Source: http://azconsumerlaw.com/bad-debt-buyers/
Timestamp: 2019-04-24 14:56:03+00:00

Document:
Below are a list of bad debt buyers/collection agencies we frequently encounter linked to basic company profile information. This list is compiled as an informational resource ans source of reference for our clients and website visitors.
Arrow Financial Services is one of the most aggressive debt buyers filing lawsuits against consumers in Arizona courts.
Arrow Financial Services has its main office in Illinois, with other offices in New York, Wisconsin, and Texas.
Arrow Financial Services has been sued several times for unlawful collection practices, including Nelson v. Arrow Financial Services, Inc., where a federal jury in California granted judgment AGAINST them for $100,000.
Arrow Financial Services is usually represented in its lawsuits against Arizona consumers by the law firm of Guglielmo & Associates, a VERY aggressive collection law firm in Tucson.
Arrow Financial Services, through Guglielmo & Associates, is VERY aggressive in garnishing the salaries and bank accounts of consumers after they obtain default judgment.
Asset Acceptance is a high volume debt buyer whose main office is located at 28405 Van Dyke Ave.,Warren, MI 48093.
Asset Acceptance LLC is a MASSIVE debt buyer, and is a subsidiary of Asset Acceptance Corporation, which is traded on the New York Stock Exchange. In the first quarter of 2009, Asset Acceptance Corporation purchased $ 748 million dollars in consumer receivables that were alleged to be delinquent.
Asset Acceptance, LLC has its main office is located in Michigan, with offices in Baltimore, San Antonio, Cleveland, Brandon Florida, and Phoenix.
In 2011, Asset Acceptance reported income from its consumer collection activity of $ 350 million dollars. They further reported income from its consumer collection activity during the first quarter of 2012 of $ 101 million dollars.
In January of 2012, Asset Acceptance settled with the FTC for $ 2.5 million dollars for its unlawful collection practices.
Asset Acceptance is very aggressive in their attempts to collect on “old” credit card debts in Arizona, and employs several different law firms to prosecute lawsuits in the Arizona courts.
Asset Acceptance is the least cooperative of all debt buyers in consumer attempts to negotiate settlements on credit card lawsuits.
Asset Acceptance is very proud of its success in collecting on judgments entered against consumers on credit card debts, and is very active in garnishing consumer’s wages and bank accounts.
Cavalry Portfolio Services, LLC is a high volume debt collector with offices located at 4050 E. Cotton Center Blvd. #20 Phoenix, AZ 85040 and 7 Skyline Drive, Hawthorne, New York 10532.
Cavalry Portfolio Services, LLC is a limited liability company created in Delaware, registered in Arizona as a foreign limited liability company and is also licensed as a collection agency with the Arizona Department of Financial Institutions. It is the litigation subsidiary of Cavalry Investments, LLC, who is a large, well-funded national “bad debt” buyer whose corporate office is in Hawthorne, New York.
Cavalry Portfolio Services, LLC maintains an Arizona office at 4050 E. Cotton Center Blvd. #20 Phoenix, AZ 85040, along with their collection attorney of record, Mr. Nelson Ewing, II.
Because they are a registered collection agency, they must adhere to Arizona statutes and Rules that deal specifically with collection agencies, and their collection practices are subject to review by the Arizona Department of Financial Institutions.
Cavalry Portfolio Services, LLC was investigated by the Arizona Department of Financial Institutions in 2009 concerning their collection practices, and paid $ 15,000 and signed a Consent Order in settlement of that investigation (#09F-BD044-BNK).
Cavalry Portfolio Services, LLC, is very aggressive in their collection and litigation policies, and utilize a computer support system that makes it extremely difficult for consumers who represent themselves to keep from being overwhelmed by legal pleadings and paperwork.
Cavalry Portfolio Services, LLC, also is very active in garnishing the wages and bank accounts of consumers that they obtain judgments against.
HAVE YOU BEEN SUED BY CAVALRY SPV I, LLC?
How do you know if you are being sued?
If a process server has delivered two documents to you, one named “Summons” and a longer one named “Complaint”, both of which have a case number written on it, you have been sued by Cavalry SPV I, LLC.
If you have been sued in a credit card lawsuit by Cavalry SPV I, LLC., your first reaction was probably that you have never had a contract with, or owed any money to, a company named “Cavalry SPV I, LLC.”.
Who and what is Cavalry SPV I, LLC. ?
What right do they have to sue me?
What to do when sued by Cavalry SPV I, LLC.?
What law firm is prosecuting the lawsuit against you?
Cavalry Portfolio Services claims that through its “shell” company Cavalry SPV I, LLC, it bought a delinquent credit card debt that you owed to someone else…a bank or other lender.
IT IS VERY IMPORTANT to keep in mind that while you may have owed some bank or lender on a credit card, YOU ARE NOT BEING SUED BY THAT BANK OR LENDER.
YOU ARE BEING SUED BY CAVALRY SPV I, LLC.
What can you do when you are being sued for debt collection by Cavalry Portfolio Services, LLC.? Read this article about How to Fight a Credit Card Lawsuit to learn more.
Equable Ascent Financial, LLC, a Delaware limited liability company, has its main office in Illinois, and is the current name of a very large debt buyer previously known as Hilco Receivables, and is a subsidiary of Hilco Trading Company.
Equable Ascent Financial, LLC is registered with the Arizona Corporation Commission as a foreign corporation, and is licensed as a collection agency in Arizona, and therefore is regulated by the Arizona Administrative Code as well as Arizona Statutes.
Equable Ascent Financial, LLC, is VERY active in Arizona courts with lawsuits against consumers on “old” credit card debts, and is usually unwilling to settle with a consumer who is attempting to secure an agreement for a reduced amount.
Equable Ascent Financial, LLC, through their attorneys at Gurstel Chargo, are VERY aggressive in garnishing the wages and bank accounts of consumers.
HAVE YOU BEEN SUED BY JEFFERSON CAPITAL SYSTEMS, LLC?
If a process server has delivered two documents to you, one named “Summons” and a longer one named “Complaint”, both of which have a case number written on it, YOU HAVE BEEN SUED by Jefferson Capital Systems, LLC.
You DO NOT owe any money to Jefferson Capital Systems, LLC.
Who and what is Jefferson Capital Systems, LLC?
What do I do now that I have been sued by Jefferson Capital Systems, LLC?
Jefferson Capital Systems, LLC is a “2nd level” debt buyer.
They don’t buy consumer debts directly from the original creditor/bank/credit card company—they buy consumer debts from other debt buyers.
Their documents have passed through more hands than other debt buyers, and they have a harder time proving their “chain of title” to a consumer.
Jefferson Capital Systems, LLC was created in the state of Georgia, but has their headquarters in St. Cloud, Minnesota.
Jefferson Capital Systems, LLC is a division of another conglomerate, CL Holdings, LLC.
Jefferson Capital Systems, LLC is licensed as a collection agency in Arizona, license #56303. This means that in addition to the Arizona Rules of Civil Procedure which regulates lawsuits, Jefferson Capital Systems, LLC has to follow the separate rules of the Arizona Administrative Code, which is the law that governs collection agencies.
Jefferson Capital Systems, LLC utilizes several different Arizona law firms to sue consumers, and sues consumers in both Superior Court and Justice Courts throughout the State of Arizona.
Jefferson Capital Systems, LLC is claiming in their lawsuit against you that they bought a delinquent debt that you owed to someone else…a bank or other lender. The “Complaint” must advise you as to who the entity was that you are supposed to have owed money to.
What can you do when you are being sued for debt collection by Jefferson Capital Systems, LLC? Read this article about How to Fight a Credit Card Lawsuit to learn more.
LR Credit, LLC is a high-volume debt buyer, located at 111 Eighth Ave., New York, NY 10011.
LR Credit has been sued multiple times for debt collection abuse, harassment and for other unfair and deceptive debt collection practices.
A recent investigative report by MFY Legal Services, Inc. found that in 2007, LR Credit filed 30,635 cases in New York City alone. See Consumer Rights Project, “Justice Disserved,” June 2008. The defendant appeared in court in only 8.24 percent of those cases. Thus, the vast majority of those cases resulted in default judgments against the consumer.
The Neighborhood Economic Development Advocacy Project, recently brought a class action against LR Credit, as well as several other debt collectors, for civil racketeering, deceptive business practices, and for violating the Fair Debt Collection Practices Act (FDCPA). See Sykes v. Mel Harris and Associates, LLC, 09-civ-8486 (S.D.N.Y. 2009). According to the complaint, the defendant debt collectors and debts buyers used fraudulent practices to obtain tens of thousands of default judgments in New York. The consumers’ complaint recently survived a motion to dismiss.
LVNV Funding, LLC claims that it is an “asset holding company” for its parent company, Sherman Originator, LLC.
LVNV Funding, LLC is also connected with Resurgent Capital Services, and Credit One.
LVNV Funding, LLC, is currently under investigation by the FTC for its debt buying/collection practices.
In July of 2012 LVNV Funding, LLC settled with the Maryland District Court by dismissing 3,600 consumer lawsuits, $ 7.8 MILLION dollars in claims, and paid to the State of Maryland $ 1 MILLION dollars, and issued credits to 6,200 consumers for another $ 3.8 MILLION, to stop an investigation of their unlawful collection practices by the Maryland State Department of Labor, Licensing, and Regulation.
LVNV Funding, LLC is usually represented by Guglielmo & Associates, a VERY aggressive collection law firm located in Tucson.
LVNV Funding, LLC is aggressive in garnishing consumer’s wages and bank accounts after a judgment has been obtained.
Midland Funding, LLC is currently being investigated by the Federal Trade Commission for its practices as a debt buyer suing consumers for “old” credit card debts.
HAVE YOU BEEN SUED BY MIDLAND FUNDING, LLC?
Midland Funding LLC is the largest debt buyer in the USA, and files more credit card lawsuits against Arizona consumers than any other organization.
While Midland Funding, LLC’s corporate headquarters is in San Diego, California, it maintains a large office and collection center in Tempe, Arizona. Midland Funding has several in-house attorneys at this Arizona office that file credit card lawsuits against Arizona consumers. Midland Funding, LLC also contracts out with virtually every collection law firm in Arizona to handle some of their credit card lawsuit.
Midland Funding, LLC’s “business model” is designed to intimidate consumers who are unfamiliar as to the legal system to do nothing to defend themselves against one of their “zombie debt” credit card lawsuits.
“Summons” and a longer one named “Complaint”, both of which have a case number written on it, you have been sued by Midland Funding, LLC.
Who and what is Midland Funding, LLC?
Who is Midland Credit Management?
What to do when sued by Midland Funding, LLC?
How is Midland Credit Management involved?
Midland Funding, LLC is a subsidiary of a HUGE corporation named Encore Capital Group Inc. which is publically traded on the New York Stock Exchange, with corporate headquarters in San Diego California, with six (6) other offices throughout the U.S. Encore Capital Group, Inc. reported 2014 revenue of over $1 BILLION!
Midland Funding LLC (often times referred to as simply “Midland Funding’). It is nothing more than a “shell”, which is utilized to own delinquent debts that have been purchased from banks and lenders. Midland Funding LLC (Midland Funding) has no employees. Midland Funding LLC has no office of its own. You are unable to contact any individual at Midland Funding LLC.
Midland Funding, LLC is claiming in their lawsuit against you that they bought a delinquent debt that you owed to someone else…a bank or other lender. The “Complaint” must advise you as to who the entity was that you are supposed to have owed money to.
YOU ARE BEING SUED BY MIDLAND FUNDING, LLC.
You are being sued to collect on a claimed Midland debt. The Midland Funding LLC “shell” is serviced by a different organization, Midland Credit Management, Inc., a collection agency registered with the State of Arizona. Midland Credit Management is also a subsidiary of Encore Capital Group, Inc.
While Midland Funding, LLC is suing you, all of the collection work, including the Midland Funding, LLC lawsuit, and all of the Midland debt collectors involved in the collection activity and lawsuit against you, work for Midland Credit Management, Inc. The debt attorney that is suing you for Midland Credit Management, Inc. Midland Credit Management, Inc., has a 36,000 square foot office in Phoenix.
What can you do when you are being sued for debt collection by MidlandFunding, LLC? Read this article about How to Fight a Credit Card Lawsuit to learn more.
NCO Financial Systems, Inc. is a high volume debt collector located at 507 Prudential Road, Horsham, Pennsylvania 19044.
Consumers all over the country have sued NCO Financial Systems, Inc. for violations of the Fair Debt Collection Practices Act (FDCPA) and for other unfair and abusive collection practices.
In a federal case filed in Pennsylvania, plaintiffs claimed that a privacy notice that NCO Financial sent to debtors was “deceptive, false and misleading” and that the company threatened legal action that could not be taken, both in violation of the Fair Debt Collections Practices Act (FDCPA). See Smith v. NCO Financial Systems, Inc., 2009 WL 1675078 (E.D. Pa. 2009). The privacy notice stated that NCO Financial collected non-public information about consumers from employers and others. As the Court noted, the FDCPA expressly prohibits debt collectors from such conduct, and therefore, NCO Financial’s motion to dismiss the lawsuit brought by these consumers was denied.
An Illinois federal court similarly found NCO Financial’s correspondence with a debtor consumer to be “deceptive as a matter of law,” and therefore a violation of the FDCPA. The Court granted summary judgment in favor of the consumer debtor, forcing NCO to pay for its unfair and deceptive debt collection practices. See Allen v. NCO Financial Systems, Inc., 2002 WL 1291791 (N.D. Ill. 2002).
A New York federal court ruled that NCO Financial Systems, Inc. failed to adequately identify itself as a debt collector in messages left on a consumer’s answering machine, a violation of the Fair Debt Collections Practices Act (FDCPA). See Foti v. NCO Financial Systems, Inc., 424 F. Supp.2d 643 (S.D.N.Y. 2006). In this case, the Court further ruled that NCO Financial System’s supposed repeated demands for payment and threats of “continuous demands for payment absent immediate remittance” was improper under the Fair Debt Collections Practices Act (FDCPA) and refused to dismiss the case against NCO Financial Systems.
A lawsuit was recently filed against NCO Portfolio Management and New York debt collection attorneys Sharinn & Lipshie, alleging that NCO and its attorneys sued a consumer on a debt that was outside the statute of limitations (i.e. “time-barred”), unlawfully proceeded with the case in New York Civil Court after the consumer made clear that he lived in Texas and had not been served, filed court papers that had not been meaningfully reviewed by an attorney, and filed affidavit(s) that falsely claimed personal knowledge regarding the account, all in violation of the Fair Debt Collection Practices Act (FDCPA) and other consumer protection statutes.
HAVE YOU BEEN SUED BY PORTFOLIO RECOVERY ASSOCIATES, LLC?
“Summons” and a longer one named “Complaint”, both of which have a case number written on it, you have been sued by Portfolio Recovery Associates, LLC.
If you have been sued in a credit card lawsuit by Portfolio Recovery Associates, LLC, your first reaction was probably that you have never had a contract with, or owed any money to, a company named “Portfolio Recovery Associates, LLC”.
Who and what is Portfolio Recovery Associates, LLC?
What to do when sued by Portfolio Recovery Associates, LLC?
Portfolio Recovery Associates, LLC is a subsidiary of a HUGE corporation named PRG Group, Inc., which is publically traded on the New York Stock Exchange, with corporate headquarters in Norfolk, Virginia. PRG Group, Inc. reported cash collections in 2014 of over $1 BILLION!
Portfolio Recovery Associates, LLC is claiming in their lawsuit against you that they bought a delinquent debt that you owed to someone else…a bank or other lender. The “Complaint” must advise you as to who the entity was that you are supposed to have owed money to.
YOU ARE BEING SUED BY PORTFOLIO RECOVERY ASSOCIATES, LLC.
What can you do when you are being sued for debt collection by Portfolio Recovery Associates, LLC? Read this article about How to Fight a Credit Card Lawsuit to learn more.
Consumers all over the country have sued Unifund CCR, LLC. for unfair and abuse debt collection practices.
An Illinois federal court denied Unifund CCR, LLC’s motion to dismiss where the plaintiff-debtor claimed that Unifund “fil[ed] a state court complaint on a debt that [it] did not own” in violation of the Fair Debt Collection Practices Act (FDCPA) and state consumer protection laws. See Manlapaz v. Unifund CCR Partners, 2009 WL 3015166 (N.D. Ill. 2009).
Another federal judge in Illinois recently denied Unifund’s motion to dismiss a case against it alleging violations of the Fair Debt Collection Practices Act (FDCPA). The consumer argued that prior to the lawsuit filed by Unifund for collection of a purported debt, the consumer had never received a statement from Unifund or any other creditor, stating that he owed this purported debt. Unifund falsely represented in its Complaint that the consumer had been informed of the debt prior to the lawsuit. Unifund further failed to present evidence that it owned the alleged debt. See Matmanivong v. Unifund CCR Partners, 2009 WL 1181529 (N.D. Ill. 2009).
The Court of Appeals for the Third Circuit ruled that a collection letter sent by Unifund was false and misleading in violation of the Fair Debt Collection Practices Act (FDCPA). The collection letter was drafted by a “legal department” that employed no attorneys. However, a consumer could have believed that the collection letter was drafted by an attorney, and thus the letter was “deceptive” under FDCPA regulations. See Rosenau v. Unifund Corp., 539 F.3d 218 (3d Cir. 2008).

References: v. 
 v. 
 v. 
 v. 
 v. 
 v. 
 v. 
 v.