Consumer complaint received 2023-10-11
Company: Levy & Associates, LLC
State: VA
Product: Debt collection
Sub-product: Credit card debt
Issue: Took or threatened to take negative or legal action
Sub-issue: Seized or attempted to seize your property

Complaint:
After finding a XXXX in my XXXX and undergoing XXXX in XXXX, I had to prioritize paying medical debt and in XXXX my small business suffered credit card debt default. I had to work for years to to settle with each debtor as I was able to earn money again after going back to my business and regaining my health. ***************** Levy & Associates contacted me on XX/XX/XXXX to collect on a XXXX credit card I used for my business. I spoke to XXXX, an account manager, and we negotiated a settlement offer amount of a one-time {$720.00} payment, at which point XXXX said she would have to confirm it with her supervisor and would get back in touch with me. I offered to bring them a check or give her my credit card, as they'd already sent me a Warrant In Debt and I told her I very much wanted to settle outside of court. ***************** Unfortunately, XXXX never called me back, nor did anyone return my multiple phone calls, voicemails, emails, and messages that I sent all through XXXX, when the firm seemed to go totally dark. Every XXXX review reflects this exact experience for consumers who are saving diligently and desperately trying to settle years-old debts. No one from the District Court contacted me about a case or judgement either, as cases weren't being taken due to COVID and a backlog of cases. ***************** Fast forward THREE YEARS to yesterday, XX/XX/XXXX when my wages were garnished for {$5000.00} by the District Court, wiping out everything in my bank account and dangerously messing with my ability to easily feed my XXXX XXXX  children and make mortgage payments. Every charge that now clears my account via XXXX is incurring a {$34.00} insufficient funds fee. ***************** The amount I was garnished reflects the full principal of {$3500.00} plus more than {$1500.00} in fees and interest - more than SEVEN TIMES the amount of the original settlement I was in the middle of negotiating with the account manager XXXX at Levy & Associates. This left me with no doubt that lack of communication became a reliable way to do conduct business in an effort to obtain more profit for their firm by the unfair seizure of American consumers ' assets, instead of doing the right thing and negotiating a fair settlement agreement. ***************** I did not receive any notification this was happening until I received a Garnishment Summons in the mail only the DAY BEFORE the bank garnished my funds. The included summons was signed XX/XX/XXXX, weeks before I received communication in the mail from Levy & Associates. There was literally no time to plan for having XXXX  of dollars removed from my checking in one swipe. ***************** This firms avoidance of calls, messages, and e-mails, unethical lack of timeliness, lack of follow-up around legal issues to consumers, and a seizure of assets after a settlement agreement was discussed with an account manager seems unconscionable. XXXX reviews of this firm again and again reflect these exact issues occurring for many, many other consumers. ***************** Life happens. Debt happens. Health scares happen. Everyone has to follow the rules or pay the costs. I have paid a heavy, years-long cost for having to prioritize medical bills over credit card bills -- a process that has trashed my credit and my mental health. Levy & Associates doesn't follow the rules and should have to pay the cost, just as individuals do. *****************

Company response to consumer: Closed with explanation