Consumer complaint received 2015-12-07
Company: SQUARETWO FINANCIAL CORPORATION
State: FL
Product: Debt collection
Sub-product: Other (i.e. phone, health club, etc.)
Issue: Cont'd attempts collect debt not owed
Sub-issue: Debt is not mine

Complaint:
I am having an extremely bad experience with CACH , LLC and its agents XXXX XXXX and LAW OFFICES OF XXXX XXXX, XXXX. Apparently, CACH purchased the commercial business loan debt from XXXX Bank of my XXXX , XXXX in XXXX XXXX. My corporation started operations in XXXX and, as a result of the economic recession, it went out of business in XXXX. Since then, I 've been winding up my corporation 's affairs and continue to pay the XXXX Bank debt on a timely basis until XXXX. However, XXXX was a very difficult time for my family that not only went through a XXXX accident that I had to spend a week at a hospital with a XXXX but we endured unemployment. When I was back on my feet, I continued making payments to XXXX Bank ( see record attached ) and worked with XXXX Bank 's recovery unit representatives to resolve this debt, always as corporate officer for XXXX. We were in the process of settling this corporate debt with XXXX Bank 's agents when I asked for a copy of the Business Loan Agreement or Promissory Note. The next thing I learned was that the debt was sold to CACH. CACH, without carefully reviewing the business loan documentation, reported this commercial business debt as " personal '' debt to the credit bureaus against my wife and myself, ruin my family 's good credit. In light of such false reporting, I stopped making any payments and requested that CACH remove the business debt reported against my wife and myself, from the credit bureaus. CACH refused to do so based on the application for the commercial loan that included the information of the corporation and its officers but it was clearly signed solely in corporate capacity. This was not a credit card debt where the application represents the business agreement and is the only document that is signed. This was a business loan with a local banking institution and I was required to go to the bank to sign all business loan documents. As part of those documents, I DID NOT sign a Personal Guaranty or a Promissory Note in my individual name, neither my wife. I sent several letters to the credit bureaus and still CACH was allowed to ruin our family credit based on a preliminary application. CACH, through its agents, is trying to collect a debt of {$36000.00} that according to the last records I received from XXXX, the debt balance was {$28000.00} ( see attached ). I even engaged a lawyer to settle this debt. However, CACH response to my settlement offer was that we " look into any savings, 401K, IRA 's, Cash Value in a life insurance, open lines of credit, 2nd mortgage, or get with family '' to come up with the full amount of the debt. This is simply outrageous. This is a business debt, I do not have access to any of their " suggestions '' and, unfortunately, I can not afford legal representation either. On XXXX XXXX, XXXX, the Law Offices of XXXX XXXX, XXXX sent a demand letter to my wife and myself. Although, the letter on its face claims not to be a threat to sue ( XXXX is in Arizona ), the fact that the letter comes from a " Law Office '' has the same effect ( see attached ). This is another deceitful, illegal and outrageous way to collect a business debt from individuals without proving the personal liability. A year of this collection nightmare has elapsed, and because of this abusive collection practice performed by CACH, our family has no longer access to financial resources due to the collection record in our personal credit report. I have XXXX daughters in college and I can not get any student loans for them or any other loans at all. I do not deny the corporate debt but I do deny any personal liability. All I want is for XXXX to remove this business debt from my credit report and be able to settle this business debt as soon as possible. Please help. Thank you.

Company public response: Company chooses not to provide a public response
Company response to consumer: Closed with explanation