Consumer complaint received 2021-06-07
Company: Security Credit Services, LLC
State: MD
Product: Debt collection
Sub-product: Credit card debt
Issue: False statements or representation
Sub-issue: Attempted to collect wrong amount

Complaint:
By way of background, I owed roughly $ XXXX on a credit card to XXXX XXXX. I had stopped making payments in about XX/XX/XXXX due to numerous financial woes and personal mental health challenges. Many of my personal loans and debts stared to go bad at that time, and I obviously began receiving numerous collection letters, legal notices, etc. 

Beginning on the morning of XX/XX/XXXX, I began telephonic communcations with XXXX XXXX of XXXX XXXX, NJ. ( XXXX ) from whom I had been receiving notices regarding this subject debt. During my initial conversation, it was explained to me that XXXX was the collection arm/servicing agency retained by " Security Credit Services '', who had purchased this debt from XXXX for " cents on the dollar '', who in turn had charged off this debt in XX/XX/XXXX. All notes and documents available for your review. 

During my call to XXXX I spoke to a XXXX XXXX on a recorded line. I was candid and upfront with her, acknowledging my original debt and advising them that I was back on my feet and had pulled together some funds and resources to make good on my outstanding debts ; that the reason I had not responsed to their prior communications was because I had nothing to offer them. But times had improved for me and I was ready to proceed with their negotiated settlement offers. She advised me that on or about XX/XX/XXXX, Security Credit Services had " pulled back '' this debt from XXXX because of non-payment by me, and would possibly re-assign it to another agency for collection purposes ; that this debt didn't reside with XXXX any longer. 

I asked XXXX XXXX for a phone number to Security Credit Services. She replied with, " I don't have it ; XXXX it ''. 

I did XXXX Security Credit Services and found a number of XXXX. On XX/XX/XXXX at XXXX, I called this number, but there is no capability to leave a message, and there was no answer. 

On Wednesday XX/XX/XXXX at roughly XXXX, I had another phone conversation with XXXX XXXX and I believe that agent 's name was XXXX XXXX. She indicated they were successful in getting my debt re-established with their firm and were offering me a negotiated resolution of 40 % of the original balance, or {$10000.00} ( all notes and documents available for your review ). I explained to XXXX that this amount was quite a bit higher than what I anticipated or had the funds for. Other collection companies had settled with me for roughly XXXX. I was told this was their final offer, otherwise the matter would go to legal action. I explained to XXXX that I couldn't do that amount at the moment, but I would get back to her within a few days with hopefully some resolution. 

Over the course of the following XXXX XXXX weekend, I had detailed financial discussions with my wife, with whom I hold all of my cash ( liquid and non-liquid ) assets. We agreed to move things around to make good on XXXX XXXX offer of {$10000.00}. 

On XX/XX/XXXX, the day after the long Memorial Day Weekend at roughly XXXX, I called XXXX and spoke to XXXX XXXX again. We initiated the process of paying the {$10000.00} via " pay by check via phone '' where I provide them with my bank 's routing and account numbers and they engage in a ACH withdrawal transaction. 

We were nearly done with the transaction. I was relieved that I had settled another debt, and was even given a confirmation password to retrieve my " paid and satisfied '' letter when XXXX tells me she can't process the settlement because their offer was only good through XX/XX/XXXX. At no time during my phone calls with XXXX was I told the offer on the table was only good through XX/XX/XXXX, which was Monday, XXXX XXXX, and at no time had I ever received any written communication from XXXX of any such timeline. XXXX told me I would now have to pay over {$13000.00} to settle this. I certainly felt like this was a classic " bait and switch '' tactic, and lost all trust and confidence in XXXX and the potential for a successful resolution to this matter. Every other creditor and collection company had been honest and forthright with me in settling all of the other debts. At no time did any of them hit me for more money than was negotiated. We were so close to concluding this process that I had even written down on my notepad the date/time of the resolution, the email password to retrieve my " satisfied '' letter, and the phrase " paid full settlement offer of {$10000.00} ''. 

I ask the CFPB to look into this bait and switch tactic on the part of XXXX and/or Security Credit Services. I find it really ironic that as a consumer, here I am reaching out to my creditors, engaging them rather waiting to receive their calls, advising them I'm ready to accept their offer to resolve, only to have the rug pulled out from underneath me. 

I stand ready and committed to paying their initial amount of {$10000.00}, but nothing more, particularly when I was never notified of a timeline to accomplish this by. When will it stop? If I agree to the {$13000.00}, are they going to bump me up again, and again?

Company response to consumer: Closed with explanation