Consumer complaint received 2025-11-07 00:00:00
Product: Debt collection — I do not know
Issue: Attempts to collect debt not owed — Debt is not yours
Company: Midwest Fidelity Services, LLC
State: CO

Complaint narrative:
I obtained a personal loan from XXXX XXXX XXXX XXXX  and XXXX XXXX on XX/XX/XXXX, for {$9800.00}. The loan was serviced by XXXX until XX/XX/XXXX, when servicing transferred to XXXX XXXX XXXX XXXX XXXX ( XXXX ). The last documented balance from XXXX on XX/XX/XXXX, was {$9800.00} ( Principal : {$9400.00}, Interest : {$400.00}, Fees : {$10.00} ). 

VIOLATIONS AND ISSUES : 1. DUPLICATE COLLECTION ATTEMPTS BY TWO AGENCIES : - Midwest Fidelity Services first contacted me on XX/XX/XXXX - XXXX XXXX contacted me on XX/XX/XXXX - Both agencies are claiming the SAME debt ( Account XXXX ) - Neither agency has explained their relationship or why two agencies are pursuing the same debt- This appears to violate FDCPA provisions against unfair collection practices 2. UNEXPLAINED BALANCE INFLATION : - Last documented balance ( XX/XX/XXXX ) : {$9800.00} - Current claimed balance : {$11000.00} - Unexplained increase : {$1800.00} ( approximately 19 % increase ) - Neither agency has provided documentation justifying this increase - My original loan terms included a 5 % late fee ( capped at {$5.00} ) and {$15.00} NSF fees- Even accounting for maximum late fees over 21 months, this increase appears excessive and unjustified XXXX. FAILURE TO PROVIDE DEBT VALIDATION : - I have requested validation from both agencies - Neither has provided : * Complete payment history from original creditor * Itemized breakdown of fees and charges * Proof of chain of custody showing how debt was transferred * Documentation of their legal authority to collect in Colorado * Evidence of proper licensing 4. CREDIT REPORTING CONCERNS : - I am concerned both agencies may be reporting this same debt to credit bureaus - This could result in duplicate negative reporting for a single debt - The inflated balance is inaccurate and damaging to my credit 5. LACK OF TRANSPARENCY : - Neither agency has disclosed their relationship - No explanation of how the debt allegedly grew by nearly {$2000.00} - Unclear who actually owns this debt - No documentation showing proper chain of custody from original creditor ORIGINAL LOAN DETAILS : - Original Creditor : XXXX XXXX XXXX XXXX  and XXXX XXXX - Loan Date : XX/XX/XXXX - Original Amount : {$9800.00} - Account Number : XXXX - Last Payment Made : XX/XX/XXXX - Last Known Servicer : XXXX XXXX XXXX XXXX XXXX - Last Known Balance : {$9800.00} ( XX/XX/XXXX ) REQUESTED RELIEF : 1. Investigation into why two collection agencies are pursuing the same debt 2. Require both agencies to provide complete debt validation with itemized breakdown 3. Require explanation of the {$1800.00} balance increase 4. Order deletion of any duplicate credit reporting 5. Ensure compliance with FDCPA requirements 6. Determine which entity, if any, has legal authority to collect this debt 7. Investigate whether the balance inflation constitutes an unfair or deceptive practice I have documentation supporting my claims, including : - Original loan agreement dated XX/XX/XXXX - Notice of loan transfer from XXXX to XXXX ( XX/XX/XXXX ) - XXXX  Welcome Letter showing balance of {$9800.00} ( XX/XX/XXXX ) - Delinquency notice from XXXX  ( XX/XX/XXXX ) - Communication from both collection agencies I am willing to resolve legitimate debts, but I need accurate information and proper validation. The involvement of two collection agencies, the unexplained balance increase, and the lack of documentation are serious concerns that violate my rights under the FDCPA and FCRA. 

This situation has caused me significant XXXX  and concern about my credit report and financial standing. I request immediate investigation and resolution of these matters. 

Thank you for your assistance.

Company public response: Company believes the complaint is the result of a misunderstanding
Company response to consumer: Closed with explanation