Consumer complaint received 2021-02-02
Company: Immediate Credit Recovery
State: MD
Product: Debt collection
Sub-product: Federal student loan debt
Issue: Written notification about debt
Sub-issue: Notification didn't disclose it was an attempt to collect a debt

Complaint:
After receiving a letter from the Department of Education, XXXX XXXX XXXX in regards to the extension of your student loan flexibilities. On XX/XX/XXXX and XX/XX/XXXX, I requested for a validation of debt in pursuant to 15 U.S.C. 1692 ( g ). Because, I never received any initial written documentation or notification that disclose it was an attempt to collect a debt. I received two letters from a debt collection agency name XXXX XXXX XXXX contracted by the Department of Education on XX/XX/XXXX and XX/XX/XXXX in regard to an alleged account # XXXX concerning student loans declared in default of {$67000.00}. According to the two letters I received from the XXXX XXXX XXXX this balance includes {$38000.00} in unpaid principal and {$18000.00} in accrued interest. For this reason, the account was transferred to another third-party debt collection agency name Immediate Credit Recovery , Inc., which is entitled by its contract to a commission, {$10000.00} for collection costs, and additional finance charges. 

Along with the two letters were the alleged copies of the master promissory notes that did not disclose it was an attempt to collect a debt. It did not provide key details about the loan amount ( violation under 15 U.S.C. 1605 determination of finance charge ), finance charges including interest rate, loan fee or similar charge, other charge or any guarantee, fees paid directly to the schools, any amount payable under other systems or additional charges. These promissory notes alleged that I was the borrower, and it did not state if a consumer would owe a debt. Again, these promissory notes do not disclose any adequate amount of the finance charge, the amount to be financed, the total of payments, the number or amount of payments. Whereas none of the promissory notes do not state that such consumer owes any debt in pursuant to 15 U.S.C. 1692 ( b ). Any form of communication received through this correspondence concerning this student loan account with the U.S. Department of Education, Federal Student Aid do not indicate that the debt collector is in the debt collection business or that the communication relates to the collection of a debt. This unfair or deceptive act or practice committed by the assigned college or university which failure to disclose the actual cost on the promissory notes and failure to disclose in the initial written communication with the consumer that the debt collector is attempting to collect a debt and that any information obtained will be used for that purpose. These promissory notes provided were documents authorized, issued, or approved by the Department of Education use for deceptive means to collect or attempt to collect any debt. These letters alleged that I owe multiple debts XXXX XXXX # XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, XXXX, and XXXX ) and threaten to take negative or legal action. Again, the master promissory note do not include any loan amount, or finance charges that were included. In pursuant to 15 U.S.C. 1692j-Furnishing certain deceptive forms, it is unlawful to design, compile, and furnish any form knowing that such form would be used to create the false belief in a consumer that a person other than the creditor such as the consumer is participating in the collection of or in an attempt to collect a debt. 

Therefore, this complaint is intended to protect my federally consumers rights and to ensure that it protect the consumer against inaccurate and unfair practices, such as cease unfair or deceptive acts or practices involving student loans and financial aid. In pursuant to violations under 15. U.S.C. 1605 the determination of finance charge shall not include improper fees and amounts, accrued interests, late charges, unpaid principal balance, loan fees or similar charges and amounts imposed by third parties collecting additional finance charges. I never received any loans ; I entered an open-end consumer credit transaction which I extended as a natural person in pursuant to 15. U. S. C. 1602 ( j ). On top of all the false, misleading, and deceptive acts, the Department of Education disclosed nonpublic personal information to affiliated or nonaffiliated third parties ( XXXX XXXX XXXX and Immediate Credit Recovery , Inc. ) repeatedly and violated my consumers rights to privacy under 15 U.S.C. 6802 the obligations with respect to disclosures of personal information. In both letters received from thXXXX XXXX XXXX XXXX, they are urging me to contact the Immediate Credit Recovery , Inc., for repayment options for the alleged balances transferred to this debt collection agency. I have no idea who either of these debt collection agencies are after or before the account was transferred to them, nor do I have any affiliation with these third-party agencies, and I did not enter any consumer credit transaction with these debt collection agencies ( XXXX XXXX XXXX nor Immediate XXXX XXXX XXXX XXXX. or a like ). Again, I did not enter a contract with Immediate Credit Recovery , Inc. Therefore, a third-party debt collection agency who purchase defaulted loans can not lie about improper amounts that consist of finance charges, accrued interests and additional collection fees that I do not owe. 

On XX/XX/XXXX I sent a cease-and-desist letter to Immediate Credit Recovery , Inc., as I was instructed to by the other debt collection agency name Default Resolution. I demanded for Immediate Credit Recovery , Inc., and all affiliated financial institution to cease all forms of communication with me through any and all mediums, relating to the federal financing, capitalized interest rates or accrued interest, increasing unpaid principal balances, collection fees, loan fees, commission charge or other system or additional finance charges and account number XXXX. Violation under 15 U.S.C. 1692 ( e ) ( 1 ) false representation or implication that debt collector is vouched for, bonded by, or affiliated with the United States or any State. Violation under 15 U.S.C. 15 U.S.C. 1692 ( e ) ( 2 ) the character, amount, or legal status of any debt or finance charge, amount financed and displaying a positive balance. Violation under 15 U.S.C. 15 U.S.C. 1692 ( e ) ( 11 ) the failure to disclose in the initial written communication with the consumer that this is an attempt to collect a debt. Violation under 15 U.S.C. 1692 ( e ) ( 14 ) the use of any business, company, or organization name other than the true name of the debt collectors business, company, or organization. The Department provided more than one debt collector names who was hired to collect this alleged debt. Violation under 15 U.S.C. 1692 ( f ) a debt collector may not use unfair or unconscionable means to collect or attempt to collect any debt. Violation under 15 U.S.C. 1692 ( f ) ( 1 ) the collect of any amount ( including any interest, fee, charge, or expense incidental to the principal obligation ) unless such amount is expressly authorized by the agreement creating the debt or permitted by law. Violation under 15 U.S.C. validation of debt- the promissory notes do not provide the amount of the debt, a copy of the judgement against the consumer, and these debt collecting agencies refuse to provide all pertinent documents. Violation under 15 U.S.C. 1692i legal action by debt collectors. In pursuant to the federal Fair Debt and Collection Practices Act 15 U.S.C. 1692 ( FDCPA ) Immediate Credit Recovery, Inc and a like shall refrain from attempting to collect on these defaulted school loans and violating my consumers rights. Violation under 15 U.S.C. 1692 ( d ) ( 1 ) can not threaten to ruin my reputation by reporting to consumer reporting agencies improper finance charges, accrued interests and amount to collect additional fees. Violation under 15 U.S.C. 1692 ( d ) A debt collector may not engage in any conduct the natural consequence of which is to harass, oppress, or abuse any person in connection with the collection of a debt. These are a few out of the many violations under 15 U.S.C. 1692 Chapter 1692.

Along with the cease and desist I sent exhibits for 198 Federally Protected Consumer Rights Violation Under 15 U.S.C. Chapter 41 ( FDCPA, FCRA, Truth in Lending Act and XXXX XXXX XXXX XXXX and to pay the invoice for {$590000.00} for all the violation presented in the exhibits.

Company response to consumer: Closed with explanation