Consumer complaint received 2022-11-07
Company: I.C. System, Inc.
State: CA
Product: Debt collection
Sub-product: I do not know
Issue: Attempts to collect debt not owed
Sub-issue: Debt was result of identity theft

Complaint:
Ic systems Collection agency, Violated the fair debit collection practice act as well as the fair credit reporting act.

Violation number one : Section 807 false or misleading representation A debt collector may not use any false, deceptive, or misleading representation or means in correction with the collection of any debt. Without limiting the general application of the foregoing, the following conduct is a violation of this section ( 10 ) : The use of any false representation or deceptive means to collect or attempt to collect any debt or to obtain information concerning a consumer.

I called this collection agency who has already previously been notified by the three major credit for an agencies that this collection account what is the result of identity theft. I was amazed when I spoke to the representative XXXX XXXX. 
I notify this representative that I have a victim of identity theft and that his company has had several accounts in their system that have been removed for identity theft. I did notified him that this account popped on my credit report without any prior notification via mail, telephone call, or email. 
Ive been instructed him that I would like to have these accounts removed due to identity theft. XXXX XXXX XXXX told me that in order to have these accounts investigated, I would have to pay a fee of {$270.00} to another company called XXXX XXXX in order to have this account investigated and removed from my report. 

Me being a victim of identity theft has taught me to be very knowledgeable when dealing with fraudulent accounts. Enclosed is a recording of the phone conversation between me and the representative for IC systems. 

The recording was taken from a Texas phone number which falls under a one party state rule when pertaining to the laws of recording. Therefore, Permission was not needed since one party ( IC Systems ) was recording already. 

No person should have to pay to have an account removed under identity theft from a collection agency. This is a serious violation and requires serious attention. This means that if a consumer disputes an account with a credit reporting agency, and follows the guidelines correctly, in the collection and see the sides that they will not investigate but, report the account as accurate? This is a tactic used to force people to call the collection Agency so that they may manipulate the consumer into paying to have a wasnt account removed from their credit report.

This violation falls Under section 621. Administrative enforcement [ 15 USC section 1681s ].

( 2 ). Penalties.

( A ) knowing violations. Except as otherwise provided by subtitle B of the consumer financial protection act of 2010, in the event of a known violation which constitutes a pattern or practice of violations of this title, the federal trade commission may commit a civil action to recover a civil penalty in a District Court of the United States against any person that vio
lates this title. In such action search person shall be liable for a civil penalty Im not more than {$2500.00} per violation.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation