XXXX XXXX XXXX, as well as its original servicer, XXXX XXXX XXXX XXXX, and the current collection agency assigned to my account, XXXX XXXX XXXX. I have been sent to collections for non-payment of an installment contract-for-services ; however, this debt is not valid and the creditor and assignees have not been cooperative in removing a forced collection that has been detrimental to my personal credit report. 

On XX/XX/XXXX, I signed up for coaching services with XXXX XXXX  XXXX XXXX XXXX XXXX XXXX. This agreement was entered orally by phone only. It was a XXXX contract at $ XXXX with a first payment due XX/XX/XXXX by XXXX draft which was set up using my debit card. This was a service contract for regular daily coaching calls and the ability to get instructions on signing up for additional income streams. I did attempt to use this service maybe a dozen times, and XX/XX/XXXX was the last effort I made in using their service. I gained zero value from XXXX XXXX XXXX XXXX XXXX XXXX XXXX. I was extremely disappointed in the service actually provided versus what was sold to me ; however, this is not the concern I bring forward today. 

The auto-payments on the contract were made until XX/XX/XXXX. Everyone is aware of what transpired in XX/XX/XXXX. I was not spending any time thinking about this contract I had signed up for during those early chaotic days. In XX/XX/XXXX, my debit card had expired and was replaced per standard banking procedure. It had not occurred to me this obligation was linked to the same card that had expired. Shortly after this, I began receiving past-due notices on my account. 

On XX/XX/XXXX, I contacted Universal Account Services to resolve the past due balance. I was very explicit in my call that I was unhappy with the service and I wished to cancel the contract. I offered to negotiate a settlement on the full contract in order to terminate any further obligation. The representative informed me there was an early termination clause that allowed me to buy-out the contract for {$500.00}. I eagerly accepted and paid this money, plus an additional {$11.00} fee, on that same phone call ( {$510.00} paid Confirmation # XXXX ). I had believed this was the end of my dealings with either company. 

In XX/XX/XXXX, I began receiving additional past-due notices on this account. I initially ignored them thinking the early termination had not been processed. When the notices continued, I called XXXX XXXX XXXX. I was told the early termination was not accepted by the client as the option was only available for the first six months of the contract. My {$500.00} was applied to my previous past-due balance and I was being billed for the remainder of the contract. At this time, I was not even aware I had a contract. I had not received anything in writing as it was all done verbally. I asked for a copy of the contract and was informed it was available thru my online account. I had not been aware I had an online account either. This may have been discussed in my initial sales call ; however, I do not recall this as part of the conversation. I advised the representative on this phone call that they had offered this early termination in good faith, on a recorded line, and it should be honored. I was told I needed to take my complaint directly to XXXX XXXX XXXX XXXX XXXX XXXX XXXX. I acquired a phone number from them at that time. I did make several attempts to call the number provided but it was apparent I was calling a personal cell number and I never received a response to my detailed messages. It was during this time I did create an online account and downloaded a copy of my contract. 

I will note at this time, I had not been active in the XXXX XXXX XXXX since XXXX of XXXX. My real estate license expired in XX/XX/XXXX. I had zero income from XX/XX/XXXX thru the rest of the calendar year as I had exited the industry when the early pandemic decimated my business. Paying that {$500.00} fee to end the contract came at a great personal hardship to me as I had no income. I was also dealing with medical issues and was not able to look for work at the time. After my troubles in the Fall of XXXX trying to address this account, I was done dealing with either company. I had no intention of paying an additional dollar to them until my dispute was acknowledged and addressed satisfactorily. I had no ability to pay the monthly bill with no income and the service I was being charged for was no longer relevant to me. This was my stance until XXXX of XXXX when I received a collection notice from XXXX XXXX XXXX. Near the same time, I received notification of the collection posting to XXXX on my credit bureau report. This same month, I had started a brand new job and was not able to address the new collection immediately due to time constraints with new employment. I contacted XXXX in XX/XX/XXXX. At that stage, I even offered to pay additional money ( I believe it was {$500.00}, I do not have written record ) if, in exchange, this collection was removed from my credit report. My offer was refused. 

I believe my offer at that time was more than generous considering I viewed this collection to be entirely invalid. I maintained the stance that my early-termination should have been honored initially. The offer was made to me in response to my direct request to settle the contract. I believe the representative at that time acted deceptively to collect monies from me in their debt collection efforts. Whether the deception was intentional or otherwise is not relevant. The representative was acting on behalf of the organization. I was offered to buy out my contract only to have the payment applied elsewhere against my wishes and intent. I view the termination offer made to me as a verbal contract that was breeched by XXXX XXXX XXXX. 

In summary, I am denying my obligation for this debt ; I do not owe this money. While my records may not be entirely complete, most of the information in this letter can be verified through the recorded phone calls from the servicer. I am filing a written complaint against XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX XXXX, and XXXX XXXX for their deceptive collection practices in offering an early termination buy-out to me and then applying the termination fee to past-due payments. This is in violation of the Fair Debt Collection Practices Act. It is my ask that this contract termination be honored retroactively, with no further obligation, and the prompt removal of the reported collection from my credit report.