Consumer complaint received 2025-10-01 00:00:00
Product: Debt collection — Credit card debt
Issue: Attempts to collect debt not owed — Debt was result of identity theft
Company: TRANSWORLD SYSTEMS INC
State: OH

Complaint narrative:
This non-duplicative complaint concerns unlawful attempts by XXXX XXXX ( XXXX ) and its third-party debt collector Transworld Systems , Inc. ( TSI ) to collect and report on a disputed, charged-off XXXX account ending in XXXX. 

Despite : Prior written disputes ( XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX ), An FTC Identity Theft Report ( XX/XX/XXXX ), A cease-and-desist notice, and Prior CFPB complaints ( including ID XXXX, submitted XXXX XXXX, XXXX ), XXXX continues to reassign this charged-off account, and TSI continues to send collection letters and attempted contact without providing lawful validation. 

On XXXX XXXX, XXXX, TSI produced only historical billing statements from XXXX. No signed application, IP/geolocation logs, chain-of-title assignment, Metro-2 audit trail, or certified judgment was provided. These are legally insufficient to validate a debt. 

Violations Fair Debt Collection Practices Act ( FDCPA ), 15 U.S.C. 1692 et seq. & Regulation F ( 12 C.F.R. Part 1006 ) 1692g ( b ) : TSI failed to cease collection while the debt was disputed ; no adequate validation was provided.

Regulation F, 1006.34 ( c ) : Requires itemization and documentation of the debt ( not just billing statements ).

1692c ( c ) : Ignored my cease-and-desist by continuing to send communications.

1692e : False representation of ownership/validity of debt.

1692f : Unfair practice to pursue a debt without legal standing.

Case Law : Chaudhry v. Gallerizzo ( 174 F.3d 394, 4th Cir. 1999 ) requires meaningful validation. Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681 et seq. 1681s-2 ( b ) : AmEx and TSI furnished inaccurate and unverified information to CRAs.

1681i : CRAs failed to conduct meaningful reinvestigations, relying only on furnisher parroting.

1681i ( a ) ( 5 ) : Prohibits reinsertion of deleted items without proper certification.

Case Law : Cushman v. Trans Union ( 115 F.3d 220, 3d Cir. 1997 ) CRAs must conduct independent investigations.

Case Law : Johnson v. MBNA ( 357 F.3d 426, 4th Cir. 2004 ) Reasonable investigation requires more than superficial checks.

Truth in Lending Act ( TILA ), 15 U.S.C. 1601 et seq.

Failure to disclose account terms and impact of charge-off/debt transfer.

Ohio Law ORC 1319.12 : Requires proof of assignment to enforce a debt ; TSI provided none. 

Ohio Consumer Sales Practices Act ( ORC 1345.02, 1345.03 ) : Pursuit of disputed/unverified debt is deceptive and unconscionable.

Equitable Principles Unclean Hands : XXXX and TSI continue to act in bad faith by withholding proof. 

Estoppel : Their failure to validate bars further collection or reporting. 

Case Law : Precision Instrument Mfg. v. Auto. Maint. Mach. Co. ( 324 U.S. 806, 1945 ).

XXXX XXXX XXXX  : Original XXXX account ending XXXX charged off. 

XX/XX/XXXX XX/XX/XXXX : Written disputes sent to XXXX  and CRAs. No validation beyond billing statements. 

XX/XX/XXXX : FTC Identity Theft Report filed. 

XX/XX/XXXX : CRAs acknowledged some corrections but reinserted unverified data. 

XX/XX/XXXX : Multiple CFPB complaints filed ( IDs XXXX, XXXX, XXXX ). 

XX/XX/XXXX : Complaint filed against XXXX/TSI ( ID XXXX ). 

XX/XX/XXXX : TSI provided only billing statements from XXXX. No other documentation.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation