Consumer complaint received 2026-05-29 00:00:00
Product: Debt collection — Payday loan debt
Issue: Attempts to collect debt not owed — Debt was paid
Company: Spring Oaks Capital, LLC
State: WA

Complaint narrative:
On Saturday, XX/XX/XXXX, XXXX AM, XXXX XXXX XXXX wrote : I received a response in which your company refuses to address the validity of the original creditors ( XXXX ) debt that your company purchased and is trying to collect on. For one, this lender was not licensed in the state of WA. In Washington state, lenders, including online payday and consumer loan companies, must be licensed by the Washington State Department of Financial Institutions ( DFI ). If a lender is unlicensed, they can not legally operate in Washington, and any loans they provide may be deemed uncollectible. XXXX XXXX, or rather the banks that originate XXXX loans ( XXXX XXXX and XXXX XXXX XXXX ), are not licensed to lend in Washington state. In addition, Washington State has enacted " True Lender '' provisions as part of its Consumer Loan Act, primarily through Senate Bill 6025 }, also known as the Predatory Loan Prevention Act, which took effect on XX/XX/XXXX. These provisions aim to regulate partnerships between non-bank entities and banks ( often located out of state ) that facilitate loans with interest rates exceeding Washington 's legal limits. Theresa usury rates are also illegal. According to RCW 19.52.020 ( 1 ), a lender may, if agreed in writing between the lender and borrower, charge an interest rate at a maximum rate of 12 % per year. Or, a lender may charge 4 % above the first auction quote on the Federal Reserves 26-week treasury bills made in the month preceding a written agreement between lender and borrower. A lender may use whichever rate is higher- 12 % or 4 % above the Federal Reserve rate on XXXX treasury bills. I would like this removed from my credit report and a response regarding the above or I will be contacting an attorney and the WA State AG as well as filing an FTC complaint. This is an illegal collection. XXXX XXXX On XX/XX/XXXX, at XXXX, Customer Service XXXX wrote : Good afternoon, Thank you for reaching out. Your account has been forwarded to our disputes team for further investigation. You will receive an email notification once the review process is finalized. If you have anything you would like to provide us in support of your position, we are happy to review it. We remain committed to working with you to get this resolved. We are a debt collector. The purpose of this communication is to collect a debt and any information obtained will be used for that purpose. California Residents Spring Oaks Capital , LLC 's California Department of Financial Protection & Innovation license number : XXXX. Colorado Residents The address and telephone number of our local office is as follows : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX ; Colorado telephone for Colorado residents only : XXXX. For residents of all other states, please use our toll free number XXXX. Connecticut Residents This collection agency is licensed in Connecticut, license number XXXX. NMLS # XXXX. Massachusetts Residents NOTICE OF IMPORTANT RIGHTS YOU HAVE THE RIGHT TO MAKE A WRITTEN OR ORAL REQUEST THAT TELEPHONE CALLS REGARDING YOUR DEBT NOT BE MADE TO YOU AT YOUR PLACE OF EMPLOYMENT. ANY SUCH ORAL REQUEST WILL BE VALID FOR ONLY TEN DAYS UNLESS YOU PROVIDE WRITTEN CONFIRMATION OF THE REQUEST POSTMARKED OR DELIVERED WITHIN SEVEN DAYS OF SUCH REQUEST. YOU MAY TERMINATE THIS REQUEST BY WRITING TO THE DEBT COLLECTOR. New York Residents If a creditor or debt collector receives a money judgment against you in court, state and federal laws may prevent the following types of income from being taken to pay the debt : 1. Supplemental security income, ( SSI ) ; 2. Social security ; 3. Public assistance ( welfare ) ; 4. Spousal support, maintenance ( alimony ) or child support ; 5. Unemployment benefits ; 6. Disability benefits ; 7. Workers ' compensation benefits ; 8. Public or private pensions ; 9. Veterans ' benefits ; 10. Federal student loans, federal student grants, and federal work study funds ; and 11. Ninety percent of your wages or salary earned in the last sixty days. New York City Residents You may also reach us by calling XXXX XXXX at XXXX. XXXX XXXX XXXX Department of Consumer and Worker Protection license numbers : XXXX and XXXX. North Carolina Residents Spring Oaks Capital , LLC 's North Carolina company numbers are : XXXX and XXXX Rhode Island Residents The State of Rhode Island general laws prohibit credit bureaus from reporting medical debt or factoring medical debt into a credit score. Washington, D.C. Residents You might have income or resources that are protected from being taken by debt collectors. These might include certain sources of income, funds, or property, including, but not limited to, Social Security, Supplemental Security Income ( SSI ), disability or unemployment benefits, veterans ' benefits, or child support payments. If you believe your property or income may be protected, you may wish to seek legal advice, including at a legal services provider or legal aid office, before paying this debt. To stop receiving electronic communications from us, you can reply STOP or UNSUBSCRIBE to this email or send your written request by email to XXXX or by mail at ATTN : Correspondence Dept., XXXX XXXX XXXX, XXXX, VA XXXX, or call us at XXXX. To request paper copies of electronic records or to update your contact information, you can send your request by email to XXXX or call us at XXXX. If Spring Oaks Capital , LLC is reporting this account to a credit reporting agency, within 30 days of receipt of the final payment resolving this account, Spring Oaks Capital , LLC will request deletion of its tradeline from your credit report. -- -- -Original Message -- -- - From : XXXX XXXX XXXX Sent : Tuesday, XX/XX/XXXX XXXX XXXX To : Customer Service XXXX Subject : Collection Dispute [ You don't often get email from XXXX. Learn why this is important at XXXX XXXX XXXX ] XXXX XXXX I received a collection account on my credit report for your company. This for a debt for finrise bank from your company. I never received any notice from you validating this debt. I paid this lender thousands and do not owe on this debt. The company charged illegal interest rates and did not disclose the high interest. They were also not licensed in my state and were not a licensed lender in the state of Washington. The loan is not enforceable or collectible. The amount you state on my credit reports owed is {$1300.00}. I am disputing this debt and would like this removed from all credit reporting agencies. I will be filing a complaint against your collection activity with the state of WA if I do not get a resolution. Thanks XXXX XXXX

Company response to consumer: Closed with explanation