Consumer complaint received 2016-08-30
Company: Credit Protection Association, L.P.
State: CA
Product: Debt collection
Sub-product: Other (i.e. phone, health club, etc.)
Issue: False statements or representation
Sub-issue: Attempted to collect wrong amount

Complaint:
Today my husband attempted to contact Credit Protection Association because we are in the middle of purchasing a home and we are being denied because the lender says there is a collection reporting that is preventing me from qualifying for the loan. Credit Protection Association is reporting a XXXX debt on my credit report that I have never been notified about. They stated that it was for an account that was closed in 2013. 

When my husband asked them why I have never received a bill from them or XXXX nor a phone call, they told him that they had attempted to send letters to an old address of mine and call a phone number that I have n't had in years. They even had my name spelled wrong. 

My husband informed them that we had closed the account out years ago with XXXX because we were moving address and even turned in all the equipment. We also paid any balance that XXXX stated was owed in order to close the balance out. Because no money was owed, and no contact was made to me in order to take care of any supposed balance owed either by phone or mail, my husband asked Credit Protection Association if by paying this supposed debt they could simply remove it from my credit report since I was never given my rights to dispute this debt under the F.D.C.P.A. making this debt invalid. 

Credit Protection said no because they did n't own the debt but rather XXXX did and therefore they could n't delete the account from the credit report without XXXX permission. I even spoke with a floor supervisor named XXXX and she stated the same thing. My husband was a debt collector several years ago so I know that is not true. Because Credit Protection Association is the reporting party, and because they have not complied with the F.D.C.P.A, they HAVE to delete the account for not giving me a proper validation notice. Regardless, my husband called XXXX to expedite this matter. 

When he called XXXX, he spoke with a customer Service representative named XXXX. He also could n't find the account under address or phone numbers given to us by the collection agency. He even confirmed that the named was spelled wrong. When my husband spoke to him, he informed XXXX about the situation and XXXX agreed that equipment was turned in but that the balance owed was a closing of the account balance. Because we did n't want to argue with him my husband also offered him the same deal. 

Because I was never notified of this debt and given a proper chance to take care of it, my husband asked XXXX if we simply paid this debt would it be removed from the credit report. XXXX said yes. He even said it would be given in writing. My husband then asked a second time to confirm that upon payment in full this would be deleted from my credit report and given in writing and XXXX again said yes. I have the conversation recorded and I will provide it to you. He even gave me the address to go in person and pick up the letter today. 

I went in person today and attempted to fulfill the agreement and I was told that XXXX would not delete it from my credit report. They said it would only be shown as paid in full. To make a statement like XXXX did and then be told that is not true by the local office is a bait and switch tactic and a false statement or representation. It is also against the California XXXX Fair Debt Collection Practices Act as that act applies even to original creditors collecting debts as XXXX is doing. 

At this point I am fed up and am going to be suing both Credit Protection Association and XXXX if they do not stop reporting this account as what they have done is illegal. They are collecting a debt that has never been billed to me nor have I been given my right to dispute and they are giving false statements in order to collect a debt and are illegally preventing me from obtaining credit.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with non-monetary relief