Arrow Financial Services ripoff old credit card debt Niles Illinois
On April 21, 2004 I got a bill from Arrow Financial Services for over $10,000! They said it was from an old Citibank account that was opened in 1987 and closed in 1989. They think the account has been collecting interest for 17 years!!
I refused to pay and told the rep, Derek what they were doing was illegal and he disconnected the call after telling me to 'have a nice day'.
I've reported them to the Better Business Bureau and the Attorney Genral in NY state.
I'm going to get some advice from a lawyer. There's no way I'm going to let these people ruin my credit over an account that I don't ever remember opening and is 17 YEARS old.
Jack Lavin is President and CEO of Arrow and I'll be writing him as well to complain.
Laura
Rochester, New York
U.S.A.
1 Updates & Rebuttals
Elizabeth
Wheaton,Illinois,
U.S.A.
To Laura - Advice
#2Consumer Suggestion
Fri, February 25, 2005
Laura,
Since I am also in Illinois and have done a lot of research on credit/collection fraud and illegal activity, I thought I'd give you some information.
If the credit card debt is that old, unless you have paid on it in the past five (5) years, they cannot legally enforce the debt. They can still attempt to collect it, but if they take you to court and you show up, you will win with the "expired statute of limitations" defense.
According to Illinois law, the statute of limitations on credit card debt is 5 years. This has been interpreted to mean five years from last activity on the account AND five years since your first delinquint payment was due. They can try to collect these ridiculous interest fees, but if the debt is as old as you say it is, they can't legally enforce it.
You should write them a letter disputing the debt in writing and send it to them via postal mail with return receipt so you'll have proof you sent it. I would also fax it to them. I have their street address and fax number:
Arrow Financial Services LLC
5996 W. Touhy Avenue
Niles, IL 60714
Fax: (847) 647-1215
Phone: (847) 557-1100
I would recommend that you NOT send them ONE CENT nor agree to any kind of payment plan or even acknowledge the debt. If you do, that may also restart the statue of limitations at which time they could take you to court to sue for the entire $10,000 plus...and court fees, attorney fees, etc. Tell them in the letter that you are disputing the charges and want them to send you debt verification that includes the following:
SAMPLE LETTER:
To Whom It May Concern:
This letter is being sent to you in response to a notice sent to me on September 30, 2002). Be advised that this is not a refusal to pay, but a notice sent pursuant to the Fair Debt Collection Practices Act, 15 USC 1692g Sec. 809 (b) that your claim is disputed and validation is requested.
This is NOT a request for verification or proof of my mailing address, but a request for VALIDATION made pursuant to the above named Title and Section. I respectfully request that your offices provide me with competent evidence that I have any legal obligation to pay you.
Please provide me with the following:
What the money you say I owe is for;
Explain and show me how you calculated what you say I owe;
Provide me with copies of any papers that show I agreed to pay what you say I owe;
Provide a verification or copy of any judgment if applicable;
Identify the original creditor;
Prove the Statute of Limitations has not expired on this account
Show me that you are licensed to collect in my state
Provide me with your license numbers and Registered Agent
At this time I will also inform you that if your offices have reported invalidated information to any of the 3 major Credit Bureau's (Equifax, Experian or TransUnion) this action might constitute fraud under both Federal and State Laws. Due to this fact, if any negative mark is found on any of my credit reports by your company or the company that you represent I will not hesitate in bringing legal action against you for the following:
Violation of the Fair Credit Reporting Act
Violation of the Fair Debt Collection Practices Act
Defamation of Character
If your offices are able to provide the proper documentation as requested in the following Declaration, I will require at least 30 days to investigate this information and during such time all collection activity must cease and desist.
If you can not afford to consult a lawyer, there are many good sites on the internet that will help you. You can also see the actual laws on Illinois web sites and the federal government web site that explains the fair credit reporting act.
My advice is don't settle for anything less than what is outlined above and DON'T pay or promise to pay anything until you know the debt is yours. If the debt is past the statutue of limitations, don't pay unless you can truly afford it. Don't neglect current bills or necessary items to pay this. It cannot hurt your credit if it's that old and you are not legally liable for it.
Good luck.