Consumer complaint received 2018-08-02
Company: HCFS Healthcare Financial Services of TeamHealth
State: TX
Product: Debt collection
Sub-product: Medical debt
Issue: False statements or representation
Sub-issue: Attempted to collect wrong amount

Complaint:
Please be advised that XXXX XXXXXXXX XXXX is in violation of Section 392.101 of Texas Finance Code which prohibits a debt collector or credit bureau from engaging in debt collection in Texas unless the debt collector or credit bureau has obtained a surety bond and filed a copy of the bond with the Office of the Secretary of State. Furthermore, Sec. 392.301 ( a ) ( 4 ) of Texas Finance Code prohibits threatening to sell or assign to another the obligation of the consumer and falsely representing that the result of the sale or assignment would be that the consumer would lose a defense to the consumer debt or would be subject to illegal collection attempts.

According to Section 392.001 ( 3 ) of the Texas Finance Code the term " Debt collector '' means a person who directly or indirectly engages in debt collection and includes a person who sells or offers to sell forms represented to be a collection system, device, or scheme intended to be used to collect consumer debts. The Texas Debt Collections Act applies to creditors attempting to collect their own debts. 

I am writing to advise you that XXXX XXXX XXXX, of XXXX XXXX XXXX XXXX XXXX. XXXX, XXXX XXXX, XXXX, FL. XXXX, is in violation of the Texas Finance Code Section 392 as well as the Deceptive Trade Practices-Consumer Protection Act. As a debt collection company they are operating in the State of Texas without a BOND. As you will see, their bond lapsed and cancelled on XX/XX/XXXX. The State of Texas does not have previous records stating they had such BOND before XX/XX/XXXX. ( Were they operating here then without a bond too? ) At least since XX/XX/XXXX, they have been operating as a debt collector in the State of Texas without the mandatory bond. This is required by the Texas Secretary of State. I have attached the proving document directly from the XXXX website and attached a copy of the supporting document. Today, please be advised that I am also next filing a formal complaint with the Texas Attorney General office as XXXX, XXXX and XXXX  have allowed XXXX XXXX XXXX to report through their reporting bureaus without a required bond with the state of Texas. This is a direct violation of my rights as a consumer. I have formally sent certified letters and complaints to all three bureaus today. I am fully prepared to pursue my rights for the harm this blatant disregard and inaccuracy has done to me pursuant to the Texas Finance Code Sec. 392.403. I know that I am provided remedies for their non-compliance under the Fair Debt Collection Practices Act, The Fair Credit Reporting Act, The Texas Finance Code, Section 392 and the Deceptive Trade Practices-Consumer Protection Act. As all three credit bureaus have been negligent in their due-diligent responsibilities to make sure debt collection companies adhere to state and federal laws regarding having the necessary bonds in place. 

Accordingly, I am demanding my rights under all of these aforementioned Acts be protected and that you assist me in securing the immediate removal of all traces of their trademark and reporting from my credit report with XXXX, XXXX and XXXX because XXXX  XXXX XXXX as a debt collector has and continues to violate the aforementioned laws. 

Their continued operations without a bond along with all of the above mentioned credit reporting bureaus have violated my rights under the Fair Debt Collection Practices Act, The Fair Credit Reporting Act, The Texas Finance Code Section 392 and Deceptive Trade Practices-Consumer Protection Act.

I am attaching the supporting document from the Texas Secretary of State website which shows XXXX XXXX XXXX is operating illegally as a debt collector in the State of Texas. 

I expect a swift removal of all traces of their trademark and reporting on all three credit bureaus. I have attached a document showing their reporting on all three of my credit reports. If you need copies of my actual credit report, I can provide that as well. 

Please also note Texas BCC17- I am demanding that XXXX XXXX XXXX or ANY of their affiliates will not sell, transfer, or assign these alleged debts per Sec. 392.301 ( a ) ( 4 ). I demand that any responsive replies be ONLY via the United States Post Office. They are NOT to contact me by phone NOR contact my family, acquaintances, or employer in ANY manner what so ever.

I understand my rights to seek legal remedies for violations against my person with include : Defamation, Negligent Enablement of Identity Fraud, Violation of the Fair Credit Collection Practices Act, ( including but not limited to 807.8 ) and the Violation of the Fair Credit Report Act, ( included but not limited to Section 623.b ) Please act on this FORMAL complaint against, XXXX XXXX XXXX ( also known as XXXX ), XXXX, XXXX and XXXX Credit Bureaus .

If you need more supporting information, please do not hesitate to contact me.

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