Consumer complaint received 2024-03-20 00:00:00
Product: Debt collection — Other debt
Issue: Written notification about debt — Notification didn't disclose it was an attempt to collect a debt
Company: Sequium Asset Solutions, LLC
State: CA

Complaint narrative:
I am attempting to assist my Step-Sister re-establish her financial well being after a 4-year estate probate and becoming unhoused following the deatch of her Mother ( My Step-Mom ). 

Sequium Asset Solutions LLC held the outstanding debit of XXXX XXXX XXXX XXXX XXXX in my step-sister 's name, XXXXXXXX XXXX XXXX XXXX XXXX. I sent a check ( # XXXX dated XX/XX/2024 ) to complete payment of {$880.00} as my Step-Sister can not be banked till outstanding debts have been repaid. 

On XX/XX/2024, I received letter from Sequium returning my payment and explaining that they were no longer collecting and my return payment is enclosed. The check enclosed was for someone else, with a similar reference listed on the memo line. I called Sequium on XX/XX/2024 and left a voicemail regarding my concern and my contact information, providing them with the reference number. 

I called again on Monday XX/XX/2024 and was greeted by XXXX XXXX ( uncertain of spelling ). I explained the issue with receiving someone else 's check. XXXX asked for the reference number, which I provided. As I am not my Step-Sister, they wouldn't discuss any details of the account with me. I understood and reiterated that I wasn't calling about the specific collection and was attempting to advise them that they have created a Personal Informaion Data Breach by returning payments to the wrong individuals. XXXX remained focused on the debt collection aspect and did not seem to understand what I was explaining. XXXX eventually escalated my call to a XXXX. 

XXXX ( uncertain of spelling ) came on the line and exlained to me that she couldn't help me with my reference payment. I had to explain again that I was notifying them of a data breach of thier own creation. I was told that simply returning the check to them should be sufficient. I explained that I have experience in banking risk management and returning the check wouldn't resolve the potential risk of checks sent to unknown individuals or what they may do with those details. I ask if they had a Risk Plan for Data Breaches and was again told to return the other individuals check. I asked them what they would do if the checks weren't returned and how would they track and notify anyone 's whose check was not accounted for. I was told that they could not speak with me further with my Step-Sister on the line. I attempted once more to explain that regardless of the outstanding debt or collection details, that I wasn't calling them regarding the payment as I needed them to be aware of the risk they have initiated. I was told that my only recourse was to return the check. 

I have placed a stop payment on this item with my bank and plan to close the account to avoid potential check washing or unauthorized reproduction of checks against this account. 

I have sent a letter to the individual whose check I received explaining that I have shredded their check and provided them details of how I came to have it in my possesion. 

Banks are required to have such risk management plans when personal account details are shared/stolen and the required notification to potentially impacted customers. It doesn't appear that this expectation is a practice with Collection Companies.

Company response to consumer: Closed with non-monetary relief