Consumer complaint received 2019-06-19
Company: ENCORE CAPITAL GROUP INC.
State: CA
Product: Debt collection
Sub-product: Credit card debt
Issue: Took or threatened to take negative or legal action
Sub-issue: Threatened to sue you for very old debt

Complaint:
I am writing to file a formal complaint against Midland Funding LLC. for predatory collection practices, collecting funds from me and using personal data to dig up more charge off debts to keep extorting payment with ill obtained false judgements with court insiders. 
Facts : Midland Funding LLC. Has used predatory collection tactics, against me to obtain default judgements and then force payments. They have used the legal system to threaten, and they act like they were doing me a favor by offering me a reduced payment on me to pay for 2 credit cards with XXXX that had already been charge off accounts by XXXX and XXXX XXXX. I did not know any better and just gave them a pre authorized check that I honestly thought I was curing my last credit cards that had gone bad due to unemployment. But I believed them and I thought this was better then filing bankruptcy and I even have letter that shows they were settled. In XXXX I received a call about new default judgement and I hit the roof. I wrote to them and disputed the charges. Yet to no avail. I have disputed the debt but they know the people in the court so this time I was at my worse financially. I did not think they would obtain anything, because sadly I have been financially insolvent, barely making enough to pay rent, food even with food stamps, student status because I could not get any jobs due to the judgements against me, coupled with anxiety and could not get over so much loss/crisis. Yet this company is thriving by abusing families, they got a default judgement without properly notifying me or PROVIDING PROOF OF THE DEBT. They have lawyers, clerks and people working the system. They act with no regard or fear of being checked, because they know I don't even have the money to pay for a lawyer or the filing fee. This is a disgrace, that I go to the court and I can't do anything. Today I thought I would reach out to your group in hopes for justice. Here are the details : Case Midland Vs. XXXX XXXX Original Creditor is XXXX-XXXX  : ending XXXX Acct opened XXXX Date Account Charged off : XX/XX/XXXX Default Judgement : {$2500.00} On XX/XX/XXXX I requested SUBSTANTIATION PROOF OF DEBT received no response from them. 

On XX/XX/XXXX. I Received a ( NOTICE OF LEVY- ENFORCEMENT OF JUDGEMENT ) copy of a recently court filing form EJ-150 of the same judgement but now it is for $ XXXX-READS notice of Execution of Money File XXXX-original court case XXXX. 

They know I live in XXXX, they have my address because it arrived. Yet they Filed in XXXX Courthouse XXXX XXXX XXXX. with signed levying officers listed as County Sheriff Civil Division XXXX by XXXX XXXX of XXXX XXXX XXXX # XXXX registered process server. 

I made the mistake of paying them for two credit cards, XXXX XXXXXXXX that went into charge off status due to loss of employment, loss foreclosure of my home in XXXX in XXXX. At that point, I was doing my best to settle things with creditors because I was in financial crisis. I wrote to all my creditors ( attached letters ) directly and paid the credit cards I owed by making direct settlements with credit cards companies. 

I also did a Died in Lieu of Foreclosure with XXXX XXXX XXXXXXXX, they agreed to charge off the XXXX   XXXXfirst loan, {$53000.00} for second loan and one final remaining credit card with XXXX, it is noted on my credit report ( see recent credit report attached ). They consequently denied this agreement and turned it into a foreclosure but gave me charge offs on all the debt due to the HARP guidelines. My credit was ruined, XXXX XXXX filed a Judgement and I paid, Midland Funding found a way to squeeze out {$2000.00} out of my promising that they would not file judgements against me, they claimed they had been hired by my credit card companies. I did not know any better so I paid them. ( I can provide checks once I get from bank ). 

I wrote letters to XXXX XXXX XXXXXXXX, to get my final relocation {$1500.00} but no luck. I was stuck in a rural area now, no job and in XXXX when they sent me a letter to pay the above credit debt, I demanded proof. I had after all lost my dignity, job, all my 401k, filed for unemployment, forced to apply for welfare to survive. I did not think moving to XXXX XXXX with {$1500.00} of the original deal to keep only one house would have been possible ; but a Lawyer from XXXX XXXX XXXX XXXX assisted me. I tried to apply for similar jobs, and could not obtain employment, filed for Welfare, became financially insolvent, have lost everything and have no money for anyone to levy ; not even me. I have been working for the last 5 years barely providing basic needs for my XXXX XXXX XXXXXXXX, XXXX, XXXX ; I have gotten divorce and on XX/XX/XXXX I received a copy of a " Money Levy from Midland Funding. '' They should not be allowed to operate in this manner. 

I looked through my papers and it turns out that I have paid them over {$2000.00} and received a letter regarding the Judgement in question. As I had suspected, I settled two of the credit cards with them for XXXX and XXXX again two different credit cards. They now want to squeeze more blood, but there is nothing left. 

They have gone out and purchased some OLD CHARGED OFF debt from XXXX XXXX after they promised that they would not file DEROGATORY legal judgements against me. WRONG, Midland Funding LLC, lied they are experts at their craft. 

They intimidated me in to paying the two previous debts which were probably not even valid and now they are coming after me again. This is unfair and they deserve to be held accountable by someone. 

I do not owe Midland Funding or have a credit card contract with their client XXXX   They were not able to validate the debt, and when I refused to be taken advantage again, because my credit was still showing all those judgements plus a foreclosure, they decided to pay the courts to obtain a default judgement in XXXX. Both cities that they have contacts, with the people there facilitate their paper filings. 

In addition, I have called them and disputed these charges repeatedly over the phone, in writing but they will not stop filing more forms with the court, harrasing me, using the courts to bring a judgement on a debt they have no proof I owe them. 

I have copies of the settlement letters from them, I went into default on my credit cards, and later experienced more financial hardship ; I took responsibility for my wrongs. I have paid my DEBTS, it has been 5 years of ABSOLUTE XXXX, crisis and this company is ruthless they will not leave me alone. They deserve to be fined themselves for the tactics they use with the courts to obtain wage garnishments for debt that has been charged off. 

I request that they be investigated, prosecuted themselves because I have no powe4r against them. I went to my local court and asked them for help on this and have tried to go to the XXXX XXXX XXXX Self help but they say I need to go to XXXX California which is 12 hours south of here. This is EGREGIOUS behavior! 

Moreover, I pulled my credit report as a result of this and during the time period they claim this debt is from is too old. It is not listed as one of my accounts. I also have copies of the settlement letters I wrote to ( my creditors see attached ). I have also kept copies of the letters that Midland sent me with copies of credit cards that had already gone to judgement but they told me they ha settled accounts I had with them. They obviously had my address, contact but they failed to communicate because they knew they had the judgement, which was easier then to verify the debt because they do not have a way to pull the original contract. 

I know I have made some mistakes dealing with credit, but did the best given my situation to settle and make workouts. Life happens to all of us. I am not a crook. It has been years of trying very hard to survive, living below poverty level, using free, donated items, getting mental health, and now after 5 years this company is coming to garnish my wages because they were given a default judgement with no proof of the debt. This is unfair and I implore you do something about this this company, they are a cancer, they need to be investigated and stopped. How can they get these default judgements, abuse working citizens and make money? Who are they paying to process these documents without proof of the these old charged off debt? 

Please help me I can be reached at XXXX.

Company response to consumer: Closed with non-monetary relief