Consumer complaint received 2022-05-16
Product: Debt collection — Payday loan debt
Issue: Written notification about debt — Didn't receive notice of right to dispute
Company: Upgrade, Inc. (FL)

Didn't receive validation of debt or notice of right to dispute. Alleged debt amount being disputed {$2000.00}. 

Since XX/XX/2022 I have been attempting to dispute an alleged debt with Upgrade Inc. During that period I requested additional information from them regarding inaccurate and fraudulent information being furnished to the consumer credit reporting bureaus. During that same month of XX/XX/2022, they responded that all information was accurate and in accordance with their company policy and their policy does not make exceptions for any consumer. 

On XX/XX/2022 I requested a validation notice regarding the account in accordance with the FDCPA 15 U.S.C 1692 ( g ). In that initial request I outlined information that must be provided to me when the investigation was concluded such as : 1.Original creditor name and address 2. Current creditor name and address 3. Document proving who is liable for alleged debt 4. Evidence that UPGRADE Inc is authorized to perform debt collection.

They acknowledged the receipt of the validation notice and will respond within 3-5 days. However, no notice of the investigation was sent. I have called several times in the month of XX/XX/2022 to verify if they have started their investigation. During the conversation Upgrade agents were abusive, rude and non-compliant with the request and would not provide any information regarding the investigation. They kept transferring me to their debt collection department. Upgrade agents stated they do not know what the FDCPA is, they do not provide validations and they only follow their company 's policy when handling disputes and that I must pay the debt and they do not need to validate it. I also requested to be removed from electronic communication and requested all communication done via mail. I also requested how Upgrade obtained the authority to be executing these actions. They claim they have a Power of Attorney ( Item 7 ) for the account and can act in the capacity as attorney in fact. At no point did I sign any power of attorney with Upgrade Inc or any other person. I requested a copy of the power of Attorney under the State of New Jersey law that gave them that authority. They stated that they do not have a copy of a power of attorney but they have the authority to act in such capacity ( See Credit line agreement - Item 26.5 Third-party Beneficiary- Upgrade is not a party to this agreement ). On XX/XX/2022, I was informed that someone from their legal team would be in touch with me within 24-72 hours. No one has reached out to me in regards to this matter.

VIOLATIONS The initial validation notice was sent to Upgrade Inc. on XX/XX/2022 via email and under the FDCPA guideline they were to respond within a 30 days period. During the validation dispute, all collection activities must cease until the investigation is concluded. Upgrade violated several of the FDCPA while this matter was being investigated.

( 1 ) 15 U.S.C. 1692 ( g ) Validation of debt No written notification of debt was received from Upgrade and they failed to cease all collection activities. They have yet to provide the requested information for validation of debt in the thirty ( 30 ) day period.

( 2 ) 15 U.S.C. 1692 ( d ) Harassment and abuse.

After withdrawing all consent for electronic communication via email and during multiple phone calls with Upgrade, they continued to call from the collection department and kept sending email notifications regarding attempting to collect the alleged debt.

( 3 ) 15 U.S.C. 1692 ( e ) False or misleading representation They fraudulently claim to have a power of attorney and also fail to communicate that the alleged debt is under dispute.

( 4 ) 15 U.S.C. 1692 ( f ) Unfair practices Continuous attempt to collect the debt even though it was disputed and under investigation.

( 5 ) 15 U.S.C. 1692 ( c ) Communication in connection with debt collection Even though I explicitly stated no communication should be made unless it's by mail, Upgrade kept calling and sending emails to collect the alleged debt.

15 U.S.C. 1692 ( k ) Civil liability for violation Under the FDCPA 15 U.S.C 1692 ( k ) any debt collector who fails to comply with any provision of this chapter with respect to any person is liable to such person in amount equal to the sum of -- Any actual damage sustain by such person as a result as such failure ; ( A ) In the case of any action of an individual, such additional damages as the court may allow, but not exceeding {$1000.00}.