Consumer complaint received 2026-03-30 00:00:00
Product: Debt collection — Credit card debt
Issue: Took or threatened to take negative or legal action — Collected or attempted to collect exempt funds
Company: ENCORE CAPITAL GROUP INC.
State: OH

Complaint narrative:
b'CONSUMER FINANCIAL PROTECTION BUREAU\nOfficial Complaint Submission\nSubmit at: www.consumerfinance.gov/complaint\n\nCOMPLAINANT: XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Age: XXXX (Elder Consumer) Income: 100% Social Security Federally Exempt\n\nRESPONDENT: Midland Credit Management, Inc. XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Attn: XXXX XXXX, Esq., General Counsel Parent Company: Encore Capital Group, Inc.\n\nDate of Complaint: XXXX XXXX XXXX\n\nAccounts at Issue:\n\nAccount XXXX Claimed: XXXX\nAccount XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Total Claimed: XXXX\nSECTION 1: NATURE OF COMPLAINT\nI, XXXX XXXX XXXX XXXX, am a XXXX-year-old elder consumer residing in XXXX XXXX, XXXX XXXX, Ohio. I am filing this formal complaint against Midland Credit Management, Inc. (MCM), a subsidiary of Encore Capital Group, Inc., for multiple, documented, and ongoing violations of:\n\nThe Fair Debt Collection Practices Act (FDCPA), 15 U.S.C. 1692 et seq.\nThe Fair Credit Reporting Act (FCRA), 15 U.S.C. 1681 et seq.\nThe Consumer Financial Protection Act (CFPA), 12 U.S.C. 5531\nThe 2015 CFPB Consent Order (Case No. XXXX) against Encore Capital Group and its subsidiaries, which remains in effect\nThe XXXX CFPB Enforcement Action against Encore Capital Group for violating the XXXX Consent Order\nSECTION 2: CHRONOLOGY OF EVENTS\nDate\tEvent\XXXX XXXX XXXX\nI sent a formal Cease & Desist + Debt Validation Demand via Certified Mail (Article No. XXXX XXXX XXXX XXXX XXXX XXXX) to Midland Credit Management\nFeb. 13, 2026\nMCM responded to Accounts #XXXX XXXX XXXX XXXX with a letter claiming information is "accurate" providing NO valid documentation\XXXX XXXX XXXX\nMCM responded to Account #XXXX similarly deficient\XXXX XXXX XXXX\nI sent a formal Settlement Offer via Certified Mail (Article No. XXXX XXXX XXXX XXXX XXXX XXXX), mailed XXXX XXXX XXXX, from XXXX XXXX, OH Post Office\XXXX XXXX XXXX\nMCM\'s deadline to respond to settlement offer (XXXX XXXX XXXX)\XXXX XXXX XXXX\nMCM has failed to respond this complaint is now filed\nSECTION 3: SPECIFIC VIOLATIONS\nVIOLATION 1 Failure to Validate Debt\nStatute: 15 U.S.C. 1692g(b) (FDCPA)\n\nOn XXXX XXXX XXXX, I submitted a written dispute and validation demand for all five accounts. MCM\'s response of XXXX XXXX XXXX consisted of:\n\nAccount statements (not original signed contracts)\nA generic "notice of sale" (not chain-of-custody documentation)\nComputer-generated printouts (not legal documentation)\nThis does not constitute valid debt verification under 15 U.S.C. 1692g(b) or under binding 6th Circuit precedent (Haddad v. Alexander, Zelmanski, Danner & Fioritto, 826 F.3d 326 (6th Cir. 2016)).\n\nMCM continued collection activity after my dispute without providing proper validation a per se FDCPA violation.\n\nViolations: 5 (one per account) | Statutory Damages: XXXX\n\nVIOLATION 2 Continued Contact After Cease & Desist\nStatute: 15 U.S.C. 1692c(c) (FDCPA)\n\nMy FebXXXX XXXX XXXX letter included a formal Cease & Desist demand. MCM sent a collection letter dated XXXX XXXX XXXX XXXX days after receiving my C&D demand in direct violation of 15 U.S.C. 1692c(c).\n\nViolations: 10+ | Statutory Damages: $10,000+\n\nVIOLATION 3 False and Misleading Representations\nStatute: 15 U.S.C. 1692e (FDCPA)\n\nMCM falsely represented that the debts were "validated" when they were not. MCM implied legal authority to collect without proving such authority. MCM threatened adverse credit reporting on unvalidated debts.\n\nViolations: 5+ | Statutory Damages: XXXX+\n\nVIOLATION 4 Unfair Collection Practices\nStatute: 15 U.S.C. 1692f (FDCPA)\n\nMCM continued to attempt collection on unvalidated debts from a consumer whose sole income is Social Security which is absolutely exempt from garnishment under 42 U.S.C. 407(a) and Ohio Rev. Code 2329.66(A)(9)(b).\n\nViolations: 5+ | Statutory Damages: XXXX+\n\nVIOLATION 5 Reporting Unverified Debts to Credit Bureaus\nStatute: 15 U.S.C. 1681s-2(b) (FCRA)\n\nMCM reported and continued to report these disputed, unvalidated accounts to XXXX XXXX, and XXXX without conducting a proper investigation following my written dispute. This constitutes willful noncompliance under 15 U.S.C. 1681n.\n\nViolations: 5 (one per account) | FCRA Damages: XXXX\n\nVIOLATION 6 CFPB Consent Order Violations (2015 & 2020)\nAuthority: 12 U.S.C. 5565 (CFPA Enforcement)\n\nMCM\'s parent company, Encore Capital Group, entered into a 2015 CFPB Consent Order (Case No. 2:15-cv-02331-AB-E) requiring that Encore and its subsidiaries including MCM not file suit or initiate collection without competent and reliable evidence substantiating the debt.\n\nMCM has:\n\nAttempted to collect without competent and reliable evidence\nMisrepresented that debts were validated when they were not\nLacked original contracts (as evidenced by their XXXX XXXX XXXX response)\nIn XXXX, Encore was found to have violated the XXXX Consent Order and paid an additional XXXX civil money penalty. MCM is currently violating that same Consent Order in its dealings with me.\n\nThis is a matter of direct CFPB enforcement jurisdiction.\n\nSECTION 4: MY PROTECTED STATUS AS AN ELDER CONSUMER\nI am XXXX years of age. My sole income is Social Security, which is:\n\nFederally exempt under 42 U.S.C. 407(a) absolute protection\nState exempt under Ohio Rev. Code 2329.66(A)(9)(b)\nProtected in bank accounts under 31 C.F.R. 212.6\nI have no non-exempt assets. I am permanently judgment-proof. MCM\'s continued collection activity against an elderly, fixed-income consumer with no collectible assets while violating its own CFPB Consent Order constitutes an unfair, deceptive, and abusive act or practice (UDAAP) under 12 U.S.C. 5531.\n\nThe CFPB has specific authority and responsibility to protect elder consumers from exactly this type of predatory collection conduct.\n\nSECTION 5: RELIEF REQUESTED\nI respectfully request the CFPB:\n\nInvestigate Midland Credit Management, Inc. and Encore Capital Group for the violations described herein\nEnforce the XXXX and XXXX Consent Orders currently in effect\nOrder MCM to immediately cease all collection activity on all five accounts\nOrder MCM to delete all adverse credit reporting related to these accounts from all three major credit bureaus\nImpose civil money penalties for Consent Order violations\nRefer this matter to the Federal Trade Commission and Ohio Attorney General as appropriate\nDocument this complaint in MCM\'s/Encore\'s regulatory file for pattern-and-practice enforcement purposes\nSECTION 6: SUPPORTING DOCUMENTATION\n Copy of XXXX XXXX XXXX Cease & Desist + Debt Validation Demand (Certified Mail XXXX XXXX XXXX XXXX XXXX XXXX\n Copy of MCM\'s XXXX XXXX XXXX response letter\n Copy of XXXX XXXX XXXX Settlement Offer letter\n USPS Certified Mail Receipt XXXX XXXX XXXX (Tracking: XXXX XXXX XXXX XXXX XXXX XXXX)\n USPS Return Receipt (Tracking: XXXX XXXX XXXX XXXX XXXX XXXX)\n All credit bureau reports showing adverse reporting\nSubmitted under penalty of perjury. All statements are true and correct to the best of my knowledge.\n\XXXX XXXX XXXX XXXX. Pro Se | Elder Consumer (Age XXXX) XXXX XXXX XXXX | XXXX XXXX, Ohio XXXX Date: XXXX XXXX XXXX'

Company response to consumer: Closed with explanation