Consumer complaint received 2026-03-03 00:00:00
Product: Debt collection — I do not know
Issue: Attempts to collect debt not owed — Debt is not yours
Company: Harpeth Financial Services, LLC
State: DE

Complaint narrative:
To Whom It May Concern : This correspondence serves as a formal legal demand on behalf of XXXX XXXX XXXX XXXX, a XXXX limited liability company ( the Company ), regarding the unauthorized and fraudulent transfer of {$1100.00} from its XXXX XXXX Account using card ending XXXX on XX/XX/2026, which funds were received by Advance Financial. Despite being promptly notified that the transaction was unauthorized and fraudulent, Advance Financial has failed to return the funds and has retained possession of property known to be stolen. Your continued retention of these funds exposes your organization to significant civil and criminal liability. I. Applicable XXXX Law Although Advance Financial is located in XXXX, XXXX XXXX XXXX XXXX is organized under XXXX law, and the injury was suffered by a XXXX entity. The following statutes apply : 1. XXXX Theft Statutes 11 Del. C. 841 & 850 Under 11 Del. C. 841, theft occurs when a person knowingly obtains or exercises control over property of another intending to deprive them of it. Under 11 Del. C. 850, receipt of stolen property occurs when a person receives, retains, or disposes of property knowing that it has been stolen. Once Advance Financial was placed on notice that the funds were fraudulently obtained, any continued retention constitutes potential knowing receipt and retention of stolen property. 2. XXXX Conversion ( XXXX XXXX XXXX ) XXXX recognizes the civil tort of conversion, defined as the wrongful exercise of dominion or control over the property of another, inconsistent with the rights of the owner. Retention of fraudulently transferred funds after notice satisfies the elements of conversion and subjects the recipient to : * Actual damages * Pre-judgment interest * Attorneys fees where bad faith is demonstrated 3. XXXX Uniform Commercial Code ( 6 Del. C. Article 4A ) Under 6 Del. C. 4A-204, a receiving bank that accepts an unauthorized payment order may be liable for refunding the payment if it was not properly authorized. Where a receiving party is notified of an unauthorized transfer, failure to act reasonably may constitute commercial bad faith. 4. XXXX Uniform Fraudulent Transfer Act ( 6 Del. C. 1301 et seq. ) To the extent the transfer was fraudulent, Delaware law allows a creditor ( including a defrauded account holder ) to pursue : * Avoidance of the transfer * Attachment of the transferred funds * Injunctive relief * Appointment of a receiver * Judgment for the value of the asset transferred II. Federal Banking & Criminal Implications The transaction also implicates : * * * Electronic Fund Transfer Act ( 15 U.S.C. 193 et seq. ) * Bank Fraud ( 18 U.S.C. 1344 ) * Wire Fraud ( 18 U.S.C. 1343 ) * Possession of Stolen Property ( 18 U.S.C. 2315 ) Failure to return fraudulently obtained funds after notice may expose Advance Financial to federal investigation and enforcement. III. Demand for Immediate Remedies XXXX XXXX XXXX XXXX hereby demands the following : 1. Immediate return of {$1100.00} 2. Payment of any bank fees incurred as a result of the fraudulent transaction 3. Written confirmation of reimbursement within 2 business days 4. Preservation of all internal records relating to the transaction ( litigation hold notice ) IV. Remedies Available if Not Resolved If this matter is not resolved within ten ( 10 ) business days, the Company will pursue all available remedies, including but not limited to : * Civil action for conversion * Claims under UCC Article 4A * Pre-judgment interest * Attorneys fees * Punitive damages for willful retention * Reporting to : * The Consumer Financial Protection Bureau ( CFPB ) * The Federal Trade Commission ( FTC ) * XXXX Department of Justice * XXXX Department of Financial Institutions * Federal Bureau of Investigation ( FBI ) The Company will also seek discovery of internal compliance failures and any negligence in anti-fraud protocols. V. Opportunity to Cure This letter provides Advance Financial with the opportunity to cure the matter voluntarily before litigation commences. Failure to respond will be treated as evidence of bad faith and deliberate indifference to the wrongful retention of stolen funds. Please direct all correspondence to : XXXX XXXX XXXX XXXX XXXX Sincerely, Authorized Representative XXXX XXXX XXXX XXXX

Company response to consumer: Closed with explanation