Consumer complaint received 2024-05-22
Product: Debt collection — Credit card debt
Issue: Written notification about debt — Didn't receive enough information to verify debt
Company: ENCORE CAPITAL GROUP INC. (CA)

I am writing to formally lodge a complaint against Midland Credit Management ( MCM ) concerning their repeated failure to validate an alleged debt they claim I owe, which totals {$8500.00}. I have made multiple requests to MCM for proper debt validation, but they have not complied with my requests, contrary to the requirements of the Fair Debt Collection Practices Act ( FDCPA ). 

My specific concerns are as follows : Failure to Provide Proper Debt Validation : Despite numerous requests, MCM has only sent me statements, which do not qualify as proper debt validation under the FDCPA. I have not received any of the required documentation that substantiates the legitimacy of this debt. 

Lack of License Proof : I have requested MCM to provide a copy of their license to prove that they have the legal right to collect debts in the state of California. To date, they have failed to provide this documentation. 

Chain of Custody for the Alleged Debt : I have asked MCM to provide a chain of custody for the alleged debt to verify its transfer from the original creditor to them. MCM has not provided any such documentation. 

Purchase Agreement : I have requested MCM to provide the purchase agreement between the original creditor and MCM. They have failed to comply with this request. 

Original Creditor Agreement with Wet Signature : I have also asked MCM to provide the original agreement that I purportedly signed with the original creditor, bearing my wet signature. This, too, has not been provided. 

Midland Credit Management may be violating the following federal and state laws : Federal Laws : Fair Debt Collection Practices Act ( FDCPA ) : Section 809 ( Validation of debts ) : This section requires debt collectors to provide proper validation of the debt within five days of the initial communication. They must provide the amount of the debt, the name of the creditor, and a statement informing the consumer of their right to dispute the debt within 30 days. The documentation should include the original agreement or sufficient evidence of the debt. 
Section 807 ( False or misleading representations ) : By failing to provide the requested documentation and continuing collection efforts, the debt collector may be engaging in deceptive practices. 

California Fair Debt Collection Practices Act ( CFDCPA ) : Section 1788.17 : This section incorporates the FDCPA into California state law, making any violation of the FDCPA a violation of state law as well.

Section 1788.13 ( Misrepresentation ) : This section prohibits debt collectors from falsely representing the character, amount, or legal status of the debt.

California Rosenthal Fair Debt Collection Practices Act : Section 1788.18 ( Debt Validation Requirements ) : Similar to the FDCPA, this requires debt collectors to provide adequate validation of the debt and documentation supporting their right to collect it.

California Consumer Protection Act ( CCPA ) : This act includes provisions to protect consumers ' personal information and their rights regarding data privacy. While not directly related to debt validation, any mishandling of personal information could also be relevant. 

Midland Credit Management 's failure to provide the necessary validation documentation as mandated by the FDCPA is causing me undue stress and concern. They continue to pursue collection activities without adhering to the legal requirements for debt validation, which I believe is a violation of my rights under the FDCPA. 

I respectfully request that the CFPB investigate this matter and take appropriate action to ensure that MCM complies with all applicable laws and regulations regarding debt validation. Additionally, I seek your assistance in having MCM cease all collection attempts until they can properly validate the debt. 

Thank you for your attention to this serious matter. I look forward to your prompt response and assistance. 

Sincerely,