Consumer complaint received 2025-11-26 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: Zions Debt Holdings
State: ME

Complaint narrative:
Creditor/Furnisher : Zions Debt Holdings Account Number : XXXX I am filing this complaint because Zions Debt Holdings is reporting a fraudulent account on my credit report, refused to honor my FTC Identity Theft Report, continued collecting after receiving identity-theft documentation, and is violating Maine state law by attempting to collect debt without a required Maine license. 

I filed a full FTC Identity Theft Report ( Report # XXXX ), where I specifically identified this account with Zions Debt Holdings as fraudulent. My report also lists other fraudulent accounts, fraudulent names, and fraudulent inquiries tied to the same identity theft incident. Zions received this report and was obligated under FCRA 605B to block and delete the account within four business days.

Instead of deleting the fraudulent tradeline, Zions responded by claiming I signed a XXXX  60-month alarm contract and demanded payment. They then offered to settle the account for {$1000.00} and stated they would delete it only if I paid. This is illegal and proves they did not conduct any investigation required under FCRA 1681s-2 ( b ).

Zionss response violates FCRA 605B directly.

Once a consumer submits an FTC Identity Theft Report, the furnisher must block and delete the fraudulent account. Attempting to collect, verify, or negotiate payment on a fraudulent debt after receiving an FTC report is a violation of : FCRA 605B ( 15 U.S.C. 1681c-2 ) FCRA 623 ( a ) ( 6 ) & 623 ( a ) ( 8 ) FCRA 1681s-2 ( b ) Zions continued all of these activities.

The contract Zions provided is not valid proof of authorization. 

They attached a supposed XXXX contract but did not provide : verified identity authentication signature validation IP logs device metadata disclosure of electronic consent any proof linking the contract to me Identity thieves commonly sign agreements in the victims name. Zions ignored this and attempted to use an unverified document to justify continued reporting and collection.

Zions is illegally collecting debt in Maine without a license.

I have lived in Maine for more than seven consecutive years. Under 32 M.R.S. 11031, any debt collector or debt buyer must be licensed with the Maine Bureau of Consumer Credit Protection before collecting or attempting to collect from Maine residents.

I conducted a complete search of the Bureaus official license database. Zions Debt Holdings does not appear under any name variation, active or inactive. No Maine license exists under : Zions Debt Holdings Zions Debt Holdings LLC Zions Holdings Zions Receivables Any Utah-registered debt collector This means Zions is engaging in unlicensed, illegal collection in the State of Maine.

This is an independent violation of : 32 M.R.S. 11031 ( unlicensed collection ) Maine FDCPA provisions Maine Unfair Trade Practices Act ( 5 M.R.S. 207 ) A company that is not legally authorized to collect in Maine can not lawfully report, verify, or furnish alleged debt to credit bureaus. 

XXXX behavior is consistent with prior enforcement actions. 

Zions Debt Holdings has a known regulatory history for misconduct, including : Connecticut XXXX XXXX to Cease & Desist ( XXXX XXXX ) unlicensed collection and false representations Connecticut XXXX Order ( XXXX XXXX ) civil penalties for illegal collection practices Idaho Cease & Desist ( XXXX XXXX ) collecting without a license Ball v. Zions Debt Holdings ( XXXX XXXX, XXXX ) default judgment for consumer XXXX XXXX Zions Debt Holdings ( XXXX XXXX, XXXX ) judgment for consumer Their actions in my case match this exact pattern of ignoring laws, failing to investigate, and attempting unlicensed collection. 

Federal violations currently in progress include : FCRA XXXX failure to block/delete identity-theft account FCRA XXXX improper handling of identity-theft disputes FCRA XXXX ( b ) failure to conduct a reasonable investigation FDCPA XXXX and XXXX false representations and collection without validation UDAAP ( XXXX U.S.C. XXXX & XXXX ) unfair, deceptive, abusive acts ITADA ( XXXX XXXX. XXXX ) ignoring valid identity-theft documentation TILA reporting a debt with no valid consumer contract

Company public response: Company believes the complaint provided an opportunity to answer consumer's questions
Company response to consumer: Closed with explanation