Consumer complaint received 2016-12-27
Product: Debt collection — Other (i.e. phone, health club, etc.)
Issue: Improper contact or sharing of info — Talked to a third party about my debt
Company: ENCORE CAPITAL GROUP INC. (TX)

A collection agency is sending a false statement to all XXXX major credit bureaus regarding my account. The false statement, " the consumer disputes this account, '' or variations of this statement has caused me to be declined for credit from a major mortgage lender. I contacted the collection agency by phone on XX/XX/XXXX to discuss the erroneous statement. I was informed by one of their customer services agents that I would need to submit to them, the collection agency, a request to have the statement removed. I reminded them that I never " disputed '' this account with them, therefore, they should remove the statement without requiring me to make such a request. I was informed by the customer service agent that I made a request for validation of the debt in XX/XX/XXXX and they considered that to be a dispute. I asked if the language of my request included " dispute '' language and they said that the very nature of me requesting validation is considered by them a dispute. I asked if I had used dispute words, or wording, on my debt validation letter, and they verified that I had not used the wording ( they were able to read the letter to me ). I then asked them to contact the credit bureaus and update the information on my credit file and eliminate the dispute statement. The agent said they could not do that without a request from me. The agent offered a solution, I could go to their website and send an email to them, the collection agency, stating that I request the dispute statement by removed, and then they could remove the statement. I then proceeded with their requirement. The agent then saw the email, opened it and informed me that they would contact all XXXX credit bureaus immediately and have the dispute statement removed. I contacted XXXX by phone on XX/XX/XXXX to determine if the dispute statement had been removed. The customer service agent from XXXX indicated that the statement was on the account and was placed on the account the proceeding day, XX/XX/XXXX. I asked the agent if the dispute statement was on the account prior to XX/XX/XXXX and the agent said, " no, the dispute language was removed in XXXX of XXXX at your request. '' I believe that the collection agency is knowingly placing the dispute language on my account at each of the credit bureaus as a way to damage my credit rating, specifically as it applies to securing mortgage financing. In summary, I never disputed the account with this collection agency, just asked for validation of the debt in XXXX. They validated the account information in XXXX and placed a statement on the credit bureaus that I was disputing the account. I have made multiple attempts with each credit bureau during the months of XXXX and XXXX to have the statement removed, only to have it added back by the collection agency. I was denied credit due to the dispute statement. I contacted the collection agency on XX/XX/XXXX and went through the required process to have the dispute language removed. It was placed on the XXXX credit bureau the following day and as of today, appears on all XXXX major credit bureau reports. ( XXXX ).