Consumer complaint received 2017-09-14
Company: Cottonwood Financial Ltd.
State: MI
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Other personal consumer report
Issue: Incorrect information on your report
Sub-issue: Information is incorrect

Complaint:
Back in XXXX/XXXX/XXXX I took out a payday loan ( via personal check ) at The Cash Store that was funded through Cottonwood Financial. My check was deposited at the time it was due on XXXX/XXXX/XXXX and was returned for non-sufficient funds on that particular day. The amount was then paid at The Cash Store, for which I received back my original personal check marked " void '' by the store representative as well as the original contract I signed, along with a company letterhead statement reflecting this was " paid. '' When the loan is paid back they give you back your personal check marked " void '' and your original contract with document stating " paid. '' Fast forward to XXXX/XXXX/XXXX. I received notice that I had an outstanding loan balance to The Cash Store/Cottonwood Financial from XXXX and it is showing in the State of MI database as an outstanding payday loan since XXXX. 

I called the State of MI ( XXXX ) database for payday loans and explained the situation to them. They advised me to go to the original store where loan was taken out and ask them to remove this from the state database. " it 's really very simple, she said, all they have to do is go into the system and remove it from the state database. '' I took my original check and my original contract and went to The Cash Store to get this cleared up. The store representative who helped me called the District Manager of the area and explained the situation as she mentioned that the representative at the time may have mistakenly forgotten to finish out this loan in their system and that 's why it was still showing up as unpaid. District Manager was aware that I had the original check back and contract marked as " paid. '' I was given the number to the Corporate Office ( XXXX ). I called them and they told me that the debt still was unpaid ( per their system ) and it had been sent/sold to a collection agency in XXXX called XXXX XXXX XXXX so they no longer had any dealings or further assistance of the account. 

I then called XXXX XXXX XXXX ( XXXX ) and they told me that they sold the debt to another collection agency called XXXX XXXX XXXX back on XXXX/XXXX/XXXX and so they too could offer me no further solution or assistance. They also informed me that XXXX XXXX has since went out of business. 

I have spent many hours working to resolve this matter including calling the State of MI, several calls back to Cottonwood Financial Corporate office, calls to XXXX XXXX XXXX and all are telling me there is nothing they can do to get this removed from the state database. Cottonwood says once they sold it they ca n't do anything. XXXX XXXX XXXX says they sold it and ca n't do anything either. XXXX XXXX is now out of business and supposedly was the last place where this resided. 

I need someone to assist me in getting this removed from the state database as it is coming up in potential employers background checks and in my credit report that this is an unpaid loan. I have all the documents that the loan is paid. The original loan is from XXXX -- now beyond the Statute of Limitations for reporting purposes as well. I have exhausted all measures of places to call to get help. This is unfair.

Company response to consumer: Closed with explanation