Consumer complaint received 2025-06-24 00:00:00
Product: Debt collection — Telecommunications debt
Issue: False statements or representation — Attempted to collect wrong amount
Company: Source Receivables Management LLC
State: GA

Complaint narrative:
In early XXXX, I noticed that Source Receivables Management ( SRM ) had reported a telecommunications-related collection tradeline to the credit bureaus, allegedly for a XXXX account. I had never received any prior notice, validation, or communication from SRM before the reporting of this tradeline, which constitutes a clear violation of the Fair Debt Collection Practices Act ( FDCPA ), 15 U.S.C. 1692g ( a ), which mandates that a debt collector must send a written notice of the debt within XXXX days of initial communication. 

Upon discovering the entry, I immediately exercised my consumer rights under 15 U.S.C. 1692g ( b ) by mailing a formal debt validation request. I specifically requested : A copy of the original signed contract with XXXX bearing my signature ; A complete and itemized accounting of how the balance was calculated ; Proof of ownership or legal assignment of the debt from XXXX to SRM ; A copy of any servicing or purchase agreement that grants SRM the legal authority to collect ; Documentation verifying their right to report the debt to consumer reporting agencies under the Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681s-2 ( b ).

What I received in response from SRM was noncompliant and insufficient : vague printouts, generic balance summaries, and no legal documentation showing a valid assignment or contractual obligation. At no point did they provide the original signed agreement, a full accounting of the debt, or legal proof that they had authority to collect or report. Their failure to provide this information means that continued reporting and collection constitute continued violations of 15 U.S.C. 1692g ( b ), which prohibits collection activity until a debt is validated.

In addition to federal violations, SRM has violated Georgia state consumer protection laws, including : O.C.G.A. 10-1-393.7, which prohibits unfair or deceptive practices in debt collection ; O.C.G.A. 10-1-393.5, which grants consumers the right to dispute inaccurate credit information and requires proper investigation by furnishers ; O.C.G.A. 10-1-391 ( b ), under which false or misleading representations and unauthorized debt collection practices are unlawful.

Despite being placed on notice of the dispute, SRM continued to report this tradeline to Experian, Equifax, and TransUnion without proper validation, which is a direct violation of 15 U.S.C. 1692e ( 8 ) communicating false credit information and 15 U.S.C. 1681s-2 ( b ), which obligates furnishers to conduct a proper reinvestigation after receiving notice of a dispute.

Furthermore, SRM was the subject of a previous CFPB complaint regarding the same matter and was again placed on notice. Their repeated refusal to provide proper validation and their continued reporting in the face of disputes shows willful noncompliance, and constitutes grounds for statutory damages under 15 U.S.C. 1692k, actual damages under 15 U.S.C. 1681n, and potential punitive damages.

As a result of these ongoing violations, I have formally initiated arbitration proceedings against Source Receivables Management through the XXXX XXXX XXXX XXXX XXXX ) in accordance with the underlying contract terms, and I am seeking : Full deletion of the tradeline from all consumer credit bureaus ; Statutory damages under FDCPA and FCRA ; Punitive damages for willful and reckless noncompliance ; And reimbursement of all legal and filing costs associated with arbitration. 

This CFPB complaint is being filed to supplement the ongoing arbitration record and to provide regulatory oversight of a clear and continuing pattern of abuse, false reporting, and violation of both federal and state law.

Company response to consumer: Closed with explanation