Consumer complaint received 2025-10-17 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Information belongs to someone else
Company: Monterey Financial Services LLC
State: TX

Complaint narrative:
Date : XX/XX/XXXX To : XXXX  XXXX XXXX XXXX Re : Dispute of Illegal Inaccurate Collection Reporting Consumer : XXXX XXXX Furnisher Collector : Monterey Collection Services Acct Ref # : XXXX Statement of Position This letter affirms and establishes that the above referenced collection account is not mine. I do not acknowledge any obligation, contract, or liability for this alleged debt. Any claim to the contrary is false and unlawful. 

This account, listed as Monterey Collection Services, Acct XXXX. XXXX, opened XXXX XXXX XXXX, reporting {$16000.00} past due as of XX/XX/XXXX with original balance {$11000.00}, is inaccurate and unverifiable. Reporting me as joint with XXXX XXXX is false and misleading. There is no contract, agreement, or privity of relationship between myself and Monterey Collection Services that establishes liability or grants them authority to collect or report this account. 

This letter further serves as a Notice of Estoppel by Silence and Acquiescence : unless you or Monterey provide full, competent, and lawful proof of ownership, contractual obligation, and authority within statutory timelines, you will be estopped from asserting this alleged debt now or in the future.

Legal Grounds for Deletion 1. FCRA Violations 15 USC 1681i CRA must reinvestigate disputed information.

15 USC 1681e b CRA must assure maximum possible accuracy.

15 USC 1681s 2 b Furnisher must investigate and correct disputed information.

15 USC 1681n and 1681o Willful or negligent violations create liability.

2. FDCPA Violations 15 USC 1692g b Collector must cease collection until validation is provided.

15 USC 1692e False representations, including reporting joint liability without proof of contract.

15 USC 1692f 1 Prohibits collection of amounts not authorized by contract or law.

3. IRS Requirement : 26 USC 6050P 1099C If the original creditor canceled the debt, balance must be zero. Continued reporting after cancellation would be unlawful.

4. Texas Law Proof of Legal Right to Collect : Texas Finance Code 392.101 Debt collectors must be registered and bonded with the Texas Secretary of State before collecting.

Monterey must provide proof of active Texas registration and bond.

Without such proof, Monterey has no legal authority to collect or report.

5. Monterey Collection Services must provide all of the following documentation in order to lawfully validate and continue reporting this account. Any omission or failure to provide complete records will render the reporting incomplete, inaccurate, and therefore unlawful under the FCRA and FDCPA.

Original signed contract between myself and Monterey ( none exists ).

Complete chain of assignment showing lawful transfer from original creditor to Monterey.

Full itemized accounting of balance ( showing how {$11000.00} became {$16000.00} ).

Proof of initial collection notice as required by 15 USC 1692g a.

Proof of Metro 2 compliance.

Proof of Texas registration and bonding.

Absent production of these items, the account is unverifiable and must be deleted.

Cease and Desist I demand that Monterey Collection Services cease and desist all collection activity regarding this alleged account. You are not authorized to contact me by phone, mail, or electronically regarding this account except to provide complete validation. No contract exists between myself and Monterey Collection Services ; therefore, no authority to collect or report exists.

CFPB Enforcement Against XXXX  I note that in January 2025, the Consumer Financial Protection Bureau ( CFPB ) filed a lawsuit against XXXX  alleging that XXXX  routinely fails to investigate consumer disputes, permits reinsertion of previously deleted tradelines, and violates FCRA duties under sections 1681i and 1681e b. While that case was dismissed without prejudice in XX/XX/XXXX, the allegations remain serious and relevant. If my dispute has been mishandled in this manner, it would represent part of a broader pattern of unlawful conduct already identified by federal regulators. 
Required Actions 1. Permanently delete this tradeline from my credit file.

2. Do not reinsert this account without full compliance with 15 USC 1681i a 5 B.

3. Mark the account as disputed until resolved.

4. Provide me with the method of verification and all documents relied upon in your reinvestigation.

Alleged Violations and Damages Calculation A. FCRA 1681i failure to reinvestigate {$1000.00} B. FCRA 1681e b inaccurate reporting {$1000.00} C. FCRA 1681s 2 b furnisher failure to investigate {$1000.00} D. FCRA 1681s 2 a 3 failure to report account as disputed {$1000.00} E. FDCPA 1692g b reporting without validation {$1000.00} F. FDCPA 1692e false claim of joint liability {$1000.00} G. FDCPA 1692f 1 unlawful inflated balance {$1000.00} H. Texas Finance Code 392.101 lack of license and bond {$1000.00} I. No contract or privity with Monterey {$1000.00} J. IRS 6050P 1099C if applicable not zeroing balance {$1000.00} Subtotal statutory damages : {$10000.00} Estimated actual damages : {$5000.00} ( credit denials, higher rates, emotional distress, costs of monitoring and disputes ). 

Total potential claim value : $ XXXX Settlement Offer To resolve this matter without litigation, I am willing to accept a settlement of {$12000.00} payable within 15 days of acceptance in exchange for : 1. Permanent deletion of this tradeline from XXXX  and all CRAs.

2. Written certification of deletion by Monterey.

3. Agreement not to reinsert, sell, or transfer this account.

4. No further reporting or collection.

This settlement is offered as a good faith resolution. Acceptance will prevent this case from proceeding to court, where I would pursue statutory damages, actual damages, attorneys fees, and court costs in excess of this settlement demand.

Notice of Rights and Estoppel If you fail to provide full validation, proof of contract, assignment, and Texas licensing, this account will be deemed invalid and must be removed. You will be estopped from asserting ownership in the future. Any further reporting without proof will be treated as willful noncompliance under the FCRA, FDCPA, Texas Finance Code, and the enforcement issues already raised by the CFPB. 

Respectfully, XXXX XXXX XX/XX/XXXXXXXX XXXX XXXX XXXX

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation