Consumer complaint received 2025-09-11 00:00:00
Product: Debt collection — Telecommunications debt
Issue: Attempts to collect debt not owed — Debt is not yours
Company: TRANSWORLD SYSTEMS INC
State: MA

Complaint narrative:
b'FINAL NOTICE AND DEMAND FOR ARBITRATIONXXXX XXXXXXXX XXXX XXXX XXXX XXXX MA XXXXVIA CERTIFIED MAIL RETURN RECEIPT REQUESTED\n\nTransworld Systems Inc.XXXX XXXX XXXX XXXX XXXX XXXX PA XXXXTO THE LEGAL DEPARTMENT AND REGISTERED AGENT:\n\nRE: FORMAL NOTICE OF INTENT TO INITIATE ARBITRATION\nAccount: XXXX1. NOTICE OF INTENT AND FACTUAL BACKGROUND\n\nThis letter serves as formal notice, pursuant to any applicable agreement and the Federal Arbitration Act, of my intent to initiate binding arbitration against Transworld Systems Inc. (TSI) for your reckless, negligent, and willful violations of the Fair Credit Reporting Act (FCRA) and the Fair Debt Collection Practices Act (FDCPA).\n\nThe factual background is unambiguous and well-documented:\n\n    On XXXX XXXX XXXX, an unauthorized and fraudulent ACH debit was made by XXXX XXXX     All associated equipment was returned to and received by XXXX XXXX XXXX XXXX XXXX    I filed a fraud claim with XXXX XXXX XXXX After its investigation, XXXX  permanently credited my account on XXXX XXXX XXXX conclusively determining the debt was invalid.XXXX     Despite receiving this irrefutable proof via certified dispute letters and a CFPB complaint, TSI has willfully refused to direct the credit bureaus to delete this fraudulent collection account.\n\n2. EXHIBITS & ATTACHED EVIDENCE\n\nThe following exhibits, attached hereto, will form the basis of my arbitration claim:\n\n    Exhibit A: XXXX XXXX XXXX final claim resolution letter, dated XXXX XXXX XXXX confirming the fraudulent nature of the debt.\n\n    Exhibit B: UPS Store receipt proving the return of all equipment to XXXX on XXXX XXXX XXXX    Exhibit C: Copies of certified mail receipts and the text of my initial dispute letters to TSI and the credit bureaus.\n\n    Exhibit D: Copies of my credit reports showing the fraudulent collection account and a credit tracking dashboard documenting the damage.\n\n3. SPECIFIC HARM AND DAMAGES INCURRED\n\nYour companys refusal to correct this known error has caused severe and quantifiable harm:\n\n    Destruction of Creditworthiness: My FICO credit score has dropped XXXX points, from an excellent XXXX  to a poor XXXX, directly as a result of your fraudulent collection item.\n\n    Denied Financial Opportunities: This drastic score drop has directly disturbed my financial inquiries and destroyed my ability to secure a mortgage. A pre-approval for a home purchase was revoked solely due to this collection account on my report, causing significant emotional distress and financial setback.\n\n    Ongoing Harm: Every day this false information remains, it continues to cause reputational damage and denies me access to competitive credit offers.\n\n4. REBUTTAL TO AFFIRMATIVE DEFENSES\n\nI anticipate and hereby rebut any potential affirmative defenses:\n\n    Bona Fide Error: This is not a mere clerical error. You were provided with conclusive proof from a financial institution and proof of return. Continuing to report the debt after this notice constitutes willful misconduct, not a bona fide error.\n\n    Valid Debt: The debt is demonstrably invalid. The banks fraud determination is conclusive evidence to the contrary. You cannot claim a good faith belief in the validity of a debt after being presented with such proof.\n\n5. STATED RELIEF SOUGHT & SETTLEMENT DEMAND\n\nTo avoid the time and expense of arbitration, I will settle this matter if TSI agrees to the following within 15 calendar days of receipt of this notice:\n\n    Immediate Deletion: Permanently delete the collection account from all three national credit bureaus (XXXX XXXX XXXX XXXX).\n\n    Written Confirmation: Provide me with a signed letter on company letterhead confirming the deletion and that no further collection activities will be pursued.\n\n    Financial Compensation: A monetary payment of XXXX to compensate for actual damages (time, cost of credit repairs), statutory damages, and emotional distress.\n\n6. DAMAGES SOUGHT IN ARBITRATION\n\nIf you fail to comply with this demand, I will immediately file a demand for arbitration with the XXXX XXXX XXXX XXXX. I will seek the maximum relief allowable under law, including:\n\n    Actual Damages: For the financial harm and emotional distress caused.\n\n    Statutory Damages: For willful non-compliance with the FCRA and FDCPA.\n\n    Punitive Damages: To deter TSI from engaging in this egregious conduct against other consumers.\n\n    Fees and Costs: All arbitration filing fees, attorney fees, and associated costs.\n\n7. CONCLUSION & LEGAL AUTHORITIES\n\nYour actions constitute a blatant disregard for federal consumer protection laws. The attached evidence is incontrovertible. You have no legal or factual basis to continue reporting this account.\n\nI cite the following statutes which you have violated, and which will form the basis of my arbitration claim:\n\n    15 U.S.C.  1681s-2(b) (FCRA): Your failure to conduct a reasonable investigation upon receiving my dispute and the provided proof.\n\n    15 U.S.C.  1692e(8) (FDCPA): The act of communicating credit information which is known or should be known to be falsenamely, continuing to report this fraudulent debt.\n\n    15 U.S.C.  1692e(2)(A) (FDCPA): The false representation of the character, amount, or legal status of the debt.\n\nThis is your final opportunity to resolve this matter amicably. The nail in the coffin of your defense is the banks own fraud determination. No arbitration administrator or court will look favorably upon a collector who ignores such evidence.\n\nThe choice is yours: resolve it now for a fraction of the potential cost, or force me to seek a full judgment against TSI in arbitration.\n\nSincerely,XXXX XXXXEnclosures: Exhibits A, B, C, D'

Company response to consumer: Closed with explanation