Consumer complaint received 2023-06-22 00:00:00
Product: Debt collection — Credit card debt
Issue: Took or threatened to take negative or legal action — Threatened or suggested your credit would be damaged
Company: ENCORE CAPITAL GROUP INC.
State: CA

Complaint narrative:
MCM states that you collect personal information from ME on applications and other forms. This is a lie. I did not provide any information to you and you also stated that you gained my information from another party not me. No information was provided to MCM directly from consumer. In italic below comes directly from your website. 
https : //www.midlandcredit.comXXXX Information we receive from you on applications or other forms. This information may include : Your name Address Social Security Number Telephone number Other relevant information that you provide Information we receive about your account transactions with us, our affiliates, or others including the original creditor. This may include information such as : Account balance Payment history Account activity Information we receive from consumer reporting agencies ( such as credit scores and history ) and other information relating to your creditworthiness.

We do not use Customer Information we have obtained about you for any purpose other than to service or manage your account ( s ) in the ordinary course of our business.

We do not share Customer Information we have obtained about you with affiliates or non-affiliated third parties except to the extent necessary to aid us in servicing or managing your account ( s ) in the ordinary course of our business, such as : to companies to whom we may assign your account for servicing ; to companies that provide mailing services to us ; and to service providers that help us administer our database containing your account.

Consumer has received your response dated XX/XX/XXXX. You stated that you a 3rd party purchaser has the same rights to collect on promissory note as the original creditor. I ask for MCM to produce this promissory note. You stated that obligations on a promissory instrument which require an agreement by contract is now due to you ( MCM ). This is a false and misleading practice of deception. You are violating the FDCPA and CalCivCode 1565-1590 contract law. If MCM have a valid contractual agreement signed by consumers agent that require the consumer to pay on a promissory obligation, then MCM must provide that contract to consumer as proof. MCM chooses to violate Rosenthal Fair Debt Collection Practices Act. Not to mention MCM still has no valid license in the state of CA.

Because the consumer has no legal obligation to MCM, EXEPT TO RESPOND TO THIS NOTICE then MCM must cease and desists all communications including consumer reporting communication. 15 U.S. Code 1692c states a debt collector may not communicate with consumer without prior consumer directly consenting to debt collector. You previously stated that consumer permission is not required to report to consumer report. As the consumer previously stated to MCM, under 15 U.S. Code 1681b - Permissible purposes of consumer reports a consumer report must have written consent from consumer furnishing of information and consumer report can not have personal transaction history. You also state consumer permission is not required because you sent a validation letter. Consumer points out according to 12 CFR 1016 you must provide a clear and conspicuous notice to each of your consumers that accurately explains the right to opt out under that section. It further states that the consumer has the right to opt out at any time. You failed to provide either of this information within the validation letter to consumer. YOU MUST DELETE FROM CONSUMER REPORT. 12 CFR 1022.24 reasonable opt-out opportunity must be provided.

You stated that MCM sent a notice informing consumer of alleged account being acquired by MCM. I point out that this would be false claims because the 3rd party uses a completely different account number than that of the original account that is still open on the private for set offs and balancing in which MCM wouldnt have any rights nor ownership of that account. Where is the Bill of Sale? You state that you reserve the right to accurately report to consumer credit agencies but you are reporting a false debt and a false account using identity theft and violating federal and state codes and regulations that are to protect the consumer.

You stated that when a creditor " charges off '' an account, it means that the creditor no longer believes the consumer will pay the bill and has written the debt off of its books. Often, they then sell the debt. I would like to reiterate that debt being written off creditors books just like they were written on the books. This is a requirement in balancing the ledger and collect the insurance policy. According to IRS these charged off accounts become income to the principle account holders account with the IRS. You legally can not attempt to collect on credits posing as income.

You stated that there have not been any payments received for referenced account. Consumer asks which account are you referring to, the alleged MCM account which no contract exists or the alleged original creditors account in which the original creditors account would actually be owned by the principle holder? Consumer also points out that the alleged original creditor has a mandatory arbitration agreement in place and no adverse actions can be taken prior to arbitration clause.

As stated before in my previous claim you are in violation of my privacy under the Privacy Act of 1974 and the California Consumer Privacy Act. I did not authorize MCM to obtain in anyway my private information including alleged debt and use it against me.

As stated in previous notice a California resident under California Consumer Privacy Act, have the right to request deletion of personal information and opt out of sale of personal information. PLEASE PROCESS OPT OUT OF SELLING AND SHARING PERSONAL INFORMATION & DELETE PERSONAL INFORMATION.

The consumer will take it a step further in seeking remedy per 15 USC 1692k. The consumer demand compensation for each month of violations of {$1000.00} per month until account is removed. I have enclosed an invoice. 


Please address payment to contact below. Thank you!

Company response to consumer: Closed with non-monetary relief