Consumer complaint received 2024-07-24
Product: Debt collection — Rental debt
Issue: Attempts to collect debt not owed — Debt is not yours
Company: FAIR COLLECTIONS & OUTSOURCING, INC. (VA)

During the summer of XXXX, Fair Collections & Outsourcing , Inc. ( " FCO '' ) was making harassing phone calls and sending letters to collect a purported debt in the amount of {$2600.00} under a lease with The Banks ( operated by the XXXX XXXX ). This appeared to be an incorrect collection effort, so I reached out to FCO. Even after receiving actual notice that FCO does not have any basis for any purported debt under a lease with The Banks, it has persisted in attempting to collect money in violation of federal law. See, e.g., 15 U.S.C. 1692, et. seq. 

On XX/XX/XXXX, after I received a number of harassing phone calls and letters, I submitted to FCO a written dispute of the alleged debt and requested the legal basis of the claim through FCO 's own online system. ( See Ex. XXXX, XXXX XX/XX/XXXX Dispute Submission. ) FCO responded with an inaccurate ledger reflecting a lease term with The Banks of XX/XX/XXXX to XX/XX/XXXX. ( Ex. 2, FCO Ledger. ) The same day -- XX/XX/XXXX -- I promptly called FCO and spoke with an employee, who stated his name was XXXX XXXX, to explain that the lease I had with The Banks did not run until XX/XX/XXXX, but in fact had a term of XX/XX/XXXX to XX/XX/XXXX. ( XXXX. XXXX, The Banks Lease. ) He advised that I follow up with an e-mail to XXXX to explain the problem, and I did so immediately -- still on XX/XX/XXXX. ( XXXX. XXXX, XXXX XX/XX/XXXX Dispute Submission. ) In the second XX/XX/XXXX written submission to FCO, I again explained that FCO was attempting to collect money without any legal basis to do so, and included substantial supporting documentary evidence. I included copies of : ( a ) an executed copy of my lease with The Banks, reflecting the lease term ; ( b ) a statement generated on XX/XX/XXXX by The Banks confirming that there was no prior balance and that the amount due under the lease through XX/XX/XXXX totaled {$3100.00} ; ( c ) a subsequent XX/XX/XXXX payment confirmation of {$3300.00} ( more than the balance identified on The Banks ' statement ), and ( d ) an additional XX/XX/XXXX payment confirmation of {$400.00} to cover the first four days of XX/XX/XXXX. 

Nevertheless, on XX/XX/XXXX, I received yet another letter from FCO, dated XX/XX/XXXX ( after the notifications described above ), still attempting to collect money without any basis. ( XXXX. XXXX, XXXX XXXX XXXX ). The same day -- XX/XX/XXXX -- I wrote again to XXXX to inform them that it was inappropriate to continue efforts to collect money when they have been given actual notice that no outstanding debt exists. On XX/XX/XXXX, FCO declined to discontinue its misconduct and bizarrely responded with the false non sequitur that I disputed the debt on XX/XX/XXXX. ( XXXX. XXXX, XX/XX/XXXX XXXX XXXX. ) Of course, ample documentation exists that I disputed the debt and notified FCO of their error on XX/XX/XXXX. ( See, e.g., XXXX. XXXX, XXXX. ) FCO fails to undertake any reasonable investigation of purported debts before beginning collection efforts, and will not cease inappropriate conduct even with actual notice of its misconduct. Given FCO 's continued bad faith -- including most recently the curious misrepresentation of the date it received notice of its misconduct -- I now consider additional action to prevent further abusive conduct, and encourage the CFPB to do the same.