Consumer complaint received 2016-06-03
Company: Diversified Consultants, Inc.
State: WI
Product: Debt collection
Sub-product: Other (i.e. phone, health club, etc.)
Issue: Cont'd attempts collect debt not owed
Sub-issue: Debt was paid

Complaint:
I received a collection that was filed against me on behalf of an XXXX account I had entrusted a family member with for a phone service contract back in XXXX XXXX. I was contacted by this agency, to collect on behalf of XXXX. I advised the representative that this was an account I had as a family plan and that my family members failed to make good on the account. She advised me that the total collection was {$1300.00}. I advised them that I wanted to resolve this account, and asked if they had a settlement option that would allow me to resolve this debt at a reduced cost. 
They indicated yes they did have a settlement option and that for {$850.00}, I would settle this account. I confirmed with them via a recorded line, if I pay this amount this account would be satisfied. They ensured me yes it would once I made the payments of {$850.00}. I accepted and made the payment of {$850.00}. I continued to monitor my credit and saw the collection was listed as paid and removed from my credit report. In XXXX XXXX I received calls from another collection agency indicating that I had a balance of {$450.00}, which is the difference between the original collection and the settlement amount. I contacted XXXX and they advised me they saw my account was paid per the settlement agreement. But they indicated that my settlement agreement was just with them only and not a full satisfaction of the debt. 
Settlement by definition is " an official agreement intended to resolve a dispute or conflict. '' Therefore, as a consumer I was left with the impression that this debt was resolved as per my settlement agreement with them and this was also confirmed via their recorded line. Which they have the recorded calls to confirm this. 
My dispute is ; if in order to satisfy this debt the full amount would have been due, then that is what should have been communicated with me and no alternate settlement should have been offered. I paid the {$850.00} to them with the understanding this was a satisfaction of this debt, and that no additional collections would be perused. This account has now been filed again with collections. This has again had an adverse effect on my credit that I have been so cautiously trying to rebuild since the affects the XXXX took on my credit. I fulfilled the agreement to resolve this account with XXXX. 

XXXX, XXXX XXXX and now Diversified XXXX continues to deny that I satisfied this debt. As a consumer I feel that I have been misled, falsely informed and had my credit affected at the direction of this company for an additional time. I was advised that this was a settlement for the account NOT a partial payment. This is an injustice to me as a consumer to continue to be affected by this after I paid them in accordance with their settlement agreement in exchange for what I was told was a satisfaction of this debt. I have attempted to discuss this with XXXX XXXX XXXX, Diversified XXXX, XXXX, XXXX, The Wisconsin Department of Consumer Affairs, The Wisconsin Department of Financial Institutions ; without any success. I beg of the CFPB to provide assistance with this matter to find justice for the consumers.

Company response to consumer: Closed with explanation